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Modern African "ethno-national" diasporas of today are very different from the "old" black diaspora which emerged out of the slave trade. Contemporary migrants are very much in touch with their homeland, to which they often remit money on a regular basis. They have an economic and political role to play in the countries of departure as well as arrival. In the homeland, they can contribute to development and democracy, especially in enclaves, island micro-states and war-torn countries which record disproportionate emigration flows.

This study attempts to assess the strategic value that remittances have in African countries situated south of the Sahara. In the first part, the focus is on political interaction between migrant communities and their homelands. Conspiracies, armed struggles and voting lobbies are not the only forms such interventions take: more subtle patterns of politics in exile are developed through ethnic transnational networks, cultural exchanges and economic influence. All things being equal, the relative significance of remittances to a national economy can confer a political role on a country’s diaspora, especially if the contributions made by the expatriates come with conditions.

The dilemma can be summed up as follows: Informal private transfers from migrant communities can be used to support armed struggles or terrorist attacks, or to facilitate money laundering. But a crackdown on illegal immigration and the sending of remittances can provoke economic crisis in the homeland, encourage the black market, and force failed states to resort to radical solutions, including war or crime. Founded as remedies for a loss of income, offshore banks and free-trade zones present a global threat, partly because they are much more effective as a means of laundering money than remittances.

The study finds that:

• micro-states with few or no natural resources are likely to put their territory at the disposal of anyone ready to pay a lump sum, perhaps even including criminal organisations
• because their domestic economies are highly dependent on the diaspora, island micro-states, enclaves and countries ravaged by war may be forced by the deportation or retrenchment of migrants and the concomitant drop in remittances to consider criminal activities as a source of income
• remittances cannot replace foreign direct investment, and the capital is usually wasted on showy spending which is not directed towards the development of agricultural or industrial production

The study concludes that to deny the impact of remittances would be a mistake. Even if African migrants do not have the financial power of the Chinese diaspora or the sophistication of Jewish expatriate organisations, they play a crucial economic and social role in countries where poverty is widespread and remittances are essential to survival. In the context of politics, diasporas are also important actors, although their influence has to be assessed over the long term. The three main issues arising in this paper which require further analysis are the impact of exile politics, remittances and return migrations.

Summary originally provided by GDNet, an Eldis content partner

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