Maximising the developmental impact of remittances – Private Sector Services

Maximising the developmental impact of remittances – Private Sector Services Vincent E. OKELE, President, African Axis (Belgium ) Global Forum on Remittances Tunis, 22 – 23 October 2009

Agenda ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]

Definitions ,[object Object],[object Object],[object Object],[object Object],[object Object]

Financial Development Economic development & Growth Investments Rationale: Diaspora inflow and development Economic Gowth & Development Poverty Reduction Remittances Entrepreneur- ship Diaspora Investments

Rationale: Diaspora inflow and development ,[object Object],[object Object],[object Object],[object Object],[object Object]

Diaspora inflow into the region: The Challenge 1. The SSA region attracts relatively low volume of remittances through the formal channels Recorded remittances in developing countries: comparative review Source: World Bank At approx. US$ 3.2 billion this represented less than 5% of total remittances to developing countries (US$240 billion) ,[object Object],[object Object],1

Diaspora inflow into the region: The Challenge The SSA region channels a limited proportion of remittance inflow into private sector investment The SSA region attracts less diaspora private sector investment ,[object Object],[object Object],[object Object],2 3

Diaspora inflow into the region: The Challenge Increase % of R channelled to Savings & income generating activities Increase Volume of Diaspora Investment (Community & Private) Increase Volume of R through formal channels Diaspora Inflow 1 2 3

Action required at the Origin and Host Country levels as well as the level of Multilateral Institutions and the Diaspora community Diaspora inflow to the region: Addressing the Challenge

Addressing the challenge: Origin country level ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]

Addressing the challenge: Origin country level ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]

Addressing the challenge: Host country level ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]

Addressing the challenge : Multilateral institutions – Policy issues ,[object Object],[object Object],[object Object],[object Object],[object Object]

Addressing the challenge : Multilateral institutions – Initiatives/Mechanisms ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]

Addressing the challenge : Diaspora Community ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]

Action required at the Origin and Host Country levels as well as the level of Multilateral Institutions and the Diaspora community + Private Sector Private Sector Services: Addressing the Challenge Private Sector (RSPs, MTOs, MNOs Banks, NB financial Institutions)

Private Sector Services: Required actions ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]

Private Sector Services: Instruments for leveraging remittances ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]

Private Sector Services: Instruments for leveraging remittances - Examples Zenith Bank Nigeria Zenith Diaspora Account ,[object Object],[object Object],[object Object],Nigeria Diaspora-focused Accounts & other services ,[object Object],[object Object],[object Object],Ghana Homecoming Account ,[object Object],[object Object],Credit Foncier du Cameroon Cameroon Diaspora-focused Housing loans ,[object Object],Uganda, Kenya & Tanzania Zap (Mobile Money transfer) ,[object Object]

The DiasporaLink Initiative: Objectives ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]

The DiasporaLink Initiative: Services Diaspora Investment Facility Diaspora Investment Fund Remittances- Linked Financial Products Seed capital for DIF ,[object Object],[object Object],R-linked savings account ,[object Object],[object Object]

The DiasporaLink Initiative: Partnerships Diaspora Investment Facility Diaspora Investment Fund Remittances- Linked Financial Products Remit. Services Provider (DiasporaLink AB) Diaspora Organisations (UK, Germany, Sweden, Belgium) Private Sector (Banks, MFIs, Credit Unions, MNOs) Multilateral finance institution Private Sector

The DiasporaLink Initiative: Benefits Economic Development

Contacts 116, Avenue du Prince Héritier 1200, Brussels, Belgium Tel: +3222533008 [email_address] www.africanaxis.org www.diasporalink.eu www.diasporalink.net

Maximising the developmental impact of remittances – Private Sector Services

Recommended

Recommended

More Related Content

What's hot

What's hot (20)

Viewers also liked

Viewers also liked (9)

Similar to Maximising the developmental impact of remittances – Private Sector Services

Similar to Maximising the developmental impact of remittances – Private Sector Services (20)

More from IFAD International Fund for Agricultural Development

More from IFAD International Fund for Agricultural Development (20)

Recently uploaded

Recently uploaded (20)

Maximising the developmental impact of remittances – Private Sector Services