A growing body of evidence suggests that diasporas play a critical role in supporting sustainable development by transferring resources, knowledge, and ideas back to their home countries, and in integrating their countries of origin into the global economy.
Financial flows from migrants and their descendants are at the heart of the relationship between migration and development. While remittances have important effects on financial development, diasporas also hold substantial financial assets beyond their current income—for instance, in savings and retirement accounts, in property, debt, and equity. While remittances tap the incomes of migrants, this report argues that the greater challenge is to mobilize the wealth of the diaspora.
Capital markets perform precisely this function, mobilizing savings and channeling them to productive investment. Tanzania Government have the potential to support diaspora investment in their countries of origin through risk reduction: Tanzania Diaspora by focusing on lenders in the country of origin, and by focusing on diaspora investors who are foreign citizens.
Diaspora objective is to create conducive environment to engage the Tanzania Diaspora to effectively contribute to political, socio-economic and cultural development of the country.
- To coordinate the development, implementation and review of Diaspora focused policies and legislation and ensure the incorporation in national development frameworks;
- To sensitize and promote the understanding of the role of the Diaspora in the development of the country;
- To develop and maintain a database for the Diaspora;
- To provide technical advice to Diaspora participation in relevant sector in the country;
- To coordinate and sensitise the participation of MDAs and Non-State Actors in activities relating to the Diaspora;
- To facilitate and advise the Diaspora to access investment opportunities in the country;
- To coordinate with other entities initiatives geared towards the promotion and protection of the welfare of the Diaspora; and
- To coordinate labour arrangements and agreements with other countries with a view to promote and secure decent international employment for qualified Tanzanian candidates.