Business Action for Africa

How can the UK's Department for International Development harness the diaspora for Africa's development?

This evening we co-hosted an event looking at "Harnessing the Diaspora to Drive Investment, Enterprise Development and Jobs in Africa".  Speakers - from Kraft, Ethnic Supplies, the British African Business Alliance and Comic Relief - highlighted the hugh value that the African diaspora can bring, and a range of innovative ways in which this potential can be unleashed.  Audio from the event will available shortly here.

 

The fact is that the African diaspora are a potent force for driving investment, enterprise development and jobs in Africa. A recent World Bank report estimates that there are at least 30 million people in the diaspora, with migrant remittances exceeding US$40bn in 2010 . Beyond remittances, the diaspora can be a powerful driver of trade, investment, enterprise development, job creation, innovation and skills.  The Economist, in an article this week entitled "The magic of diasporas", provides a powerful case for value of the diaspora.

 

So it is timely that the Department for International Development (which sits on our board) is thinking seriously about how best to harness the diaspora to support its development objectives in Africa and elsewhere.  Share your ideas below and we'll pass them on.

Views: 187

Tags: #Base of the Pyramid, #Enterprise Development, #Finance and Investment, #Inclusive Business Models, #Trade

Chidi N Comment by Chidi N on November 24, 2011 at 1:54am

DfID can support capacity building by providing training for returnee diaspora or diaspora willing to go back for a fixed period to deliver development projects. It can also increase accountability by linking any assistance or intervention to good governance.

It can also lobby for more robust application of the Bribery Act and other money laundering legislation in order to deter corrupt politicians and officials and thus remove the need for ODA in the first place.

Form partnerships with diaspora groups and act as a link/ mediator between them and their high commissions/ embassys to start removing some of the obstacles to travel, business and investment

Tom Minney Comment by Tom Minney on November 24, 2011 at 8:00am

I agree with Chidi, that training and expectation management can be good and make a difference. Some agencies already have decades of experience in preparing people to be effective and there is no reason that should not also be useful  for diaspora too. Also more provision and support for volunteering and other shorter engagements can help people prepare.

 

Support when-in country. Having good support networks would help people find solutions. Often the solutions are there but businesspeople are not in the habit of sharing information and tips and there is very little on the web etc, regulations are not clear. Creating more end-user power (i.e. businesses as consumers of tax regulation, financial services, etc) and portals to share information would mean they could benefit themselves and each other, and also form effective lobbies for improvement as they would have expectations of how things should be or could be and these values and expectations could have a beneficial effect on local society. A network of business bureaus to ease communications between business and government and train as necessary could make the business environment less difficult for locals and foreigners alike and encourage the pent-up entrepreneurship that is currently constrained by hostile environment.

Yomi Oloko Comment by Yomi Oloko on November 24, 2011 at 8:35am
DIFN can relaunch the Diaspora volunteer programme, which they previously funded and which during their evaluation of the programme they awarded it with a Double A mark.
With the funding the organisation I worked for took 28 Diaspora volunteers of mainly Nigerian heritage on short term placements mainly involving essential capacity building training.
Many of the volunteers either had never been to Nigeria or had none gone to Nigeria for several decades.
Many now are at various stages of developing or funding small business or creating sustainable partnerships with in country development player.
Diaspora volunteering was also much more cheaper than expat consultants and trainers going into Nigeria to provide capacity building training and many of the in country trainees indicated that they also understood our Diaspora volunteers better than many expat trainers they had received training from in the past.
Patrick Anigbo Comment by Patrick Anigbo on November 24, 2011 at 3:51pm

I agree with Yomi. The Diaspora volunteer program added huge capacity to African public sectors and sometimes gave Africans in diaspora a taster to encourage them to perhaps consider settling back in the continent and contributing permanently. The continent is even better placed now to benefit from that program or a similar improved version.

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