CLOSING THE DIASPORA GAP.

Introduction: Diaspora populations can be an asset or a liability to the governments of their countries of origin—and sometimes both at once. Building on the newfound awareness of the tremendous importance of remittances in many developing countries (in Tajikistan, the world’s most remittances-dependent economy, remittances make up more than half of the gross national product, or GNP), governments have become interested in the other contributions that members of the diaspora can and do make to the development of their homelands. These include direct investment in businesses, portfolio investment in emerging stock markets or government bonds, philanthropic contributions, development of global trade and business ties, and the transfer of knowledge and skills acquired abroad.

Impact of diaspora goes beyond their contributions to economic development, diasporas with close ties to their countries of origin may also catalyze the adoption of new attitudes. Simple awareness of the potential of an engaged diaspora does not, however, translate automatically into benefits. Increasingly, many governments are becoming aware of the need to pursue a more active role in relation to diaspora populations in order to involve them productively in development. Governments, such as China and South Korea, have long done so, and their experience offers lessons for others with similar ambitions towards economic development.

Way Forward: Before a government embarks on a diaspora- engagement program, it should learn as much as it can about what the diaspora needs and can offer. Governments seldom is starting from scratch, so an inward-looking assessment of existing structures and programs is also recommended. Diaspora engagement is as much process as product; how it is done has a major impact on the outcome. Getting the process right is key to building trust with members of the diaspora, assuring them that their views are taken into account and avoiding bureaucratic rivalries that can undermine achievement. A government needs to invest in capacity building to make sure that their agendas for diaspora engagement can be implemented.