SomDesk
Editorial Intelligence
Diaspora and Social

When Cash Failed, Connection Became Currency in Somalia

13 July 2026 · Verified · 3+ independent sources · Edition 6

Following the collapse of Somalia's central government in 1991, public institutions and the formal banking system severely weakened, eroding trust in national financial systems. This led many Somalis to rely on physical cash, which was difficult to move and trust, and increasingly on social connections as a form of currency. The article explores the societal and economic adaptations in the absence of formal financial structures.

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