Benefits & Challenges for
Origin countries

Key Points?

For less developed countries especially, emigration of skilled persons is considered to constrain the prosperity of development. However, the (ex-)nationals can keep contributing to the development of their origin countries from abroad, thus by generating resources and investments from abroad, establishing trade relations and contributing to improved conditions for their families left behind (e.g. through remittances).

 

Brain Gain vs brain drain

Brain drain, as defined, has for long been considered solely as a vicious event depriving sender countries, often less- and least developed countries, professionals needed for national development. However, and which is recognized by many, emigration of those people contribute not only positive where the capacity of migrants is transferred. Hence, the capacity generated and advanced by people in diaspora (such as extended language proficiency, capital, technology, knowledge and trade potentials) could be utilized even by countries of origin, thus by opening up possibilities for diasporas to contribute their knowledge and capacity for their countries of origin - by their return or virtually from abroad - including to engage them to invest in lucrative sectors of home countries' economies.

 
  Remittances to back home
 
  Resources from abroad
 
  Generate Trade relations
 
  Marketing overseas

Facilitating Capacity retrieval
Technological progresses and increased global awareness have taken the migration progress to a new level where the individuals are given more opportunities to be aware of changes and to be a part of- and influence changes. Hence, members of diaspora communities and migrants in general are today blessed with increased possibilities to be aware of the situation in their countries of origin, but also with more opportunities to actually contribute and favour the situation of their countries of origin as well as - for which their contributions many times are targeted - for their families still there.

For home countries to benefit, home countries need to recognice the importance of their (ex-) nationals living abroad, and take action to ease for them to invest their capacity and resources back.

Investment and Trade opportunities
Many people in diaspora show interest in being part of- and contribute their capacity for their countries of origin, even from abroad. Countries of origin would benefit from incorporating their (ex-) nationals abroad as diasporas are often enriched with increased skills, experiences and resources collected from life abroad, as migrants and of course by their characteristics as people already from start enriched by capacity-factors to complete the migration process (e.g. resources and social networks).

    What if ?
    "Brain drain" & Lost Workforce
    (Ex) nationals abroad ignored
    Economic & political instability

For low-income countries especially, the action of reconnecting (the capacity of) people in diaspora with their home countries could be a strategic effort to speed up development. As diasporas are equipped with knowledge of business and political culture of both homeland and host country, they can be used constructive to establish or improve trade relations between homelands and countries where the people in diaspora are scattered.

 

"Diaspora populations can play an important role for less-developed countries as bridges to broader markets, through the promotion of trade and tourism in their countries of origin"

/Migration Policy Institute

 

 

However, despite a growing interest from both sides some bottlenecks still exists. One of these constitutes the diasporas' very awareness about investment or trade opportunities and concrete possibilities to come back, physically or virtually, and invest their capacity and resources in different sectors of their home countries. This depends certainly also on the capacity and arrangements of their home countries for them to actually meet the ambitions of their (ex-) nationals abroad. Hence, the reason for people emigrating in first place is that their intentions were to improve their livelihood in some sense, and consequently it would require change for them to return.

 

Remittances

(the money immigrants send back to countries of origin)
Considered as a development generator (even as an important tool in poverty reduction), remittances sent by the diaspora contributes to long-term socioeconomic effects at both micro- and macro level.

 

"Remittance flows in 2016 estimated to $575 billion ($429 billion targeting developing countries)"

/The World Bank

At present, remittances serves as a development component primary at the household level as it supplies families of the migrants abroad sending the money with reasonably assets for them to attain improved lively conditions. At the macro level, remittances contribute to long-term socioeconomic development, thus by strengthening the capacity of the households affected to make investments in education, entrepreneurship and health. Already remittances top world official development assistance (ODA) and since the early 1990s remittances have accelerated to become the most important source of finance for developing countries from abroad, even ahead of Foreign Direct Investments (FDI).

 

remittaces

Over dimensional costs of sending and redrawing monetary transfers in combination with unfavorable regulations mostly in countries where the money are to be withdrawn are some critical issues in need to deal with.

Another obstacle is found in the physical and technological structures surrounding money transfers which needs to be utilized in favour for all parties involved. as a result, a large part of remittances is transfered through un-official channels - and goes therefor un-registered - for which to manage it is crucial to eliminate barriars for the benefit of all.

Also, global economic crises may lower the levels of remittances as migrants' capacity to remitt money naturally slows down. The effects of global economic crises are therefor more critical for already constrained economies as those of low-income countries. For single families, stagnation of remittances from their family members abroad can have serious impact for them to obtain basic needs – or as Rita Ramalho, Acting Director of the World Bank’s Global Indicators Group, put it:

 

"Remittances are an important source of income for millions of families in developing countries. As such, a weakening of remittance flows can have a serious impact on the ability of families to get health care, education or proper nutrition,"

/Rita, Ramalho, The World Bank

 

Diasporas "Migrants" as Peace lobbyists
& their role in Poverty alleviation

Some people in diaspora play part in transnational political activities towards influencing policies in countries of origin. From their base in organized diaspora communities, they can promote their importance for their origin countries, through their tactical commitment to form- and support oppositions and civil rights movements in countries of origin, but most importantly by creating awarness and opinion throughout the international community.

The engagement of people in diaspora from less developed countries to improve the conditions back in their homelands may involve also direct anti-poverty measures, such as aid promotion and fundraising. Such approaches could target build-up- or restoration of local schools, clinics, macroeconomics, support to farmers, water- and sanitation facilities, and so on, which boosts national growth.

 

Towards win-win-win
Emigration is a natural event and has its base in individuals', or groups', intentions to improve their livelihood. It may be voluntary to edge their lives or forced and based on survival. In terms of voluntary emigration, the challenges for origin countries consist in establishing sustainable proceedings for maintaining- and establishing good relations, and trust, with its (ex-)nationals abroad.

First of all, it is vital for origin countries to recognize the importance of their (ex-)nationals abroad, and secondly, to identify best practice how to retrieve the capacity of their (ex-)nationals abroad, thus to facilitate for them to contribute and invest their capacity and resources back, virtually or by their return. This include also to eliminate eventual barriers for people in diaspora to contribute and invest their capacity and resources back, which can include collaboration between origin- and host countries.

So, lets

  • Identify ways to establish good relations between origin countries and its (ex-)nationals abroad
  • Facilitate for (ex-)nationals to contribute their capacity for their origin societies
  • ...including to eliminate bottlenecks for diasporas to contribute their resources and capacity back

 

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