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Kenyans in diaspora are key to economic growth agenda
Remittances are now at the heart of economic growth, having risen exponentially in the last decade to become the country’s highest foreign exchange, overtaking tea, coffee and tourism.
Without doubt, the Kenyan diaspora plays a vital role in the country’s development and socio-economic transformation. This fact is underlined by the nearly Sh600 billion remittances they sent home last year.
The number of Kenyans overseas currently stands at an estimated 4 million, with most of them working in the Middle East and European countries. A good number are in the US, Asia, Latin America, Canada and Australia. In Africa, thousands of Kenyans are in South Africa, Rwanda, Tanzania and Uganda.
Cognizant of the immense contribution that Kenyans abroad make to the country, the government has in the recent past put in place robust measures to safeguard their welfare and interests.
The labour mobility programmes are now an integral component of the government’s strategic plan to address widespread joblessness.
This is understandably so, considering that about 1.2 million youths join the labour market every year, a number that outpaces the country’s economic capacity of nearly 800,000 jobs.
In the last three years, the government has rolled out various reforms and plans to expand employment opportunities abroad even as it steps up efforts to implement multiple programmes at home to absorb as many as possible in the local job market.
Initiatives like Kazi Majuu are deliberately crafted to open more opportunities overseas and link Kenyans with well-paying and dignified jobs in foreign land.
Besides lack of adequate opportunities locally, another primary driver of labour mobility is the high demand for Kenya’s human resource.
This is so because our workers are highly-skilled, qualified and diligent.
Even in jobs that do not require extensive knowledge such as domestic workers and drivers, our citizens have a competitive edge on account of their unbeatable work ethic.
Likewise at the top echelons of the labour market, Kenyan experts, scientists and innovators are giving a good account of themselves, making notable contributions in various spheres of knowledge globally.
The current government deserves mention for launching Jamhuri Diaspora Awards to honour these exceptional contributions of Kenyans living abroad.
Thanks to their solid credentials, the Kenyan worker is poised to take advantage of the massive job opportunities unfolding across the world.
A quick peek into the global demographic dynamics reveal that Kenyans have a big chance to continue being a hot cake in the global job market.
The trends in some countries in Asia and the West are tending towards an aging population, reducing the number of able-bodied people who can actively work.
Kenya, like many African countries, boast a very youthful population, with the median age at about 20, a number that is more or less similar to the average age on the continent.
Europe’s median age stands at about 45, Asia 30 and the world at 30. European and Asian countries are, therefore, hard-pressed to find ways to fill the vacancies caused by a shrinking workforce.
One such way is to create a favourable environment that attracts foreign workers. With the dwindling global workforce and the demand for foreigners rising rapidly, it will be imperative to improve workers’ pay, welfare and the terms of service.
Kenya has a head start to strategically leverage these opportunities to provide their citizens with decent, high-paying jobs.
But age cannot be the only winner in the global labour marketplace. The growing need for imported workforce in the global labour market will immensely benefit African countries whose people are equipped with a set of tools necessary to succeed in a highly competitive world stage.
Kenya must therefore double down on sharpening the skills of the youth through training that prepares them for the rigorous demands of the global labour market.
The benefits of labour mobility are not only enormously beneficial to workers and their family. The nation reaps big too. Many Kenyans working overseas have transformed their lives and the face of their families here at home. For instance, some have built permanent homes for their parents. This is clearly evident, when you travel in rural areas across the country.
Previous ramshackle structures have been replaced by posh homes, signifying a stunning transformative power of a good job and decent income.
Needless to say, the diaspora plays a central role in various national socio-economic development programmes that positively impact lives.
Remittances are now at the heart of economic growth, having risen exponentially in the last decade to become the country’s highest foreign exchange, overtaking tea, coffee and tourism. Data show inflows went up sixfold from slightly more than Sh100 billion in 2012 to nearly Sh600 billion in 2024.
The last two years have seen an exponential jump of Sh120 billion from Sh480 billion in 2022.
President Ruto has set an ambitious target of boosting remittances to Sh1 trillion by 2027, which is by no means beyond reach, considering the host of radical reforms being undertaken in the labour mobility realm.
In addition to being a source of job opportunities and remittances, labour migration fosters technology and skills transfer.
Kenyans overseas are bound to bring the global knowledge and their experiences back home, helping to catalyse economic growth, elevate local standards across sectors and deepen an entrepreneurial culture.
Among the consequential reforms implemented in the last three years is the establishment of the State Department of Diaspora Affairs, dedicated to the welfare of Kenyans in foreign countries. President Ruto deserves accolades for this action which was long overdue.
No previous administration paid such serious attention and recognition to the diaspora, yet they are an engine of national development. Thankfully, this wrong has been righted now by the current president.
Another notable change is the new 2024 Diaspora Policy being crafted to enhance support for diaspora investments, foster communication, and provide firm legal protections for Kenyans overseas.
In addition, the proposed law looks to reduce bureaucratic hurdles, and offer incentives to accelerate growth of remittances and business ventures.
To crown it all, the government has been working to fill loopholes that have left Kenyan workers exposed to exploitation, mistreatment, discrimination and poor pay.
Prof Langat is a research leader and lecturer in the UK