The causes and consequences of migration are complex and go beyond economic factors. Contrary to widely held assumptions, for instance, economic growth may actually encourage immigration for a certain period of time, rather than slow it down, particularly when it is unequal, non-inclusive and the opportunities it creates are not well distributed geographically. Similarly, the actual and potential benefits of emigration for countries of origin are often underestimated: diasporas remit money or invest in businesses; many return with new human, social and financial capital, boosting local economies and creating new trade. The OECD analysis and policy recommendations aim to explain these links and help countries maximise the developmental benefits.
Migration and development
People migrate for different reasons. Some flee the aftermath of violence, persecution or natural disasters, others are in search of a better life, or economic opportunities to support communities at home. Despite their diverse motivations and needs, the men, women, and children on the move all play an inherent part in the economic and social development of both their host and origin countries. Those roles must be considered when setting policies and strategies for sustainable development. In partnership with UN organisations and other bodies, the OECD analyses the implications of migration and forced displacement for the development of low- and middle-income countries, in pursuit of the best human and development outcomes.
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Key messages
About half of all international migration takes place between countries in the low- or middle-income categories. Migrants increasingly move across or between Africa, Asia, Latin America and the Caribbean for work, family, study, security and protection. Yet, mobility outside of OECD countries remains under-researched. To inform better policies for migration and development in countries of destination and origin, the OECD analyses the drivers and patterns of global migration, integration of migrants, flows of remittances, the engagement of diasporas and the return of migrants.
Better integration of migrants and forcibly displaced persons into host societies can bring about a range of developmental benefits, including new activity, business and trade, or increased tax revenue. With its data, analysis and advice, the OECD helps development co-operation providers and partners identify policies that can support such integration, for instance by helping migrants acquire relevant skills and knowledge, or by factoring the needs and potential contributions of migrants into development policy and planning.
Low- and middle-income countries host over 75% of the world’s refugee population. Donor support to help them cope with the administrative and fiscal consequences typically comes in the form of short-term, humanitarian aid, when the often-protracted situations also warrant longer-term development and peacebuilding support. By tracking and analysing these development finance flows, the OECD contributes to measuring the performance of the Global Compact on Refugees, which calls for sharing the burden and responsibility of managing forced displacement situations across the international community.
Context
Development finance for refugee situations
In 2020 and 2021, a total of USD 26.3 billion of official development assistance (ODA) was allocated to refugee situations in low- and middle-income countries (LICs and MICs). The bulk of country-allocable development finance (65%) was provided to only seven recipients, most of them upper middle-income countries (UMICs). ODA for refugee situations in LICs and MICs largely (73%) depended on four donors: the United States, European Union (EU) Institutions, Germany, and the World Bank. The finance for refugee situations is thus fragile. Over half (55%) of all ODA for refugee situations in LICs and MICs was provided for humanitarian purposes. This reflects the urgency of needs related to refugee situations, but also the tendency of donors to rely on short-term financing instruments. Only 17% of all country-allocable ODA for refugee situations in LICs and MICs was provided in the form of budget support to governments, despite evidence that including refugees in national systems generates multiple development benefits.
Related publications
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1 July 2022
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15 November 2017
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Working paper13 September 2017
Interrelations between Public Policies, Migration and Development
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How does migration influence specific sectors – the labour market, agriculture, education and investment and financial services? How do sectoral policies affect migration? This report addresses three key dimensions of the migration cycle in the Philippines: emigration, remittances and return.Learn more
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Interrelations between Public Policies, Migration and Development in the Dominican Republic is the result of a project carried out by the Centro de Investigaciones y Estudios Sociales (CIES) in the Dominican Republic and the OECD Development Centre, in collaboration with the Ministerio de Economía,Learn more
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Interrelations between Public Policies, Migration and Development in Georgia is the result of a project carried out by the European Union and the OECD Development Centre, in collaboration with the State Commission on Migration Issues (SCMI) and the Caucasus Research Resource Center (CRRC-Georgia).Learn more
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Interrelations between Public Policies, Migration and Development in Costa Rica is the result of a project carried out by the Centro Centroamericano de Población (CCP) at the University of Costa Rica and the OECD Development Centre, in collaboration with the Dirección General de Migración.Learn more
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Interrelations between Public Policies, Migration and Development in Cambodia is the result of a project carried out by the Cambodia Development Resource Institute (CDRI) and the OECD Development Centre, in collaboration with the Ministry of Interior and with support from the European Union.Learn more
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Interrelations between Public Policies, Migration and Development in Armenia is the result of a project carried out by the Caucasus Research Resource Center (CRRC-Armenia) and the OECD Development Centre, in collaboration with the State Migration Service (SMS) and with support from the EU...Learn more
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Interrelations between Public Policies, Migration and Development is the result of a project carried out by the European Union and the OECD Development Centre in ten partner countries.Learn more
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Interactions entre politiques publiques, migrations et développement en Haïti est le fruit d'un projet mené conjointement par l'Union européenne et le Centre de développement de l'OCDE, en collaboration avec l'Institut interuniversitaire de recherches et de développement (INURED).Learn more
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Interactions entre politiques publiques, migrations et développement en Côte d'Ivoire est le fruit d'un projet mené conjointement par l'Union européenne et le Centre de développement de l'OCDE, en collaboration avec l'Office national de la population (ONP) et le Centre ivoirien de recherches économiques et sociales (CIRES).Learn more
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Interactions entre politiques publiques, migrations et développement au Maroc est le fruit d’un projet mené conjointement par l’Union européenne et le Centre de développement de l’OCDE, en collaboration avec le ministère chargé des Marocains résidant à l'étranger et des affaires de la migration (MCMREAM) et Thalys Conseil S.A.R.L.Learn more
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Interactions entre politiques publiques, migrations et développement au Burkina Faso est le fruit d'un projet mené conjointement par l'Union européenne et le Centre de développement de l'OCDE, en collaboration avec le Conseil supérieur des Burkinabè de l'étranger (CSBE) et l'Institut supérieur des sciences de la population (ISSP).Learn more
How Immigrants contribute to developing countries' economies
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How Immigrants Contribute to Developing Countries' Economies is the result of a project carried out by the OECD Development Centre and the International Labour Organization, with support from the European Union. The report covers the ten project partner countries.Learn more
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How Immigrants Contribute to Thailand’s Economy is the result of a project carried out by the OECD Development Centre and the International Labour Organization, with support from the European Union.Learn more
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How Immigrants Contribute to Kyrgyzstan’s Economy is the result of a project carried out by the OECD Development Centre and the International Labour Organization, with support from the European Union.Learn more
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How Immigrants Contribute to Argentina’s Economy is the result of a project carried out by the OECD Development Centre and the International Labour Organization, with support from the European Union.Learn more
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How Immigrants Contribute to South Africa’s Economy is the result of a project carried out by the OECD Development Centre and the International Labour Organization, with support from the European Union.Learn more
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How Immigrants Contribute to the Dominican Republic's Economy is the result of a project carried out by the OECD Development Centre and the International Labour Organization, with support from the European Union.Learn more