Facts:
- UN World Migration Report (2018)
- Indian diaspora is world’s largest, with slightly more than 15.6 million people from India living overseas.
- Indian diaspora in recent elections overseas:
- 10 seat in UK, 2015
- 20 seats in Canada, 2015
- 3 Indian American in USA congress and two state Governors of Indian origin
- In UK conservative party campaign used Campaign song in Hindi.
“A diaspora’s potential economic importance goes well beyond remittances.” In the light of the statement and with reference to India’s diaspora, critically examine their economic potential for India. (200 Words)
India has a nearly 25 million strong Diaspora spread across more than 100 countries. They consist of NRIs and PIOs. Diaspora help country politically, socially and most importantly economically. India is one of the major recipients of remittances ($ 71 b in 2013).However, besides remittances, diaspora help the country economically in various other ways-
- Diaspora as a source of nation branding and soft power: -Diasporas are symbol of a nation’s pride internationally. They help in building its brand internationally through their huge success stories.
- Diaspora as a source of inflow of foreign capital and investments: many emigrants make huge investments into their home countries in domestic financial, real estates, services and technological sectors helping in huge inflow of capitals that boost local economy and create huge jobs .E.g.- Anil Aggarwal controlled London based Vedanta group.
- Diaspora as facilitator in accessing technological- knowhow and innovations: – Diasporas are mostly based in foreign countries which are developed and hence are technologically advance and rich in innovations. They help in bringing these technology and innovations to their country of origin through investment and collaborations.
- Diaspora as facilitator in spread of indigenous culture and traditions : Cultural spread helps in export of domestic cuisines and merchandise which open the room for investment in the host countries to feed the local tastes of people for those cuisines. Eg- many Indian restaurants owned by Indians and PIOs are located in the U.S and U.K and flocked frequently by local people there. Diwali and Holi are celebrated by foreigners too.
- Political importance of a Diaspora for the host country: -Diaspora play important role in influencing policies and politics of its host country in favour of its country of origin and also ,development of good ties and relations between both countries
- Diaspora increasingly becoming prominent with getting prominent places in the high offices of their residing nations like UK, USA which further helps in building their economic linkages.
India is increasingly becoming an attractive nation for the foreign countries which is resulting in more favourable environment for the diaspora by their residing countries. Off late, the positive impacts of the diaspora is making the government of India to move more closer to them and reap more benefits with their cooperation.