Create Profile

Creating your profile will enable you to submit photos and stories to get published on News24.

Please provide a username for your profile page:

This username must be unique, cannot be edited and will be used in the URL to your profile page across the entire 24.com network.

Facebook Sign-In

Hi News addict,

Join the News24 Community to be involved in breaking the news.

Log in with Facebook to comment and personalise news, weather and listings.


Migrants seen boosting and hurting economies - it depends where

05 November 2015, 21:31

London - Two institutional forecasters came up with different projections on Thursday for what the economic impact of hundreds of thousands of migrants and refugees will be on Europe's economy.

A boost to output and improved public finances, the European Commission suggested in its latest economic forecasts. Already a toll, the European Bank for Reconstruction and Development (EBRD) concluded in a similar offering.

Also read: Child drowns, another missing in migrant boat sinking-Greece

The contradiction is not as stark as it may seem. Both groups were looking at different types of countries on the migrant route.

The Commission was studying countries likely to receive the migrants as workers; the EBRD at countries through which the migrants flow, or outside Europe, where they wait to move on.

The Commission said that gross domestic product for the 28-nation European Union could be lifted by more than a quarter of a percent in 2017 if the migrants were skilled and around 0.18 percent if not.

The EBRD, however, cut its growth projections for Croatia, Hungary, Slovenia and Greece - transit countries for the huge migrant flow from Syria, Iraq and Afghanistan.

It also pointed to a heavy economic hit on non-EU Turkey, which hosts many of the refugees for Syria who either stay or move on to Europe.

Not all the downgrading was due to migration, but these latter countries bear the costs of refugee camps, security and transport without getting the benefit of new workers. Some are looking for EU aid as a result.


For the recipient countries, however, the arrival of a new wave of workers can be a boon, at least according to research by both University College London and the Paris-based Organisation for Economic Co-operation and Development (OECD) think tank.

A paper by the former in 2014 found that European immigrants to Britain contributed more than 20 billion pounds ($30.57 billion) to UK public finances between 2001 and 2011.

It also calculated that what it called "productive human capital" had been added that otherwise would have cost Britain 6.8 billion points in spending on education

The OECD's report was broader. It suggested, also in 2014, that immigrants make important contributions to the labour market, and give more in both taxes and social contributions than they receive in individual benefits.

But it also said that while immigration may lift an economy overall, it does not necessarily do so in a way that makes everyone richer.

"There is little doubt that where migration expands the workforce, aggregate GDP can be expected to grow," it said. "However, the situation is less clear when it comes to per capita GDP growth."

Because of the timing, neither study could look at Europe's current migrant situation. More than 760,000 people have already crossed the Mediterranean heading for the EU and the United Nations said on Thursday it expected around 5,000 a day would cross from Turkey over winter.

($1 = 0.6542 pounds)

- Reuters


Read more from our Users

Nigeria @ 56: Words to my green f...

A leader’s job is not to dictate, but rather to be respected, admired and be a trustee, of the land we love, with so much potential, a land which should be freer than free. Its still a long way to fufilling our destiny! Read more...

Submitted by
Isaac Asabor263
Recession: An opportunity for Nig...

The recession should be seen as an opportunity for the country’s promotion as long as we all collectively conduct ourselves in a patriotic manner, writes Isaac Asabor.  Read more...

Submitted by
Black and White

We want to imitate the whites in everything because we are ignorant of our inherent originality and content. We spend all our Naira to acquire his inventions because we so oblivious of our natural endowments that we allow him have it for free. Read more...

Submitted by
Nate Nat
Adamawa State University Mubi: A ...

ADSU integrity forum has accused the Sunday Joshua Wugira, a lawyer, of adopting unorthodox tactics by abusing his privilege by attacking the integrity of ADSU Vice Chancellor Dr. Moses Zira Zaruwa, writes a News24 reader. Read more...

Submitted by
Abdulsalam Jubril
My Country Nigeria (Part One)

Poetry by Abdulsalam Jubril.

Submitted by
Abdulsalam Jubril
Recession, dearth in leadership a...

Every leader has the opportunity to become great and making himself immortal in the lives and hearts of people for generations to come. Will Mr. President seize this opportunity?, questions Abdulsalam Jubril. Read more...