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MIGRATION, REMITTANCES AND DEVELOPMENT IN AFRICA

MIGRATION, REMITTANCES AND DEVELOPMENT IN AFRICA. Yves CHARBIT Professor at Paris Descartes University Director of the CEPED. 1. AN IMPORTANT ISSUE Do remittances contribute to rural development?. 1. A brief summary of the migration situation in Africa

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MIGRATION, REMITTANCES AND DEVELOPMENT IN AFRICA

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  1. MIGRATION, REMITTANCES AND DEVELOPMENT IN AFRICA Yves CHARBIT Professor at Paris Descartes University Director of the CEPED 1

  2. AN IMPORTANT ISSUE • Do remittances contribute to rural development?

  3. 1. A brief summary of the migration situation in Africa • 2. The macro-economic dimension • (aggregates and indicators) • 3. The micro-economic dimension • (family poverty)

  4. I. A BRIEF SUMMARY OF THE MIGRATION SITUATION

  5. SOUTH-NORTH or SOUTH-SOUTH • MIGRATION?

  6. TWO-WAY MOBILITY • INTERNATIONAL MIGRATION • INCREASED BY • INTERNAL MIGRATION

  7. AFRICA IS UNDERGOING RAPID URBANISATION

  8. Total population x 3.3 in 45 years • Urban population x 10 in 45 years • The rural exodus: • 80 million West Africans

  9. PROJECTIONS • FOR WEST AFRICA • 15 % city-dwellers in 1960 • 60 % city-dwellers in 2030

  10. Factors offsetting the imbalance?

  11. A less isolated rural worldMobile phone subscribers in West AfricaFixed line subscribers

  12. II. THE MACRO-ECONOMIC DIMENSION • (AGGREGATES AND INDICATORS)

  13. Are remittances a source of local wealth and development?

  14. THE PROBLEM ASSOCIATED WITH DATA • No shortage of case studies on remittances to the rural world • But no global balance sheet available • Analysis by analogy • (Charbit, 2009)

  15. Two indicators: • Remittances per inhabitant • GDP per inhabitant What is the correlation?

  16. A fairly low correlation • R2 = + 0.33 (for 19 countries) • Interpretation?

  17. A result which is both • predictable and desirable

  18. III. REMITTANCES, FAMILIES, LOCALDEVELOPMENT • (MICRO-ECONOMIC DIMENSION)

  19. SOCIALDEVELOPMENT • Situation: • Remittances mean that health, education and housing costs can be met • Thus benefiting the families, but also the rural communities

  20. CHANGE IN FAMILYSTRUCTURES • Male migration: • almost 40% of women are heads of households in Africa (Lesotho)

  21. A PROBLEM NOT SUFFICIENTLY STUDIED • Feminisation of poverty connected to emigration?

  22. Female heads of household suffer serious disadvantages • Illiteracy. • Widowhood (or youth in the case of the husband’s migration). • Non-working, or involved in insecure, low-productivity work. • More dependents and non-working members.

  23. More acute poverty? • In Senegal, female households are less exposed to cash poverty than those headed by a man(Charbit and Kébé, 2007)

  24. Two accumulative factors  • 1/Income from migrants is higher • in households headed by women • emigration of the husband to Europe or the USA • internal emigration in the other households • 2/ Mobilisation of social networks

  25. IV. CONCLUSION • Remittances contribute to development: • at the macro-economic level (country) • at the micro-economic level (families)

  26. They exacerbate the urban/rural imbalance • among many other factors, • all connected to structural development, the urbanisation of Africa

  27. THANK YOU FOR YOUR ATTENTION Yves CHARBIT Professor at Paris Descartes University Director of the CEPED 30

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