Beyond remittances: Leveraging diaspora for economic growth

Tanzania faces a significant challenge: the government’s approach to migration remains constrained by a narrow, security-driven perspective.

Instead of recognising migration as an economic asset, the government sees itself as a gatekeeper, focused on control. This mindset hinders the exploration that migration holds for national growth.

Previous discussions quantified the immense potential of migration for Tanzania, emphasising the need for a strategic migration policy and rapid passport expansion.

Now, we focus on engaging the diaspora—a vital but underutilised asset. Just as other nations have successfully harnessed their diasporas for development, Tanzania can unlock vast opportunities by connecting with its citizens abroad.

With the right approach, diaspora engagement can unlock untapped opportunities in ways that go beyond mere remittances.
Consider the case of Ethiopia, which successfully utilised diaspora support to fund its Grand Ethiopian Renaissance Dam (GERD) through crowdfunding.

Consider China, whose diaspora catalysed its transformation in the 1980s through foreign direct investment (FDI), cross-cultural exchange and technological transfer.

Consider Israel, whose diaspora has been critical in supporting the country’s innovation ecosystem, particularly in tech. Or consider India’s diaspora and its role in India’s tech boom.

These examples illustrate how strategic engagement with the diaspora can catalyse development, attract investments and foster innovation.

For Tanzania to fully tap into the benefits of its diaspora, the first step is to prepare our people proactively for migration.

Language skills are essential for success abroad and we must encourage the study of major global languages such as French, Spanish, English, German, Chinese and Arabic.

Those migrating or going abroad for education should be given the tools to become effective migrants, from understanding how to integrate into foreign cultures to navigating employment and educational systems.

The support for Tanzanians abroad must go beyond mere rhetoric. Organising citizens into cohesive groups can foster a sense of belonging and encourage cooperation, much like the Chinese, Indian and Kenyan diasporas are known for their strong networks.

Our embassies can assist citizens not only in securing jobs and scholarships but also by facilitating business opportunities. Strangely, some of our embassies even employ foreigners while neglecting Tanzanians.

Our missions abroad should be hubs for supporting Tanzanians, helping them get settled and providing access to valuable opportunities, much like other nations’ embassies do for their citizens here in Tanzania.

Diaspora engagement must also emphasise the importance of the diaspora staying connected to the homeland.

Many Africans, upon leaving the continent, are said to lose their roots—a phenomenon driven partly by their desire to escape challenging conditions at home.

But things don’t have to be that way. India, for example, organises cultural events for the diaspora. China welcomes its people home for the Chinese New Year.

The Philippines offers incentives to members of the diaspora visiting or returning home. We can foster this in Tanzania too by making the situation back home attractive.

The business climate must be improved. Property rights must be improved too.

And families need to be more responsible – right now 70 percent of remittances are squandered by relatives.

Next, there is a need to build strong communication channels with the diaspora.

Social media, online platforms and traditional media can help maintain these connections, not only by keeping Tanzanians abroad informed but also by promoting investment opportunities and facilitating the transfer of skills and knowledge.

This will help fill gaps in the workforce and drive innovation in Tanzania.
Now, we reach the contentious issue of dual citizenship. Many Tanzanians who acquire foreign citizenship for practical reasons are forced to forgo their property rights in Tanzania.

I have seen people I grew up with tiptoeing around Tanzania as strangers. That’s unacceptable. Foreigners in Zanzibar can now purchase residences.

We can do better. Tanzania needs to be more understanding to her children abroad.

Finally, all the above highlights the need for a comprehensive diaspora policy.

A well-defined diaspora policy is urgently needed, outlining the government’s objectives and priorities for engaging Tanzanians abroad.

This should emphasise promoting investment, facilitating skills transfer and creating a supportive environment for returnees. However, a critical barrier remains—the lack of reliable data on the Tanzanian diaspora.

Without a clear understanding of their locations, skills and needs, it is difficult to craft effective strategies.

Developing a robust system to track, analyse and communicate diaspora data is essential for making informed decisions.
I am persuaded that when we choose to engage our diaspora effectively, the results will be immense.

Consider tourism. Despite Tanzania’s vast cultural heritage and natural beauty, it remains relatively unknown globally.

While we currently welcome less than two million tourists annually, there is no reason we couldn’t attract over 10 million, generating over 20 billion dollars in revenue.

Thankfully, we have a vast network that can be used to sell the nation. If we do our jobs.

Diaspora engagement is not just about sentimentality—it’s a strategic imperative.

By expanding our migration mindsets, we can unlock countless economic opportunities. It’s high time we put our people to work for our nation’s future.