Abstract
Remittance from the migrant population is increasingly relevant for many African economies to meet their balance of payment and household consumption. This study reimagines the role of diaspora by way of providing remittance, technology and entrepreneurship skills in order to develop entrepreneurship orientated economies within Africa. We employ multivariate regression models on data from 20 African countries throughout 2007–2018. The results suggest that entrepreneurial behaviour and attitudes combined with entrepreneurship framework are essential in promoting diaspora remittance inflows into Africa. Additionally, we report empirical evidence about how some country-specific attributes such as a country’s capacity to attract talent and retain human capital; enables the population to innovate and use technology. Specifically, we find that financing, technology coupled with entrepreneurial uptake leads to the development of entrepreneurial ecosystem. We argue that a holistic policy framework is required from international organisations such as the World Bank, Africa Development Bank and African Union towards raising awareness of this key source of finance to promote entrepreneurial-related projects.
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Notes
- 1.
Arthur et al. (2020) defines migrant remittance as the amount of funds remitted by the diaspora to the home country during a given period.
- 2.
From the African Union (2005) perspective, the diaspora is ‘peoples of African heritage living outside the continent, irrespective of their host country’s citizenship, and who remain committed to contribute to the development of the continent and the building of the African Union’.
- 3.
Finance provided by the diaspora for investment in their country of origin. This finance is often devoted to investment in financial assets or enterprise (Salia et al., 2020).
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Salia, S., Hussain, J.G., Alhassan, Y., Ibrahim, M. (2022). The Impact of Entrepreneurship Framework and Behaviour on Diaspora Remittance: An African Perspective. In: Kolade, O., Rae, D., Obembe, D., Woldesenbet Beta, K. (eds) The Palgrave Handbook of African Entrepreneurship. Palgrave Macmillan, Cham. https://doi.org/10.1007/978-3-030-75894-3_7
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