Policy Coherence for Development 2007

Migration and Developing Countries

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This edition of the Development Centre's annual report on policy coherence focuses on migration. The book examines the costs and benefits of migration for developing countries and how these flows can be better organised to yield greater benefits for all parties concerned -- migrant-sending countries, migrant-receiving countries, and the migrants themselves. It takes stock of what we know about the effects of migration on development, and distills from that knowledge a set of policy recommendations for sending and receiving countries alike. It draws on a large number of country and regional case studies co-ordinated by the OECD Development Centre to illustrate the mechanisms that link migration and development: labour-market effects, brain drain, remittances, diaspora networks and return migration.

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Diaspora Networks

OECD Development Centre

Diaspora networks consist of groups of individuals engaged in the economies and societies of both their destination and their source countries. They can be formal or informal in nature. Members of diaspora networks often have a comparative advantage in the provision of many goods and services over the native born in destination countries and their compatriots who have remained back home: diaspora networks, for example, can profitably forge trade and investment links between their home and host countries and can help new migrants adapt and use local services. Generally, the return of diaspora members to their home country – or their enhanced engagement, even if they remain abroad – is recognised as a source of human capital that can benefit a developing country. Hometown associations can contribute to the community by investing in the infrastructure of their community of origin. Co-development initiatives seek to integrate the specialised knowledge of diasporas, virtually or physically, back into the source country.

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