"Worst-case scenario" unfolding, UN says

A UN report points out that the "worst-case scenario" is unfolding in Somalia, particularly in central and southern areas where two-thirds of the population live. A mid-term review of the Consolidated Inter-Agency Appeal (CAP) says the prospect of a serious humanitarian disaster still looms, due to an expected poor July harvest in the "breadbasket" areas of Bay and Bakool, and continuing civil unrest. The report underlines the "two faces" of Somalia: chronic crisis in central/southern areas, and relative stability and early development in northern areas which give a "ray of hope" for the future. The latest report by the UN Country Team (UNCT) for Somalia substantiates the mid-term review, stressing the urgent need for a sustained humanitarian response in southern and central areas. The economy remains depressed due to the collapse of the banana trade and counterfeit Somali shillings flooding the market, impoverishing still further an already chronically-poor population. Rainfall in the Shabelle valley last month was below normal, resulting in scarce water availability, particularly in the pastoral areas. Rainfed crops are also suffering and commodity prices are high.