The Pirate Stock Exchange in Harardheere, Somalia
Pirates have been operating a Stock Exchange in Harardheere, Somalia, since 2007. They use this exchange as a means of financing their crimes, and the EU and United States have done little to shut it down. While it is an important source of income for pirates, it is also a threat to banks in the Somali area.
Harardheere is a fishing town in Somalia
The town of Harardheere is a historic town in the Mudug province of Somalia. The town serves as the capital of the Harardhere District. The town was previously ruled by several Somali sultanates, including the Hiraab Imamate in the 13th century. After Somalia gained independence, the town continued to grow and was home to a number of prominent military officials and politicians.
Pro-federal forces in central Somalia made major gains against Al Shabaab this summer, reaching their main stronghold in the town of Harardheere. Unfortunately, this wasn’t enough, as Al Shabaab managed to retreat and make gains elsewhere in the region. As a result, Somalia is once again undergoing the cycle of give and take.
It is home to a pirate stock exchange
The Pirate Stock Exchange is a thriving and lucrative trading platform. Somali pirates are believed to be funded by well-off Somalis and morally bankrupt business folk from other countries. Pirates use the exchange to raise funds for their expeditions. Sponsors can donate anything from food and kerosene to weapons and information, or simply regular cash.
Pirates terrorize the shipping lanes in the region, and recently, they have become the source of billions of dollars in ransom. The pirate stock exchange is in the center of Harardheere, a town about 250 miles northeast of the Somali capital of Mogadishu. Investors in the pirate missions get a percentage of the profits. The pirate stock exchange is run by Somali locals, who can also profit from the pirates’ operations by providing help for the expeditions.
It is a source of income for pirates
The Pirate Stock Exchange is a method of making money for pirates. It allows pirates to buy and sell shares of companies that they control. These investments are often based on predictions and performance. Currently, pirates have access to this source of income through a trading platform that is operated by pirates in Somalia.
The Pirate Stock Exchange was established in 2009 in Harardheere, Somalia. This market allows investors to profit from pirates’ ransoms, which can reach $10 million for a successful attack against a Western vessel. The pirates’ wealth is a soaring indicator of their political and economic power.
It is a threat to Somali banks
Somali pirates have had their own stock exchange since 2007, and they have been using it to fund their piracy activities. While the UN and the European Union have taken steps to fight piracy, they have done little to shut down the pirate exchange. The clans hold the power in Somalia, and clan leaders aren’t eager to turn against their criminals.
A recent Reuters report emphasized the role of venture capitalism in Somali pirate activities. The report compared the pirate industry to a criminal syndicate and a stock exchange. The pirate stock exchange was set up in the city center of Harardheere, 250 miles northeast of the Somali capital, Mogadishu. It was founded to allow investors to profit from ransoms collected by pirates on the high seas. These ransoms can approach $10 million in a successful attack.
It is organized crime
In 2009, a Somali pirate organization formed and established a Pirate Stock Exchange. Now the pirates are making millions of dollars from ransoms. The pirates are operating in the Gulf of Aden and the Indian Ocean, connecting Europe to Asia. The money that the pirates make goes to the town of Haradheere, which receives a cut of the ransoms and pays for much-needed infrastructure. The pirates’ activities are illegal but the Somali government doesn’t have the resources to stop them. Many young men are being recruited for the life of piracy.
The pirates’ high-level of coordination and their business model show the hallmarks of organized crime. They are increasingly involved in hijacking ships and stealing entire cargoes, particularly those that contain liquid fuel. To be successful, pirates must gather intelligence and coordinate attacks in order to increase their profits. The pirates must also fence the fuel that they steal in order to avoid detection.
