Migrants And Refugees: The Unlikely Key To Economic Growth

First things first. Migrants are not a burden. Embracing, safeguarding, and empowering the migrants, transform them into welfare-boosting assets.

Migrants are not a burden.

Accepting refugees creates a Win-3 ecosystem, rewarding for the migrants, the host country, and the country of their origin.

How? Let’s see.

Set in the heart of South Africa’s Western Cape Province, the picturesque Franschhoek Valley is today known worldwide for its captivating scenic beauty and superior wineries.

The small town is a significant contributor to South Africa’s exports, in terms of first-rate wines.

The town’s history dates back to the 17th century.

Franschhoek Valley is one of the oldest towns in the Republic of South Africa.

The town’s history dates back to the 17th century.

After being expelled from France, French Huguenot refugees, in 1688, populated the town.

The migrants brought with them a wealth of experience in business and farming.

They established farms that matured into today’s world-famous wineries.

La Dauphine, La Terra de Luc, Bourgogne, Cabrière, La Provence, La Cotte, and La Motte are among the first farms established in the Franschhoek Valley.

The farms, set up by French migrants, have made Western Cape what it is today – a leader in wine exports – competing in world markets with the best wineries across the globe.

Looking Forward …

The host country also benefits in varied ways.

Human beings, irrespective of their country of origin, have the inherent right to live.

Accepting migrants protects the most valuable of all human rights – the right to live. The host country also benefits in varied ways.

For instance, granting refugees the right to education, the right to healthcare, and the right to work, will enable them to move forward in their lives.

The sooner they integrate into economic activities, the faster they can become productive members of the receiving country.  

Anxious About Losing Job Opportunities?

This is because migrants and natives have different skill sets, competing for different job profiles.

Don’t worry. Most economists and analysts agree that including migrants in the labour force does not ruin the employment opportunities of natives.

This is because migrants and natives have different skill sets, competing for different job profiles.

A recent study by the U.S. Department of State, which used data on migrants settled in the United States, revealed that native workers specialize in higher-paid jobs that refugees cannot compete in.

The paper also confirmed that migrants increase the competition level, due to which, natives often perform better.

Migrants Indulge In Entrepreneurship At Much Higher Rates Than Natives

Migrating to distant countries is a high-risk act.

A report published by the Harvard Business Review showed, even though migrants represent 15 per cent of the U.S. population, they account for 25 per cent of entrepreneurs.

Migrating to distant countries is a high-risk act. Hence, researchers observed that refugees are more likely to take risks, such as launching a new venture.

It is a known fact that small business firms are the growth engine of the economy. They are major job creators. The Harvard report shows, in the U.S. alone, small businesses create 1.5 million jobs every year.

Refugees can be excellent intermediaries between the host country and their country of origin. They play a key role in promoting international trade and relations. Often, they are a source of foreign investments.

Their knowledge, expertise, and experience is an asset to the host country, which, over time, translates into increased productivity.

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