Djibouti

Elmore Leonard, New York Times bestselling author and "the hippest, funniest national treasure in sight" (Washington Post), brings his trademark wit and inimitable style to this twisting, gripping—and sometimes playful—tale of modern-day piracy Dara Barr, documentary filmmaker, is at the top of her game. She's covered the rape of Bosnian women, neo-Nazi white supremacists, and post-Katrina New Orleans, and has won awards for all three. Now, looking for a bigger challenge, Dara and her right-hand-man, Xavier LeBo, a six-foot-six, seventy-two-year-old African American seafarer, head to Djibouti, on the Horn of Africa, to film modern-day pirates hijacking merchant ships. They learn soon enough that almost no one in the Middle East is who he seems to be. The most successful pirate, driving his Mercedes around Djibouti, appears to be a good guy, but his pal, a cultured Saudi diplomat, has dubious connections. Billy Wynn, a Texas billionaire, plays mysterious roles as the mood strikes him. He's promised his girlfriend, Helene, a nifty fashion model, that he'll marry her if she doesn't become seasick or bored while circling the world on his yacht. And there's Jama Raisuli, a black al Qaeda terrorist from Miami, who's vowed to blow up something big. What Dara and Xavier have to decide, besides the best way to stay alive: Should they shoot the action as a documentary or turn it into a Hollywood feature film?

Established as a country a little more than a century ago, born as an independent republic in June 1977, Djibouti is among the youngest as well as the smallest states in Africa. Yet its strategic location at the crossroads of the maritime trade routes between Africa, Asia and Europe turned this tiny spot on the world map into a vital player in twentieth century geopolitics. This historical dictionary has been conceived not as a history book but as a reading grid for the major historical items that are still molding the country's social, political and economic life.

Limited fiscal space limits Djibouti's ability to meet the Millennium Development Goals and improve the living conditions of its population. Djibouti's fiscal structure is unique in that almost 70 percent of government revenue is denominated in foreign currency (import taxes, foreign aid grants, and military revenue) while over 50 percent of government expenditure is denominated in local currency (wages, salaries, and social transfers). Djibouti's economic structure is also unusual in that merchandise exports of local origin are insignificant, and the country relies heavily on imported goods (food, medicines, consumer and capital goods). A currency devaluation, by reducing real wages, could potentially generate additional fiscal space that would help meet Djibouti's fundamental development goals. Using macroeconomic and household level data, the authors quantify the impact of a devaluation of the nominal exchange rate on fiscal savings, real public sector wages, real income, and poverty under various hypothetical scenarios of exchange-rate pass-through and magnitude of devaluation. They find that a currency devaluation could generate fiscal savings in the short-term, but it would have an adverse effect on poverty and income distribution. A 30 percent nominal exchange rate devaluation could generate fiscal savings amounting between 3 and 7 percent of GDP. At the same time, a 30 percent nominal devaluation could cause nearly a fifth of the poorest households to fall below the extreme poverty line and pull the same fraction of upper middle-income households below the national poverty line. The authors also find that currency devaluation could generate net fiscal savings even after accounting for the additional social transfers needed to compensate the poor for their real income loss. However, the absence of formal social safety nets limits the government's readiness to provide well-targeted and timely social transfers to the poor.

This is a title which examines the East African country of Djibouti in a historical framework.

This 2016 Article IV Consultation highlights Djibouti’s expansion of its transportation and utilities infrastructure to leverage its strategic location as a shipping hub and host to military bases. The authorities’ development strategy, Vision Djibouti 2035, aims to transform the country into a middle-income economy and a logistics and commercial hub for all of eastern Africa. Growth is estimated to have reached 6.5 percent in 2016, driven by major public sector projects: the railroad to Ethiopia, the construction of several new ports, and a water pipeline from Ethiopia. Inflation rose to 3 percent on average in 2016, reflecting increased food and service prices.

Located in the Horn of Africa, Djibouti is a small country that is often overlooked on the continent. It is one of the smallest countries in Africa, with a population of just over one million people. Despite its size, Djibouti is strategically located at the mouth of the Red Sea and is a hub for international trade and military operations. This has led to the construction of several major ports, including the Port of Djibouti, which is one of the busiest in Africa. The country is also home to several foreign military bases, including those of France, the United States, and China. As a result, Djibouti has become an important player in regional politics and is often referred to as the "gateway to Africa". However, despite its geopolitical significance, Djibouti faces several challenges such as poverty, unemployment, and political instability. The country's economy is largely dependent on foreign aid and military spending, which has resulted in an unequal distribution of wealth and limited economic opportunities for the majority of its citizens.

Djibouti Country Study Guide - Strategic Information and Developments