Migrant Labour Remittances in Africa and their Developmental Impact
Raj Bardouille, Visiting Fellow, Institute for African Development, Cornell University
rajbardouille@yahoo.com
Studies on migration in Africa (internal
and external) have generally focused on trends in movements of people
within and outside their countries of origin, the causes and consequences
of such human resource flows, issues and problems of adaptations of
migrants , etc. A much neglected area of research is remittances and
migration in Africa. Historical, cultural and linguistic bonds have
produced a strong flow of skilled and unskilled migrants from African
countries to their former colonies. Wars and civil strife and the associated
political and economic instability and uncertainties are growing drivers
of African migration.
The paper notes that significant improvements have been achieved in
recent years in many African countries in the economic and political
spheres, however, the development challenges facing the continent remain
daunting, requiring massive inflows of investment resources (domestic
and external) coupled with putting in place appropriate policies to
address such challenges. A potentially important external source of
finance is African migrant worker remittances. The paper argues that
as migration from Africa is generally on the rise, remittances are
likely to remain significant and constitute an important and reliable
source of external resources for many African countries. This calls
for greater attention in studies of migration and discussions of remittances.
Against the backdrop of migration patterns and trends in and remittance
flows to Africa, the paper will examine the developmental effects (macro-
and micro-economic effects) of remittances on the receiving countries
and households/ communities. It will also identify some of the bottlenecks
and obstacles, including weak financial infrastructure related to remittances,
which tend to reduce the potential developmental effects of such financial
flows. The paper will particularly focus on the Diaspora and ways to
more actively engage Diaspora individuals and groups in Africa’s
development by tapping and mobilizing their financial (in addition
to remittances), human, social and political capital, thus turning
the “brain drain” into the “brain gain”
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