CENTRE FOR MIGRATION STUDIES,

LEGON

HARNESSING THE CONTRIBUTION OF GHANAIAN TRANSNATIONAL MIGRANTS TO DEVELOPMENT IN GHANA THROUGH ENHANCING THEIR INFORMAL

SOCIAL PROTECTION SOURCES

DELALI MARGARET BADASU

OUTLINE

• Introduction

• Remittance flows as Evidence of contribution

of migration to development

• Why Enhance Informal Sources of Social

Protection for Migrants as Means of

Harnessing Remittance Flows?

• Policy Recommendations

INTRODUCTION

In 2013, the number of international migrants worldwide was 232 million.

Indicating an increase from 175 million in 2000 and 154 million in 1990.

Between 1990 and 2000, the international migrant stock grew by an average of 1.2 per cent per year.

In 2013 international migrants accounted for about 3.2 per cent of the world population compared to 2.9 per cent in 1990.

Source: UNDESA, 2010; 2013

INTRODUCTION contd.• This low percentage of world’s population who are

international migrants accounts for little attention given to migration in development planning and practice?

• Situation changing despite a lingering debate on the migration-development nexus

• Last decade seen increasing interest of governments governments in placing migration in their development agenda, eg. Euro-African Dialogue on Migration

• Migration issues to be addressed in post-MDGs era; and is appropriate

• US$2 billion remittances were received in developing countries in 1970 (Gammeltoft, 2002 and World Bank, 2011).

• While about $325 billion were received in 2010 (Gammeltoft, 2002 and World Bank, 2011).

• Uganda, for instance, had remittances rise from $80 million in 1991 to $415 million in 1996 (Adepoju, 2008).

• Ghana’s remittances had risen from about $1.3 billion in 2004 to about $2 billion in 2008 (Bank of Ghana, 2010).

• These exclude informal transfers and suggest that actual totals are a lot higher .

Sample Statistics on levels of remittances

Resilience of remittances across all regions

-2%

0%

2%

4%

6%

8%

10%

12%

Developingcountries

East Asia andPacific

Europe andcentral Asia

Latin Americaand carribean

Middle-Eastand North

Africa

South Asia Sub-SaharanAfrica

2010

2011e

2012f

2013f

2014f

Source: Ratha, 2012

Top remittance receiving countries, 2011 ($ million)

58 57

24 23

12 12 11 9 8 8

Source: Ratha, 2012

Top remittances recipient countries(As % of GDP, 2010)

3129

2523

2120 20 20

1716

Source: Ratha, 2012

ODA, Remittance and FDI as a percentage of GDP in Ghana (1990 – 2003)

Source: Addison, (2004) and Bank of Ghana, (2010)

WHY SOCIAL PROTECTION FOR INTERNATIONAL MIGRANTS?

• Migrants have atypical life-cycle, may face social andeconomic risks and lack social capital

• Migrants move between distinctively regulated labourmarkets and social protection systems

• Are away from home country and social protectionsystems and safety networks

WHY SOCIAL PROTECTION FOR INTERNATIONAL MIGRANTS?

• Migrsnts might have contributed to socialprotection systems in their countries

• Their access to them may cease or diminishsubstantially as they move to a host country

• Social protection therefore addresses the rights ofmigrants

• Socially protected migrants improves productivityof migrants and is of benefit to governments atdestination and origin: Mazuccato’s (2011)reverse remittance concept

WHAT IS SOCIAL PROTECTION?

• “… aims at reducing vulnerabilities and managingeconomic risks of individuals, households andcommunities. … includes interventions andinitiatives that support individuals, householdsand communities in their efforts to prevent,mitigate and overcome risks and vulnerabilitiesand enhance the social status and rights of themarginalized”

(Avato et al 2008, citing from Hollzman and Jorgensen 2000, etc.)

Social Protection through Social Capital

• Migrants’ social protection can be secured also through social capital

• Social capital is defined as:

“Social networks, their associated norms andvalues and the reciprocities that arise from themand the value of these for achieving mutual goals.The issue of trust has been applied in theexplanation of how social capital provides thereciprocities for beneficiaries”

(Baron and Schuller 2000: 1)

THE SITUATION OF SOCIAL PROTECTION FOR INTERNATIONAL MIGRANTS

• Majority of international migrants lack social protection

• South-south international migrants or migrants in low-income countries are the least protected

• Migrants in low-income countries lack access to social protection most because social protection systems and welfare systems are not developed in low income countries (Boccagni 2008)

• So remittances have been social protection sources for migrants in many countries (Wong 2006: 359)

• Remittance transfer through formal channels are becoming major sources of tax revenue for governments also(Quartey 2012)

Volume and Direction of Migrants in

the West African Sub-region

• 84% of the migration, in 2006, from West Africancountries moved into another country within thesub-region (Awumbila et al, 2013; Black et al,2006).

• About 7.5 million persons were involved in intra-regional migration movements.

• This is 7 times greater than movement from WestAfrica to other parts of the world, includingEurope and North America (OECD/SWAC 2006,quoted in Awumbila et al., 2013).

Average cost of sending $200 within Africa (US$)

$32

$32

$25

$21

$19

$18

$18

$17

$17

$13

$12

Burkina Faso - Ghana

Ghana-Nigeria*

Nigeria-Ghana

Nigeria-Benin

Kenya-Uganda*

Burkina Faso-Cote d'Ivoire

Senegal-Mali

Uganda-Kenya

kenya-Tanzania

Uganda-Rwanda

Uganda-Tanzania

Popular Destinations for Migrants

in West Africa in 2012

Cote d’Ivoire (2,350,024)

Nigeria (823,743)

Ghana (409,910)

Guinea (381,315)

The Gambia (278,793)

Cited in Awumbila et al. (2013)

SOCIAL CAPITAL AND SOCIAL PROTECTION AMONG AFRICAN MIGRANTS

• African migrants depend mainly on socialnetworks for escape from vulnerabilities and risksassociated with the migration process:

Decision-making stage at the origin

Integration and adjustment at destination

Return and re-integration upon return to origin or asthey move on to other destinations

• But some traditional sources of social capital havebeen undermined by socio-culturaltransformations in Africa, especially in theextended family

SOURCES OF SOCIAL PROTECTION FOR INTERNATIONAL MIGRANTS: THE EXAMPLE OF

GHANAIAN EMIGRANTS

Informal

Social networks:

Kinship ties

Non-kinship ties such as friends, associations (hometown, old school, faith-based)

Labour and credit unions

Customary practices and institutions:

Outdooring, weddings/marriage, child-naming ceremonies, funerals, etc.

Celebration, eg. Independence Day, festivals, etc.

Contribution to community development

POLICY RECOMMENDATIONS

• African governments should not “over-emphasize”

the economic aspects of the migration-development

nexus to the neglect of social and other aspects of the

relationship

• They need to recognize the informal sources of social

protection of migrants

POLICY RECOMMENDATIONS

• Reciprocity and trust embedded in migrants’ social

capital/networks should not be underestimated but

inform African governments that:

Successful implementation of policies on

migration and development will depend on good

governance and trust of citizens in government

African governments need to enhance all informal

social protection sources of migrants; not

associations only as being done

THANK YOU FOR YOUR ATTENTION