Turkish foreign direct investment and peace in Somalia: a new political stabilization policy

Abstract

PurposeThe purpose of this paper is to investigate the extent at which Turkish foreign direct investment (FDI) contributes to the process of peacemaking in host country.Design/methodology/approachThis study utilized a qualitative method and used a focus group discussion and an in-depth interview.FindingsThis study found that Turkish FDI contributes well to the process of peace building in Somalia.Practical implicationsA well-balanced FDI is expected to contribute to the process of peace building in host country because FDI is associated with job creation, technology transfer, private sector enhancement, infrastructure development and social responsibility. These factors increase household income of the host country and contribute to human capital development. By doing so, resource-centered conflicts are reduced and peace is established.Originality/valueThis study is considered as one of the unique studies that have been conducted in the context of post-conflict economy of Somalia. The study investigated the extent at which Turkish FDI contributes to the process of peace building in the host economy and found some interesting evidences, which makes it an appealing work that should be pursued further. This study is not only investigating a novel area of research but also contributes very much to the ongoing policy debate on the recovery and development of post-conflict economies.