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Economic Impact of Nigerians in the Diaspora: How Their Remittances are Shaping the Country's Economy



Bola Adebayo. 3/22/2024. 2 Mins Read.


Did you know that Nigerians in the Diaspora contribute over $24 billion annually to the country's economy? With a total number of over 20 million people, the impact of their remittances cannot be overstated. This highlights the immense value and potential of Nigerians living abroad as a crucial source of support and development for the country.


This is a benefit that Nigeria currently enjoys. However, the President's wife, Remi Tinubu, criticized it in her statement: "All those people who Japa, what do they go to do there? What work are you going to do? Work that you refuse to do at home when you have loved ones. They go there to drive cabs; cabs they would not drive here."


During a courtesy visit by the African Descendants in Diaspora Union (AFRIDU) to the Minister of Housing and Urban Development, Architect Ahmed Musa Dangiwa, the minister stated that the sum of money the union is investing in Nigeria is significant and will be instrumental in fostering development in all sectors of the economy. AFRIDU is a platform that promotes solidarity, empowerment, and unity among people of African descent who live outside Africa.


The minister explained that the housing program for Nigerians in the DiasporaDiaspora is being carried out in collaboration with the Federal Mortgage Bank of Nigeria (FMBN), the Federal Housing Authority (FHA), and the Nigerians in Diaspora Commission (NIDCOM), all under the Ministry of Housing and Urban Development's supervision. The Diaspora Mortgage Loan was launched at the 6th Edition of the Nigerian Diaspora Investment Summit in September 2023, enabling Nigerians living abroad to participate in the National Housing Fund (NHF) Scheme, with a loan limit of up to N50 million to own their homes in Nigeria. Participants can access the loan through a National Housing Fund (NHF) loan, Rent-to-Own, or an individual construction loan window, with affordable terms and market rates, including a 9% interest rate and a payback period of ten years.


To further the initiative, the Federal Mortgage Bank of Nigeria (FMBN) will facilitate the construction of affordable housing units in major cities that meet the specifications of Nigerians in the Diaspora. At the same time, the Federal Housing Authority (FHA) is involved in the ministry's sector-wide effort to cater to the DiasporaDiaspora, including the development of the Diaspora City Project under a Public-Private Partnership (PPP) comprising the FHA, NIDCOM, the Federal Capital Territory (FCT), and the private sector. The project in the Maitama 2 Federal Capital Territory (FCT) occupies over 675 hectares of land, featuring bungalows, semi-and-detached duplexes, and mansions to reflect its inclusive essence. The FCT administration has committed to opening the road and providing the relevant infrastructure.


The minister expressed his enthusiasm for the International Global Investment Summit, to be held in Abuja in October. The summit presents a unique opportunity to showcase the country's potential and attract foreign direct investment in various sectors, including housing and urban development.


The leader of the AFRIDU delegation, Dr Abraham Onwubuya, expressed his interest in partnering with the ministry in investing in real estate and requested the ministry's assistance in providing them with lands to develop smart homes and cities across the country for African descendants in the DiasporaDiaspora. He also invited the minister to participate in the international gathering of African descendants in the Diaspora, which will take place from October 3 to 7, 2024, particularly the Global Economic Investment Summit on October 5, 2024.

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