Djibouti is at the gateway to the world’s most important maritime route.

Djibouti (Sunatimes) The shipping route from China and India to Europe runs via the Gulf of Aden, the Red Sea and through the Suez Canal to the Mediterranean.

Much of the oil transshipped around the world uses this route.

Any interruption in this flow of traffic would be devastating for the world economy, and especially damaging to the European economy – which is already under pressure as a result of the budget deficits facing many Eurozone nations.

For this reason Djibouti, which forms the narrow straight into the Red Sea between itself and Yemen, hosts several foreign bases established to protect the shipping lanes – a more difficult task with the advent of Southern Somalia-based piracy.

Threats to this route come from Yemen, the conflict in Southern Somalia, tense relations between Ethiopia and Eritrea, and an unstable Sudan.

Whilst Djibouti, in the midst of this volatile region, has in the past been regarded as a beacon of stability, this reputation has been rapidly fading away. The decline in the quality of governance has been accompanied by economic decline, ethnic tensions alleged to be fomented by the government, and impunity. The judicial system is no longer independent, taxes and regulations have become ‘confiscatory’ and unemployment has exceeded 70%. A population of 600,000 has been expanded by 200,000 refugees from Southern Somalia, Ethiopia and other nations. The refugees live in terrible conditions.

Services for the population are insufficient, and despite the efforts of charitable institutions, the poorest are neglected.

As a result, Djibouti is sitting on a powder keg.

The country is largely barren and food is imported and expensive. Access to food and water is politicised and has been used as a social weapon.

The President’s decision to change the constitution and stand for re-election in April 2010 has angered the population and dashed hopes of reform.

Tensions with the foreign bases have arisen, and resentment has increased. What’s more the decline in governance and excessive centralisation has meant that the state no longer fully controls its own territory – creating an environment ripe for the gestation of militancy and militant groups.

There are alternatives. In Djibouti the typical dictatorship mantra of ‘there are no alternatives’, does not apply. This programme is testimony to that.