In a world increasingly connected by migration and globalisation, diaspora communities have emerged as powerful, but often sidelined drivers of international development. As a member of the Pakistani diaspora, I’ve seen how emigrants with strong ties to their origins significantly contribute to their homeland’s economic and social progress. Diasporas make remarkable contributions to development, and governments can and should actively support and amplify their efforts by creating more inclusive and effective engagement opportunities.
What are diaspora communities and how do they contribute to development?
The International Organization for Migration (IOM), the UN’s migration agency, defines diasporas as “migrants or descendants of migrants, whose identity and sense of belonging have been shaped by their migration experience and background”. Diasporas contribute significantly to both their origin and resident countries.
Economic contributions, such as remittances, are some of the more tangible and direct contributions that diasporas make. Remittances, money that diaspora members send to their home countries, support families, improve living standards, and boost the overall economy. Since 2015, they have been the largest source of external finance for low and middle income countries, surpassing Official Development Assistance (ODA) and exceeding Foreign Direct Investment (FDI) by over $270 billion in 2023.
Diasporas support local infrastructure and transfer knowledge, skills, and expertise to their home countries. For example, through TiE (The Indus Entrepreneurs), members of the global Indian diaspora mentor and support startups and innovators in India by providing guidance, access to networks, and exposure to international markets. This promotes sustainable economic development and enhances bilateral relations, as well as leading to the establishment of technological advancements, and job creation in India.
Diaspora communities also mobilise crucial support for recovery and reconstruction in the aftermath of crises or disasters in their home countries. The Syrian British Consortium, for example, mobilises Syrians in the UK and engages with the UK Government to provide medical aid, humanitarian assistance, and psychosocial support to Syrian refugees and internally displaced persons (IDPs). The Consortium also advocates, raises awareness of and investigates the humanitarian and political situation in Syria, promoting accountability and empowerment.
How can governments support diaspora initiatives?
Growing up as a member of the Pakistani diaspora, I have seen firsthand the commitment that my community has to supporting, building, and rebuilding our homeland, particularly through emergency appeals following devastating natural disasters in the region and sending remittances to villages and communities. However, without active engagement from the Pakistani Government with the diaspora community, our contributions remain uncoordinated and, unfortunately, do not reach their full potential. Governments worldwide should take proactive steps to gain more benefits from diaspora initiatives and facilitate sustainable development.
In recent years, there has been a noticeable reluctance in global aid pledges, highlighting the need for alternative solutions to support global development efforts. Leveraging the efforts of diaspora groups, alongside more traditional aid pledges, such as Official Development Assistance (ODA), presents a powerful and comprehensive strategy. Through implementing supportive policies, Governments can effectively integrate diaspora communities into development strategies, facilitating a multifaceted approach to international development initiatives.
One effective approach is to provide financial incentives for remittance channels, thereby minimising transaction costs and maximising the impact of diaspora contributions to economic development. Another is to invest in programmes that facilitate two-way knowledge transfer and skills development, enabling diaspora members to contribute effectively to their countries of origin in fields such as healthcare, education, and entrepreneurship, sharing skills to foster local development.
By fostering partnerships between diaspora organisations, and international agencies, governments can leverage resources and expertise for sustainable development. Involving diaspora communities in the policy-making process can ensure that their perspectives and needs are considered, and establishing diaspora councils or advisory boards can help to formalise this engagement.
Finally, recognition of the valuable role of diaspora communities could go a long way. Awards, grants, and public acknowledgment can encourage continued engagement and foster a sense of pride and commitment among diaspora members. As someone who has seen the dedication and hard work of diaspora communities firsthand, I believe that such recognition would validate efforts and inspire even greater contributions, reinforcing bonds with homelands and motivating groups to continue making a positive and long lasting impact.