Shabaka's ‘Pitch an Inquiry’ submission to IDC.

Developing an Integrated Diaspora Engagement Strategy: A Critical Component of UK Foreign Policy and International Development

6 December 2024

This submission emphasises the urgent need for parliamentary attention to diaspora engagement as a critical component of the UK’s foreign and international development policy. The current global context and the UK's post-Brexit repositioning create a unique opportunity to develop more effective approaches to leveraging diaspora networks for mutual benefit, and more effective aid outcomes.

1. Why should the International Development Committee examine this area?

Diasporas are increasingly recognised as important development and humanitarian actors in international policy frameworks.[1] Remittances to origin countries outstrip bilateral aid flows and FDI, and diasporas also contribute across the nexus through information-sharing, skills transfer, advocacy, pre-crisis resilience-building, and post-crisis reconstruction.[2],[3]

Diaspora communities represent an underutilised resource in UK foreign and aid policy. An estimated 5.6 million British citizens live abroad, and over 200 million people of British descent live globally. Significant diaspora communities reside in the UK, with ties to diverse countries of origin and/or heritage. Examples from Ireland and the US demonstrate how a coherent policy framework that leverages these networks for mutual benefit could enhance the UK's global impact and stimulate economic growth through increased trade and investment opportunities.[4][5]

2. Why is it the right time for the Committee to examine the area?

Global Crisis Response

Recent humanitarian crises, particularly in Sudan, highlight diaspora communities' critical role in providing immediate assistance and maintaining vital connections in localised, community-led responses, significantly when traditional aid channels are compromised.[6]

Post-Brexit Opportunities

As the UK redefines its global relationships, diaspora communities offer unique opportunities to strengthen international partnerships and trade relationships. The post-Brexit context has created new imperatives for leveraging the UK's global connections.[7]

Strategic global challenges

Global challenges, from climate change to public health crises, demand more adaptive and networked responses. Diaspora communities facilitate knowledge transfer and innovation across borders during crises.[8]

3. Why would this area benefit from parliamentary scrutiny?

Cross-Departmental Coordination

Siloed approaches across different departments currently hamper diaspora engagement. Parliamentary scrutiny could:

Examine how FCDO, Home Office, and other departments can better coordinate their efforts [9]
Assess the impact of immigration policies on diaspora engagement [10]
Evaluate the effectiveness of current funding mechanisms

Financial Oversight:

Financial oversight requires particular attention, as current systems often impede rather than facilitate diaspora contributions to development.[11]

The parliamentary investigation could examine the following:

The efficiency of current remittance channels
Barriers to diaspora investment
The potential for innovative financing mechanisms (e.g. diaspora bonds, use of ‘blended finance’ models)

Policy Coherence

Scrutiny could help ensure alignment between:

Foreign policy objectives
Development goals
Immigration policies
Trade relationships

4. Why does the Government need to act in this area?

The absence of a coordinated strategy means the UK is failing to leverage:

Diaspora expertise and networks
Potential investment and trade opportunities
Cultural and diplomatic connections

Recent global events have demonstrated that:

Diaspora communities often provide critical humanitarian support when traditional channels are blocked
Current systems aren't optimised to support diaspora-led initiatives
There is untapped potential for crisis prevention, response and recovery

Global Competition: Other countries (e.g., Ireland, India) have developed sophisticated diaspora engagement strategies, potentially putting the UK at a competitive disadvantage

How could Government policy in this area be developed or improved?

Strategic Framework Development:

Create a comprehensive diaspora engagement strategy that places diaspora engagement at the heart of UK foreign policy, with clear objectives and measurable outcomes [12]
Establish a cross-departmental working group to coordinate policy implementation
Develop specific country strategies where significant diaspora communities exist that also respond to global frameworks, such as GCM objective 19.

Practical Mechanisms:

Establish consultation fora with diverse diaspora representation and a dedicated diaspora engagement unit within FCDO [13][14]
Implement simplified regulatory processes for humanitarian assistance, with localisation commitment as a guide (Microsoft Word - LMPF Final 2019 NEAR Network Localisation Framework)

Financial Innovation:

Explore the creation of a diaspora development fund [15]
Implement Group Cash Transfers (GCTs) for community initiatives [16]
Reduce remittance barriers and transfer costs (SDG 10c)

Support Systems:

Enhance support for diaspora-led civil society organisations
Prioritise locally-led peacebuilding initiatives [17]
Create mentoring and capacity-building programmes

Monitoring and Evaluation:

Establish clear metrics for measuring diaspora engagement impact
Regular reporting to Parliament on strategy implementation
Independent evaluation of programme effectiveness

Elvina Quaison, Interim CEO,

Shabaka, 06 December 2024

Additional information for the form

It would be helpful to the Committee if you could include the following information in your submission. Please note that your answers to these questions will not influence the selection process:

Have you ever engaged with Parliament before (e.g. made a submission to a select committee)?

Shabaka have engaged with parliamentarians at APPG meetings (such as the Sudan and South Sudan APPG) and some select committee meetings on humanitarian issues.

Do you have personal or field experience related to international development issues?

The Shabaka team have extensive personal and field experiences in humanitarian action, migration and displacement, and diaspora engagement.

If you are invited to pitch your idea to the Committee, would you be able to travel to London and back within the same day?

Notes

[1] See, inter alia, the Sustainable Development Goals (United Nations, 2015b); the Addis Action Agenda (United Nations, 2015a), the Global Compacts on Safe, Orderly, and Regular Migration (GCM) and on Refugees (GCR) (United Nations 2018a, 2018b).

[2] Ratha, D., Chandra, V., Kim, H.J., Plaza, S., and Mahmood, A. (2024). “Remittances Slowed in 2023, Expected

[4] Ireland’s diaspora engagement strategy has not only strengthened Ireland's global presence but also contributed significantly to its economic recovery post-2008 financial crisis. The Irish approach demonstrates how strategic diaspora engagement can enhance trade relationships, cultural diplomacy, and international development efforts.

[5] In the US, especially under Biden administration's U.S. Strategy Toward Sub-Saharan Africa, the government has actively engaged African diaspora communities in shaping foreign policy, recognising their unique insights and connections to enhance trade relationships and develop partnerships. The U.S. State Department's Office of Global Partnerships has also established specific programmes that leverage diaspora expertise in healthcare, education, and technology transfer.

[7] Diaspora communities are already pivotal in facilitating trade relationships and cultural exchange; for instance, the British Indian diaspora has supported recent trade negotiations between the UK and India (Bajpaee, 2024).

[9] Current interdepartmental coordination presents significant challenges, with evidence suggesting that siloed approaches between the FCDO, Home Office, and other departments have created unnecessary barriers to effective diaspora engagemen.t.

[10] For example, while FCDO might develop initiatives to engage diaspora communities in development projects, Home Office immigration policies can restrict their participation. The recent example of Sudanese diaspora medical professionals facing barriers to joining UK humanitarian response efforts, despite their expertise and connections, illustrates these coordination challenges.

[11] The existing remittance infrastructure, for example, usually involves high transaction costs and complex compliance requirements that discourage diaspora investment (Faal, 2019). Countries like Ethiopia and Kenya have successfully implemented diaspora bonds and specialised investment vehicles, demonstrating the potential for innovative financing mechanisms that the UK has yet to explore fully (c.f. Faal, 2019). The absence of streamlined financial channels has led to missed opportunities, such as during recent humanitarian crises where some diaspora communities struggled to transfer funds quickly to affected regions.

[12] This framework should establish clear objectives and measurable outcomes, drawing inspiration from successful models like Ireland's Global Irish Network. A cross-departmental working group, comprising representatives from the FCDO, Home Office, Department for Business and Trade, and other relevant departments, would ensure coordinated policy implementation. The framework should also include tailored country strategies for regions with significant diaspora populations, such as South Asia, Africa, and the Middle East, recognising each diaspora community's unique characteristics and potential.

[13] Practical engagement mechanisms must be established to ensure meaningful diaspora participation. These should include quarterly consultation forums that bring together diverse diaspora representatives, ensuring inclusion across ethnic, religious, and professional backgrounds

[14] A dedicated diaspora engagement unit within the FCDO would serve as a central coordination point, similar to Ireland's Irish Abroad Unit.

[15] A diaspora development fund could mobilise significant resources for development projects, following models like Ethiopia's diaspora bonds or India's diaspora investment initiatives.

[16] The implementation of Group Cash Transfers has shown particular promise in crises, as demonstrated during recent humanitarian responses in Sudan and Somalia.

[17] Locally-led peacebuilding initiatives deserve particular attention, as diaspora communities usually possess unique insights into conflict resolution (CPAS & Shabaka, 2024; Shabaka 2024a, 2024b).

References

Centre for Panafrican Sttudies (CPAS), SOAS and Shaabaka (2024). Shifting from crisis response to resilience building in the Horn of Africa. Policy Brief, 01 May 2024. Available at: https://shabaka.org/horn-of-africa-resilience-building/

Carstensen N, Mudhar M, Munksgaard, F.S. (2021). 'Let communities do their work': the role of mutual aid and self-help groups in the Covid-19 pandemic response. Disasters. 2021 Dec;45 Suppl 1: S146-S173. Available at: https://www.ncbi.nlm.nih.gov/pmc/articles/PMC8653332/

Office for National Statistics (2024a). 2021 Census of the United Kingdom, Updated May 2024. Available at:

About Shabaka

Founded in 2014, Shabaka is a diaspora-led research and consulting organisation that recognises the crucial role of diaspora and migrant communities in humanitarian efforts. Shabaka bridges the gap between diaspora networks and the broader humanitarian ecosystem, focusing on research, policy, and practice. The organisation's mission is to enhance awareness of diaspora contributions in crisis response, foster collaboration between diaspora groups and other stakeholders, and advocate for the integration of local actors in humanitarian work. Shabaka's vision is a future in which diaspora and migrants are fully integrated into the humanitarian landscape as essential and equal partners, leveraging their unique insights and connections to support communities affected by crises.