Diaspora Remittances Inflows and Nigeria’s Socio-Economic Development in the 21ST Century

Remittances by Nigerian nationals in foreign countries have become a cornerstone for national development and overall improvement in the livelihood of the recipients back home. In the light of the above, the paper critically examined the trends of inflows of diaspora remittances and its corresponding contribution to Nigeria’s Gross Domestic Product as well as national income. It further x-rayed the direct impact of remittances on the socio-economic welfare of receiving households in Nigeria. The paper also examined the practical lessons for the citizens of Nigeria back home and their relatives abroad vi-sa-vis diaspora remittance flows to the country. Attempt was also made to unravel the trigger-factors and long-run implications of migration of Nigerian citizens to foreign states. The methodology of the study revolved round the use of qualitative data, tables and statistical illustrations. The content analytical technique was applied for analyses of data while the push and pull theory of migration was adopted as the theoretical framework for the paper. Findings of the paper revealed that remittances from Nigerians in diaspora constitute a substantial percentage of the Gross Domestic Product (GDP) and annual national income. It is also established that remittances have boosted the socio-economic welfare of domestic recipients through cash support from foreign based relatives which are invested into commercial ventures. Nevertheless, the paper discovered that the rate at which Nigerians emigrate into foreign countries has become alarming and has contributed to brain drain in critical areas such as health and education. To this end, the paper recommended that government should maximize the gains of diaspora remittances by ensuring that remittances inflows pass through recognized channels for appropriate capturing to enhance the GDP. Similarly, Nigerian citizens living in foreign countries are also implored to repatriate their income through remittances which can be deployed into developmental projects in the region. In all, the study also recommended for improvement in the standard of living of Nigerians to reduce mass exodus of people into advanced economies in search of greener pastures.