AFRICAN DIASPORA

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AFRICAN DIASPORA

• Survey on Investment
• 29th September 2004

Financing African Development Mobilising the
Diaspora DR T. BANJOKO
Building robust and enduring productive capacity
in Africa
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Background

• In 2001 remittances to developing countries stood
  at 72.3 billion, 42 of total Foreign Direct
  Investment. In 2003 over 300 billion is
  estimated to have been sent from developed to
  developing countries.
• This is the second largest source behind Foreign
  Direct Investment of external funding for
  developing countries. It is a more stable source
  of capital than private capital and is expected
  to rise.
• Africa accounts for approximately 15 ( 45
  billion of the total global remittance flow). It
  is estimated that remittances account for as much
  as 27 of the GDP, for some African countries.
• Recent survey of the African Diaspora conducted
  by AfricaRecruit, indicated that only 6 of the
  remittances sent by the Diaspora is reinvested.

Building robust and enduring productive capacity
in Africa
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Background-2

• One of the conclusions a recent International
  Development Select Committee (UK), 9 month
  enquiry, was that well-managed migration is
  hugely important, economically and politically,
  because of the (need to describe the type of
  links) links it establishes between countries.
• If remittances are invested well, these funds
  could play a major role in reducing poverty.
• The development potential of remittances must be
  secured by encouraging the act of remitting,
  reducing the costs of sending money home, and
  improving the investment climate for remittances
  in developing countries.
• AfricaRecruit is presently conducting a survey as
  a build up to the Africa Diaspora Investment
  Forum taking place in London (19-20 November
  2004) 600 questionnaires have been disseminated,
  of which so far 145 completed questionnaire have
  been returned

Building robust and enduring productive capacity
in Africa
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Q1)Do you send money to Africa for other purposes
other than personal or family responsibilities
such as schooling or subsistence?
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Q2) On average how much (USD) do you send each
month?
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Q3) On average how much in United states dollars
a month?
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Q4) What is the money used for?
Other areas
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Q5) How do you transfer the money back home?
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Q6) Which continent do you currently reside in ?
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Q7) Would you be interested in investment
opportunities in Africa?

• Areas of interest
• Commodity trading
• Transport
• Telecommunication
• Power
• High- tech
• Healthcare
• Manufacturing
• Clothing
• Agriculture

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Q8) What are the main obstacles preventing you
from investing more, or at all, in Africa?
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AFRICARECRUIT
Africarecruit 18 Pall Mall, London SW1Y 5LU
United Kingdom Tel [phone] Fax
44(0)20 7024 8201 E-mail info_at_africarecruit.com
Website www.africarecruit.com
Building robust and enduring productive capacity
in Africa