The CEO of the Nigerians in Diaspora Commission (NIDCOM) Abike Dabiri-Erewa has stated that Nigerians living abroad can rescue the country from its economic woes. She claimed that Nigerians living abroad have been instrumental in helping to solve the nation’s economic problems through generosity, investments, and remittances, among other means. Speaking on the upcoming 2024 National Diaspora Day, Dabiri-Erewa said that the Economic Growth of nations like Israel, Ireland, China, Pakistan, India, and Israel was supported by their citizens living abroad.
She asserted that the approximately $20 billion diaspora remittance report for Nigeria in 2023 demonstrated that the nation can overcome the majority of its economic difficulties without turning to loans from the World Bank and International Monetary Fund (IMF). The CEO of NiDCOM stated that in order to fully utilize Nigerians living abroad for the benefit of the nation, concerted efforts must be taken to organize them. According to estimates from the commission, there are around 17 million Nigerians living abroad. However, this figure may include individuals who are descended from Nigerians or who have obtained citizenship in their new countries.
2023 remittances account for about 4% of the country’s GDP.
It is undeniable that the Nigerians living abroad contributes significantly to the economic growth of their homeland through ventures, skills, and remittances. Their networks, expertise, and unique approaches have an immense effect on both national and local development. Remittances from Nigerians living abroad, estimated at $20 billion in 2023, which account for about 4% of Nigeria’s GDP, surpass total inflows from foreign direct Investment (FDI), Foreign Portfolio Investment (FPI) and official development assistance (ODA). These remittances underscore how important they are to Nigeria’s economy.
At the 2024 Nigerian American Business Forum (NABF) conference, the United Nations Development Programme (UNDP) discussed with members of the Nigerian diaspora on potential for investment in Nigeria. The forum explored the possibilities of using diaspora Finance for sustainable development, while also highlighting profitable investment opportunities within the nation. Discussions focused on how contributions from the diaspora may support Nigeria’s goals for national development, highlighting their crucial role in this process. The development of infrastructure, Security reforms, human capital development, Infrastructure diversification, and improved governance are important areas for investment.
Investors have real chances to support developments.
Nigeria is extending a warm welcome to its diaspora through institutional frameworks intended to encourage investment domestically. They can now be able to direct their investments towards worthwhile projects through programs like the Diaspora Trust Fund, the Diaspora National Housing Fund (NHF) Mortgage Scheme, and the potential issue of Diaspora Bonds. These initiatives are giving Investors from the diaspora real chances to support the development and expansion of Nigeria’s economy. The Renewed Hope Agenda, the 4D Foreign Policy Model, Agenda 2050, and the National Development Plan (NDP) 2021–2025 all provide details on further strategic investment opportunities that are in accordance with Nigeria’s development aspirations.
Millions of Nigerians are currently expatriates who support both their host nations and Nigeria through investments and remittances. Although exact numbers are unknown, estimates place the number of Nigerians in the United States very high. There are also sizable populations of Nigerians in the United Kingdom, Canada, and several other nations in Europe, Asia, and Africa. Remittances from the Nigerians living abroad rose by 20.3% in 2022 alone, to $5.16 billion in the first quarter of 2022 from $4.29 billion in the same time of 2021.
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Beyond financial contributions, a large number of Nigerians living overseas are actively involved in advocacy efforts to advance Nigeria’s interests globally. They also contribute to the growth of Nigeria’s human capital by returning with invaluable knowledge, skills, and expertise from their host nations. Notwithstanding the noteworthy contributions and prospects, issues like the business climate and relations between the government and diaspora still require attention. To fully capitalize on the potential of their investments, persistent efforts in regulatory reforms, security improvements, and fostering an enabling environment are necessary.