Abba Hamisu Sani
Africa-Press – Nigeria. Statistic shows that there are more than fifteen (15)million Nigerians living abroad among which are different Professionals such as Medical Doctors, Engineers, automobile designers,ICT experts,lecturers and different artisans.and unskilled workers
Nigerians in diaspora are gradually becoming a strong pillar towards strengthening the country’s economy as lack of job opportunities and inflation grows high in the largest black nation.
As Nigerian currency is depreciating especially with the present government policy of unifying the foreign currency exchange rate.
Remittances made by family members living abroad provide so much relief as the funds are used to settle basic needs such as food,medical bills and educational fees.
Without such money sent by diaspora Nigerians many families could not survive.
Nigeria is the eighth country in the world with high abroad remittance
Globally the top recipient countries for remittances in 2022 were India with 111 billion dollar ,Mexico 61 billion dollar ,China 51 billion ,while Philippines 38 billion ,Pakistan 30 billion dollar ,Egypt 28.3 billion ,Bangladesh 21.5 and Nigeria with 21.5 billion.Such development is an indication that Nigerians are doing well in different part of the World they live.
Adama Hudu is a house wife with three children from Borno State North East Nigeria.
She said traveling to Saudi Arabia in search of unskilled job changed her life and that of her family completely as within her five years in the Middle eastern country Change her life completely said she was able to build two houses,one for her parent and the second one for her self to stay with her husband and their children when she returns home.
Adama, like millions of other Nigerians that left the country for a better life, said countries such as Saudi Arabia are the right destination for Nigerians and other Africans to make a living.
She recalled her ordeal when in Maiduguri the capital of Borno State ,the mother of three said during Boko Haram insurgency people like her were in harsh conditions which made it difficult for them to eat once a day.
“Even after the crises Women in Borno State find it difficult to survive as their husbands that are lucky to be alive can not care for them hence searching for alternatives was necessary.
I traveled with my husband’s elder sister who has been staying in Saudi Arabia for more than 25 years. She sponsored my traveling on credit arrangement which I paid within two years. I still consider her gesture as the best thing happen to my life, I remain grateful to her” The Saudi Arabian based Nigerian said
Last year (2022) Mrs. Hudu and millions of other Nigerians abroad sent home 20.1 billions.At the current official market rate of 767 per US dollar, the amount equivalent to 15.3 trillion Nigerian currency(Naira).
This is the highest amount sent to any sub- saharan Africa according the World Bank’s recent Migration and development brief.
The process of sending money to family members or friends in one’s home country, otherwise known as remittances, is a lifeline for many migrant workers around the world.
For Adama Hudu this has always been a dream as she said to be financially comfortable and able to support her parents , husband and her three children. World Bank statistics on the foreign remittance to Africa.
The World Bank report indicate that remittance to Africa increase to 54 billion dollars in 2022, a 6.1 percent increase from the preceding year 2021.
The report said regional growth in remittances was largely driven by strong remittance growth in Ghana (11.9 percent), Kenya (8.5 percent), Tanzania (25 percent), Uganda (17.3 percent), and Rwanda (21.2 percent).
It added that the increase in remittance flows to the region supported the current accounts of several African countries dealing with food insecurity, supply chain disruptions, severe drought (Horn of Africa), floods (in Nigeria, Chad, Niger, Burkina Faso, Mali, and Cameroon), and debt-servicing difficulties.
“In 2023, growth in remittances is expected to ease to 1.3 per cent, the remittances, usually understood as the money or goods that migrants send back to families and friends in origin countries, are often the most direct and well-known link between migration and development” The World Bank said.
The World Bank also provides annual estimates of remittance flows globally (and bilaterally), based on national balance of payment statistics produced by central Banks and compiled by the International Monetary Fund (IMF).
Other African Countries citizens foreign remittance
Ghana and Kenya are behind, receiving $4.7 and $4.1 billion respectively. Zimbabwe recorded $3.1 billion, followed by Senegal, $2.5 billion, Democratic Republic of Congo, $1.7 billion; Sudan, $1.5 billion; Uganda, $1.3 billion; Mali, $1.1 billion; and South Africa, $900 million.
The world Bank forecast on 2023 Remittance
Abroad remittances are estimated to reach 1.4 per cent to 6.56 billion dollars in 2023 as economic activity in the remittance source countries is set to soften,limiting employment and wage gains for migrants.
In the post-COVID period of slower economic growth and falling foreign direct investments, remittance inflows have become more important to countries and households, given their resilience as a source of external financing.
“Remittances are highly complementary to government cash transfers and essential to households during times of need,” said Michal Rutkowski, Global Director of the Social Protection and Jobs Global Practice at the World Bank.
Remittance from Nigerians abroad supersedes the foreign direct investment in flow
Nigerian foreign direct Investment stands at 4.8 billion dollars in 2021 while diaspora home remittance was 20 billion dollars.
Abike Dabiri Erewa is the Chairman and chief Executive Officer Nigerians in the Diaspora Commission (NIDCOM).
She commended Nigerians in the Diaspora on the rise in remittances in the first quarter of the year by 20.3 percent representing the seventh consecutive quarterly increase in diaspora remittances since last quarter in 2020.
Dabiri Erewa says that the increase in remittances by Nigerians abroad which has played a significant role in the country’s Gross Domestic product (GDP) has a great impact on the Socio- economic growth of the Country.
This was disclosed in a statement by the Commission’s Head of Media and Public Relations Abdur-Rahaman Balogun in August this year.
“As the world recovers from the global pandemic and confronts instability of many kinds, we want to honor the efforts of all those who continue to support their loved ones despite the challenging circumstances.” Erewa said.
According to the NIDCOM boss, the recent figures released by the Central Bank of Nigeria (CBN) showed an increase in remittances in quarter one of 2022 to $5.16 billion from $ 4.29 billion in the same period in 2021.
Also, the Naira for Dollar Scheme created by the Central Bank of Nigeria (CBN) in 2021, attracted $2.4 billion in diaspora remittances within eight months, surpassing the figure reported in 2021.
She said NiDCOM will continue to push for more engagement with our diaspora who are an indisputable economic factor and are becoming an investment factor in the country, noting that many Nigerians abroad are investing in agriculture, real estate , health ,education and ICT, amongst others.
Dabiri-Erewa implored all stakeholders to continue engagement for Diaspora Voting with the National Assembly to amend relevant sections of the law to enable the Independent National Electoral Commission to do the needful.
She assured Nigerians abroad that details of Nigerians Diaspora Investment Trust Fund (NDITF) will soon be unveiled as a platform for structured diaspora investments, just as
Diaspora mortgage and housing facilities are some of the programmes being introduced by NIDCOM for the welfare of the citizens abroad.
Nigerian States and the creation of Diaspora Focal offices
Similarly, 33 states now have State Diaspora Focal Point Officers with Abia setting up Abia Diaspora Agency, while Edo and Enugu are almost set with their own agencies just as Ondo and Anambra states have Commissioners.
She also described the Diasporans as a valuable asset worth more than the billions of naira they sent home as remittances as they are contributing immensely to national development through training and capacity development.
Stressing that no nation can develop without its diaspora, she emphasized the need for Nigerians at home and in diaspora to work together.
However the increase in the remittance of Nigerians from abroad is another milestone to the Nigerian economy which is in critical condition.
Nigerians that live and work in various part of the world need to invest in different aspects of the economy and generate employment.
Nigerian government need to establish Ministry of diaspora affairs to encourage and support its citizens in diaspora,
Discouraging Nigerians from traveling abroad is not a good decision but the government should take the right measures to guide them, particularly youths, on the proper method to travel legally.
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