A $100 billion idea: Harnessing migration for financing development goals

As global leaders meet in Addis Ababa this week to decide how development goals would be financed in the next 15 years, I hope they'll take note of the enormous potential of harnessing diasporas, migration and remittances. Please read this note outlining a few under-exploited market-based financing options that are directly connected to international migration. As much as $100 billion, or more, could be raised annually by developing countries via:

• Mobilizing diaspora savings $50 bn 
• Reducing remittance costs $20 bn 
• Reducing migrant recruitment costs $20 bn 
• Mobilizing philanthropic contributions from the diaspora $10 bn 

Remittances can be further leveraged for development financing via:

• Future-flow securitization of remittances
• Enhancing sovereign credit ratings
• Linking remittances to financial savings and insurance

The Global Migration Group, the OECD and the World Bank are organizing a side event on July 14 to highlight these important topics. More information on the side event can be found here. If you are at Addis, please join us. There will be coffee and cookies, but more importantly there will be a $100 billion plus financing idea.