Benefits & Challenges for
Host countries

Key Points?

Immigration and emigration is debated to either benefit or trouble host- and/or origin countries. For host countries, immigration and utilization of people in diaspora in general can contribute to gains of human capital, thus to exend level of development and to protect demographic composition. Political- and economic instability, gender inequality, intolerance and xenophobia may challenge the outcome.


Brain Gain, Productivity & Competence boost
diasporaCompetence, flexibility and knowledge about the surrounding world are most valuable characteristics of people in today's society - in every day life so as in business and politics. The skills, experiences and resources of migrants in general, including extended language proficiency, cultural diversity, and as sources of capital, technology and new knowledge and energy, makes them strongly beneficial for host countries, so as for countries of origin.

  Source of Skills, Resources
  Close Generation gaps
  Generate Trade relations
  Multicultural Tolerance

In many businesses throughout the, especially, developed world, migration is an important factor to success as immigrants contribute with different skills which are complementary to the skills of native-born workers. It's a mutual win and host countries economies gain largescale benefits as diverse societies tend to be more productive and innovative than societies with less share of people with immigrant background.

But their potentials goes too often unrecognized, and instead of being utilized by their capacity, many of them stand outside especially the targeted labour market, and even outside other important sectors important for their personal development, e.g. the housing market (career on the labour market is necessary in order to do career on the housing market).

    What if ?
    Political & Economic pressure
    Fulfilled/unequal Support ratio
    Xenophobia & Gender inequality

To not utilze the capacity of people in diaspora, and migrants in general, equals not only a loss of potentials - Brain Waste - but also an increasement of worries discussed further down.

Diasporas as Trade Ambassadors


In particular born abroad individuals have most probably some degree of experience and knowledge of the political, business and religious "landscapes" of their origin countries. Such experience and knowledge can be used constructive by host countries, thus in setting up trade opportuntities between domestic and foreign companies, or to improve already established trade corridors.


"Trade is the glue that will bind us together and the diaspora will provide strength to this bond"

/Karan Singh, India's ambassador to the US 1989-90


In addition, the position of people in diaspora as carriers of these cultural experiences, and multilingualistic capabilities, from both homelands and gradually host countries can enable them to conduct trade themselves. Such a step would benefit not only trade relations between host countries and countries of origin, but could in fact also generate job opportunities.


Demography & Development
The demographic composition of a country affects its economical development. The working aged population (age 20-64) is important for maintaining the societal machinery and for nursing both the elderly population and the younger consistant of those whom gradually will join the working aged group, and so on. These age groups will have to be equally distributed for keeping the population structure sustained, although other factors - e.g. how resources are distributed, health, technology - can affect the outcome.


"Enhanced labour market participation of diasporas would increase support ratio in countries with shortage of people in working age"

Due to weak fertility rates in some, especially developed countries, the level of population above age 64 (combined with the population aged 0-19), has or will, surpass that of the working aged population in a near future. To prevent such a gap and to reach status que the so called support rate has to increase to meet the demands of consequently ageing populations.

Immigration could be one solution to close this gap, but most importantly also by enhanced labour market participation of born abroad persons and people in the diaspora in general - whom are in fact already there and fully equiped to do so. Their fully participation on the labour market is necessary also for coping with alienation of minority groups and consequently also to lower their dependency on social welfare altered by - their in general - poorer promises on the labour market of many developed host countries.

The Welfare state and immigration
Immigration has become a political core topic throughout welfare states across the world. The effects of immigration are strongly debated, and far-rights groups has won notifiable shares of voters and seats in legislative assembles in many western countries.


"The bottleneck consists of (if) host countries fails to utilize the capacity of the migrants..."

Economy seems to be the primary point of these debates, and those against highlights rising costs as reason to limit immigration. However, most studies indicate the opposite result as immigration often generate economic activity and contribute to increased tax revenue. As migrants incorporates their host countries - even though the very start of their new life could constitute increased costs for host society - eventually they will start paying tax and contribute to increased consumption and level of human capital. In the long run, their children - second generation immigrants - will surpass their parents in contributing to increased tax revenues, consumption and level of human capital, which spurs national development. The bottleneck consists of (if) host countries fails to utilize the capacity of the migrants, so as of people with migrant background in general.   

Integration, Economy & Alienation
People of national, ethnic or cultural minorities are often more vulnerable to discrimination, stressed by prejudices, hostility (racism and xenophobia), and to some people's "fear of the unknown" (should we talk about ignorance?) which affects them throughout all sectors of society. Many are discriminated on the labour market, creating a vicious circle which decrease their chances even in other sectors, such as the housing market. As a result, expensive countermeasures from society increases, which spur the philosophy of xenophobic groups.


"The effects of alienation are expensive to cope with and its expense spurs the philosophy of xenophobic groups"

Improved integration of people in diaspora on - most importantly - the labour market is nessecary to invert societal expences and to turn loss of potentials into boosted economies where the capacity of diasporas is fully utilized. This stategy may sound basic but yet nessecary in order to reach the state where both host countries and the people in diaspora (and in a further viewpoint also countries of origin) can gain mutually.


Towards win-win-win
Migration boosts economies and unites cultures and places, but only if migrants' rights are protected properly. Host countries should establish sustainable integration proceedings where the rights of immigrants and people in diaspora are fully protected, but hand in hand also where to facilitate possibilities for people with migrant roots in general to be part of- and contribute their capacity for the societies where they live.

As to reach any success host societies should also work for raising awareness on the importance of people in diaspora, to seriously combat racism, xenophobia, discrimination and gender inequality.

Host countries should foster an environment of collaboration and joint responsibility-taking between politicans, business sector and civil society to reach sustainable proceedings for best practice.

So, lets

  • Improve protection & integration proceedings for immigrants
  • Facilitate for immigrants & diasporas for them to contribute their capacity
  • Combat racism, xenophobia & discrimination
  • Reach "best practice" by improving collaboration & joint responsibitity-taking


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