UNIVERSITY OF GHANA CENTRE FOR MIGRATION STUDIES THE POTENTIAL OF TRANSNATIONAL MIGRANTS TO CONTRIBUTE TO KENYA’S VISION 2030 BY JANE NJERI MWANGI 10213366 THIS THESIS IS SUBMITTED TO THE UNIVERSITY OF GHANA, LEGON IN PARTIAL FULFILMENT OF THE REQUIREMENT FOR THE AWARD OF PHD MIGRATION STUDIES DEGREE DECEMBER, 2013 University of Ghana http://ugspace.ug.edu.gh i DECLARATION I, Jane Njeri Mwangi, hereby declare that this research consists entirely of my own work conducted under the supervision of Professor Alex Asiedu, Professor Peter Quartey and Dr. Joseph Teye. It is submitted for the award of a PhD in Migration Studies at the Centre for Migration Studies, University of Ghana. To the best of my knowledge, no part of this work has been published or submitted for another degree elsewhere. Excepts/references from other sources have been duly acknowledged and I have not copied any author or scholar‘s work with the intention of passing it off as my own. All the interviews conducted for the purposes of this research, have also been cited correctly and I have not appropriated any of my participants‘ work, suggestions or quotes as my own. ……………………….. ………………………... Jane Njeri Mwangi Date Student .. .……………………… ……………………….. Professor Alex Asiedu Date Principal Supervisor ....…………………… …………………………. Professor Peter Quartey Date Supervisor …………………… ………………………….. Dr. Joseph Teye Date Supervisor University of Ghana http://ugspace.ug.edu.gh ii DEDICATION I dedicate this work to my loving husband James Mwangi Karanja and our beloved children Cheryl Adjoa Njeri Mwangi and Karl Kofi Karanja Mwangi. To Mwangi, he is my hero and I owe him a debt of gratitude for his commitment to the life we share together and the countless ways in which he demonstrates this. To Njeri and Karanja, my deep appreciation for enduring the long hours I worked on this project and inspiring me to work hard and complete this work. University of Ghana http://ugspace.ug.edu.gh iii ACKNOWLEDGEMENTS This work is a fulfilment of a longstanding interest in diaspora‘s investment in Kenya. I am therefore very grateful to the Almighty God for granting me the opportunity and ability to research this topic. I also want to thank all the people who contributed to the completion of this study in one way or another; for your prayers, moral and practical support. I also wish to acknowledge my supervisors Professor Alex Asiedu, Professor Peter Quartey and Dr. Joseph Teye for their support, suggestions, encouragement and also for the scholarly insight they brought to bear on my understanding of this work. I could not have completed this work without them. I would also want to say a big thank you to Dr Delali Badasu who from the beginning has been a source of encouragement and moral support. I also want to thank all the people at the Centre for Migration Studies who contributed to my work in different ways. I am truly grateful to the Kenyan migrants in Ghana, the UK, US and Canada who spared time to participate in this study. I also want to thank all my friends and relatives who distributed the survey questionnaires to their contact persons in various places. Special thanks go to my younger brothers Daniel Mukunga Mwai and Samwel Wachira Mwai and their families for facilitating the logistical aspects of my research in the US. I also want to thank Dzifa for her unwavering friendship and support throughout my PhD studies. I would also like to acknowledge Lawrence Simpi, who helped with the statistics. My appreciation also goes to Theophilus and Kyeremeh, who gave me practical support in this work. I sincerely thank my dear husband, Mwangi who allowed me to study, sponsored, encouraged, and prayed with me in those hard times. Special thanks also go to my University of Ghana http://ugspace.ug.edu.gh iv adorable children Njeri and Karanja, who endured days, weeks and sometimes months without much of my input. I am very proud of the three of you. I also want to acknowledge my parents especially my dad Charles Mwai who inspired me as a young girl to study to the ―highest‖ level possible. My in-laws have also been a tremendous encouragement to me to complete this ―ngumbaro‖ project. They were never tired of finding out about my progress and when I will complete. I cannot forget to thank my personal assistant Mary Nyokabi Mwangi whose support at home freed me to concentrate on my studies. University of Ghana http://ugspace.ug.edu.gh v ABSTRACT This study examined the development potential of Kenya‘s transnational migrants in the United Kingdom (UK), the United States of America (US), Canada and Ghana and how it can be leveraged towards the realization of Kenya‘s long term development plan - Kenya‘s Vision 2030. There is an upsurge of interest on the linkages between migration and development due to the realization that apart from the negative impact that migration can have on the countries of origin, migrants have much development potential which is largely unexploited. To explore how the development potential of Kenyan migrants can be mobilized towards the country‘s development, this study examined migrants‘ transnational involvement in remittance transfers, return-visits, savings, and investments. The study used mixed research methods in data collection and analysis: a survey of 212 respondents, 21 in-depth interviews and 5 focus group discussions. Overall, the study revealed that most of the Kenyan migrants in the four countries are actively involved in remittance transfers, return-visits, savings and investments in Kenya and they therefore form a potent development resource for the country. Nonetheless, this development potential has not been fully realized due to the numerous challenges the migrants encounter in their transnational engagement. The other key finding of the study is that most of the Kenyan migrants in the study are relatively young (92% are below 47 years) and highly skilled professionals (76% have a minimum of a bachelor‘s degree) who can be of immense benefit to Kenya from skills and knowledge transfer. But as the findings indicated most Kenyan migrants are scarcely informed about the objectives of Kenya‘s Vision 2030 and therefore may not be consciously involved in its realization. Based on these findings the study recommends an all-inclusive migrants‘ engagement strategy that will swiftly identify and address the concerns of the Kenyan migrants so as to encourage them to get more involved in national development. The study also recommends the improvement of information dissemination to the Kenyan diaspora. The objectives of Kenya‘s Vision 2030 should be clearly explained to the Kenyan diaspora and they should also be informed about available opportunities in Kenya. This study gives empirical support to the growing recognition of migrants‘ potential to contribute to the development of their home countries. It also contributes to the novel web survey data collection method. The study collected data from a study population that was scattered in four geographically dispersed countries using Surveymonkey web survey tool. University of Ghana http://ugspace.ug.edu.gh vi TABLE OF CONTENTS DECLARATION .............................................................................................................. i DEDICATION ................................................................................................................. ii ACKNOWLEDGEMENTS ........................................................................................... iii ABSTRACT ..................................................................................................................... v TABLE OF CONTENTS ................................................................................................ vi LIST OF TABLES ........................................................................................................... x LIST OF FIGURES ......................................................................................................... xi LIST OF ABBREVIATIONS AND ACRONYMS ....................................................... xii CHAPTER ONE .............................................................................................................. 1 BACKGROUND TO THE STUDY ................................................................................ 1 1.0 INTRODUCTION .................................................................................................. 1 1.1 PROBLEM STATEMENT ..................................................................................... 5 1.2 STUDY AIMS AND OBJECTIVES ...................................................................... 9 1.3 RESEARCH QUESTIONS .................................................................................. 10 1.4 HYPOTHESES ..................................................................................................... 10 1.5 KENYA IN PERSPECTIVE ................................................................................ 11 1.6 RELEVANCE OF THE STUDY ......................................................................... 25 1.7 DEFINITION OF TERMS ................................................................................... 26 1.8 ORGANIZATION OF THE STUDY ................................................................... 28 CHAPTER TWO ............................................................................................................ 29 LITERATURE REVIEW AND CONCEPTUAL FRAMEWORK ............................... 29 2.0 INTRODUCTION ................................................................................................ 29 2.1 MIGRATION AND DEVELOPMENT ............................................................... 29 2.2 THE CONTRIBUTION OF MIGRANTS TO DEVELOPMENT AT HOME ... 40 University of Ghana http://ugspace.ug.edu.gh vii 2.3 MOBILIZING TRANSNATIONAL MIGRANTS FOR DEVELOPMENT ...... 46 2.4 THEORETICAL PERSPECTIVES ON MIGRATION AND DEVELOPMENT ............................................................................................................................. 52 2.5 CONCEPTUAL FRAMEWORK ......................................................................... 56 2.6 SUMMARY .......................................................................................................... 65 CHAPTER THREE ........................................................................................................ 66 METHODOLOGY OF THE STUDY ............................................................................ 66 3.0 INTRODUCTION ................................................................................................ 66 3.1 RESEARCH DESIGN .......................................................................................... 66 3.2 RESEARCH INSTRUMENTS ............................................................................ 67 3.3 SAMPLING PROCEDURE ................................................................................. 71 3.4 STEPS OF DATA COLLECTION ...................................................................... 74 3.5 LANGUAGE DESIGN ........................................................................................ 76 3.6 DATA ENTRY AND QUALITY CONTROL .................................................... 76 3.7 TRIANGULATION ............................................................................................. 77 3.8 ETHICAL CONSIDERATIONS ......................................................................... 78 3.9 CHALLENGE AND LIMITATIONS OF THE STUDY ..................................... 79 3.10 POSITIONALITY .............................................................................................. 81 3.11 SUMMARY ........................................................................................................ 81 CHAPTER FOUR .......................................................................................................... 82 SOCIO-DEMOGRAPHIC CHARACTERISTICS OF THE STUDY POPULATION 82 4.0 INTRODUCTION ................................................................................................ 82 4.1 COUNTRY OF RESIDENCE .............................................................................. 82 4.2 AGE ...................................................................................................................... 83 University of Ghana http://ugspace.ug.edu.gh viii 4.3 SEX ....................................................................................................................... 83 4.4 MARITAL STATUS ............................................................................................ 85 4.5 LEVEL OF EDUCATION ................................................................................... 86 4.6 RESIDENCE STATUS ........................................................................................ 89 4.7 DURATION OF RESIDENCE ............................................................................ 91 4.8 EMPLOYMENT STATUS .................................................................................. 92 4.9 OCCUPATION AND AREA OF EXPERTISE ................................................... 93 4.10 LEVEL OF INCOME ......................................................................................... 95 4.11 COUNTRY OF ORIGIN .................................................................................... 96 4.12 REASONS FOR MIGRATING ......................................................................... 98 4.13 SUMMARY ...................................................................................................... 101 CHAPTER FIVE .......................................................................................................... 102 TRANSNATIONAL ACTIVITIES AND THE CHALLENGES ENCOUNTERED BY THE KENYAN DIASPORA ................................................................................... 102 5.0 INTRODUCTION .............................................................................................. 102 5.1 RETURN-VISITS TO KENYA ......................................................................... 102 5.2 REMITTANCES ................................................................................................ 123 5.3 SAVINGS AND INVESTMENT ....................................................................... 148 5.4 INTENTION TO RETURN TO KENYA .......................................................... 172 5.5 CHALLENGES ENCOUNTERED BY THE KENYAN DIASPORA IN TRANSNATIONAL ENGAGEMENT ............................................................. 182 5.6 SUMMARY ........................................................................................................ 193 University of Ghana http://ugspace.ug.edu.gh ix CHAPTER SIX ............................................................................................................ 194 DIASPORA‘S POTENTIAL ENGAGEMENT IN KV-2030 ..................................... 194 6.0 INTRODUCTION .............................................................................................. 194 6.1 DIASPORA PRIORITY AREAS IN KENYA‘S DEVELOPMENT ................ 194 6.2 FACTORS THAT HINDER DIASPORA PARTICIPATION IN KENYA‘S DEVELOPMENT .............................................................................................. 195 6.3 DIASPORA CONTRIBUTION TO KV-2030 (KENYA‘S VISION 2030) ...... 200 6.4 FACTORS THAT CAN ENHANCE PARTICIPATION OF TNMs IN KV-2030 ........................................................................................................................... 204 6.5 SUMMARY ........................................................................................................ 212 CHAPTER SEVEN ...................................................................................................... 213 SUMMARY, CONCLUSION AND RECOMMENDATIONS .................................. 213 7.0 INTRODUCTION .............................................................................................. 213 7.1 SUMMARY ........................................................................................................ 213 7.2 CONCLUSION .................................................................................................. 217 7.3 RECOMMENDATIONS .................................................................................... 221 7.4 EMERGING ISSUES FOR FURTHER RESEARCH ....................................... 223 REFERENCES ............................................................................................................. 225 APPENDIX A: SURVEY QUESTIONNAIRE ........................................................... 247 APPENDIX B: IN-DEPTH INTERVIEW GUIDE ..................................................... 256 APPENDIX C: FOCUS GROUP DISCUSSION GUIDE ........................................... 260 University of Ghana http://ugspace.ug.edu.gh x LIST OF TABLES Page Table 2.1 Theories that Explain Interactions between Migration and Development…………………………………………………………... 57 Table 4.1 Age, Sex & Marital Status……………………………………………. 84 Table 4.2 Level of Education, Residence &Duration of Residence……………… 86 Table 4.3 Current Occupation……………………………………………………. 93 Table 4.4 Area of Expertise ……………………………………………………… 94 Table 4.5 Income per Annum (in USD)………………………………………….. 95 Table 4.6 Reasons for Migrating………………………………………………… 99 Table 5.1 Motivation for Return-visits…………………………………………… 105 Table 5.2 Frequency, Duration of Stay & Entourage of Return-visits to Kenya… 107 Table 5.3 Size of Travel Party and Frequency of Visit………………………….. 109 Table 5.4 Expenditure on Airfare, Domestic Travels, Accommodation, and Meals and Drinks……………………...……………………………… 112 Table 5.5 Souvenirs/Handicraft, Monetary Gifts & Total Expenditure………. 114 Table 5.6 Test of Association between Independent variables and Migrants‘ frequency of visit …………………………………………………….. 116 Table 5.7 Binary Logistic Regression Analysis of Socio-demographic Factors and Independent Variables……………………………………………. 120 Table 5.8 Annual Financial Remittances (in USD)………………………………. 125 Table 5.9 Test of Association between Independent variables & Remittance decision………………………………………………………………... 128 Table 5.10 Binary Logistic Regression Analysis of Socio-demographic Factors and Remittances………..…………………………………………….. 135 Table 5.11 Principal Recipients of Remittances………………………………….. 136 Table 5.12 Intended Use of Remittances………………………………………….. 139 Table 5.13 Frequency and Season of Sending Financial Remittances……………. 141 Table 5.14 Channels of Sending Remittances……………………………………. 143 Table 5.15 Type of Bank Account………………………………………………… 150 Table 5.16 Test of Association between Independent Variables & Investment in Financial Instruments…………………………………………………. 153 Table 5.17 Binary Logistic Regression Analysis of Socio-demographic Factors and Investment in Financial Instruments.. ……………………………. 159 Table 5.18 Type of Enterprise…………………………………………………….. 161 Table 5.19 Test of Association between Independent variables and Migrants‘ Entrepreneurship Decision……………………………………………. 162 Table 5.20 Binary Logistic Regression Analysis of Socio-demographic Factors and Entrepreneurial Investments………………..……………………. 168 Table 5.21 Incentive(s) that can motivate the Diaspora to Invest in Kenya………. 171 Table 5.22 Work Preference and Area of Expertise……………………………….. 174 Table 5.23 Incentives that would motivate the Migrants to Return to Kenya…….. 178 Table 5.24 Hindrances to Return-visits and Tourism (for individual Countries)…. 185 Table 5.25 Challenges of Sending Remittances (for individual Countries)………. 189 Table 5.26 Challenges of investing/doing business in Kenya……………………... 191 University of Ghana http://ugspace.ug.edu.gh xi LIST OF FIGURES Page Figure 2.1 Conceptual Framework………………………………………………. 62 Figure 4.1 Country of Residence………………………………………………… 82 Figure 4.2 Kenyans with Dual Citizenship………………………………………. 90 Figure 4.3 Countries of Dual Citizenship……………………………………… 91 Figure 4.4 Employment Status…………………………………………………… 92 Figure 4.5 The Ten Leading Counties where most Respondents come from……. 96 Figure 4.6 Map of Kenya Showing the Counties of Origin of Migrants………… 97 Figure 4.7 Have you achieved your Objective of Migrating?. ………………….. 100 Figure 5.1 Map of Migrants‘ Transnational interactions between Kenya & Destination Countries………………………………………………… 103 Figure 5.2 Return Visits to Kenya since Migration……………………………… 104 Figure 5.3 When Last Return-visit to Kenya took Place………………………… 110 Figure 5.4 Factors that can Enhance Return-visits and Tourism………………… 122 Figure 5.5 Sending Money to Kenya…………………………………………….. 124 Figure 5.6 Sending Goods to Kenya……………………………………………... 125 Figure 5.7 Hindrances to Sending Financial Remittances……………………….. 127 Figure 5.8 Intended Use of Remittances for all Countries……………………….. 138 Figure 5.9 Actual Utilization of Remittances……………………………………. 140 Figure 5.10 Counties that Receive most Remittances…………………………….. 146 Figure 5.11 Map showing Counties that receive remittances……………………... 147 Figure 5.12 Those with Bank Accounts in Kenya………………………………… 149 Figure 5.13 Those who have invested in Financial Instruments…………………... 151 Figure 5.14 Type of Financial Instrument………………………………………… 152 Figure 5.15 Diaspora Entrepreneurship in Kenya…………………………………. 161 Figure 5.16 Engagement in Business Networks…………………………………... 170 Figure 5.17 Sector(s) of interest for the Business Networks……………………… 170 Figure 5.18 Intention to Return to Kenya before retirement……………………… 172 Figure 5.19 Reasons for Unwillingness to Return to Kenya……………………… 173 Figure 5.20 Desired Time of Return………………………………………………. 176 Figure 5.21 Anticipated Length of Stay upon Return……………………………... 177 Figure 5.22 Desire to Return Upon Retirement…………………………………… 180 Figure 5.23 Nature of Return……………………………………………………… 181 Figure 5.24 Whether Migrants Encounter challenges in Return-visits……………. 182 Figure 5.25 Hindrances to Return-visits and Tourism (for all Countries)………… 183 Figure 5.26 Challenges of Sending Remittances (for all Countries)……………… 187 Figure 6.1 Diaspora Development Priority Sectors……………………………… 195 Figure 6.2 Factors that Hinder Diaspora's Participation in Development ……..... 196 Figure 6.3 Diaspora Knowledge of KV-2030 by Country of Residence………… 201 Figure 6.4(a) Diaspora Knowledge of KV-2030 by Sex….....……………………… 202 Figure 6.4(b) Diaspora Knowledge of KV-2030 between Males and Females……... 203 Figure 6.5 Relevance of KV 2030 to Diaspora…………………………………... 203 Figure 6.6 Factors that can Enhance Diaspora's Participation in Kenya‘s Development………………………………………………………….. 204 University of Ghana http://ugspace.ug.edu.gh xii LIST OF ABBREVIATIONS AND ACRONYMS AFFORD African Foundation for Development ANA Association of Nigerians Abroad AU African Union BPO Business Process Outsourcing CBK Central Bank of Kenya COMESA Common Market for Eastern and Southern Africa DDI Diaspora Direct Investments DDNA Digital Diaspora Network Africa EAC East African Community ECA Economic Commission for Africa EU European Union FDI Foreign Direct Investments FGD Focus Group Discussion GCIM Global Commission for International Migration GDP Gross Domestic Product GOK Government of Kenya HDR Human Development Report HTA Hometown Association ICMPD International Centre for Migration Policy Development ICT Information Communication and Technology IDPs Internally Displaced Persons IGAD Intergovernmental Authority on Development IOM International Organization for Migration KDIF Kenya Diaspora Investment Forum KV- 2030 Kenya Vision 2030 LSE London School of Economics and Political Science MDG Millennium Development Goals MIDA Migration for Development in Africa MIT Massachusetts Institute of Technology NELM New Economics of Labour Migration NEPAD New Partnership for Africa‘s Development ODA Official Development Aid OECD Organization for Economic Co-operation and Development RMMS Regional Mix Migration Secretariat SANSA South African Network of Skills Abroad SAPs Structural Adjustment Programs SPSS Statistical Package Social Sciences SSA Sub-Saharan Africa TNMs Transnational Migrants UK United Kingdom UNCTAD United Nations Conference on Trade and Development UNDP United Nations Development Programme UNEP United Nations Environmental Programme UNESCO United Nations Educational, Scientific and Cultural Organization UNHCR United Nations High Commissioner for Refugees US United States USAID United States Agency for International Development VFR Visiting Friends and Relatives University of Ghana http://ugspace.ug.edu.gh 1 CHAPTER ONE BACKGROUND TO THE STUDY 1.0 INTRODUCTION Migration has always been part of human history. The reasons for migration vary according to time, space and context. Various accounts of migration in the literature link the phenomenon to economic reasons, internecine warfare, demographic growth and climatic change, among others. However, the past three decades have been described by Castles and Miller (2009) as the ―age of migration‖ arguably because of the quantitative and qualitative aspects of human mobility, and perhaps the increasing interest in migration research. In addition, the effect of globalization and advancement in transport and telecommunication has brought to the fore the need to prioritize migration issues. International organization for Migration (IOM) (2010a) estimates that the total number of international migrants had increased from 191 million in 2005 to 214 million in 2010. This figure is close to World Bank figures which indicate that in 2010, there were over 215 million international migrants in the world (approximately 3.2 percent of the world‘s population) (World Bank, 2011a). According to Plaza & Ratha (2011), 30 million of these international migrants are from Africa. Similarly, over 171 million people (3.0 percent of the population) in developing countries are emigrants. In sub-Saharan Africa (SSA), there were over 21 million emigrants within SSA, or 2.5 percent of the population in 2010. Sixty three percent (63%) of these migrants were involved in intra-regional migration: 24.8 percent went to high-income OECD countries, 2.5 percent migrated to high-income non-OECD countries, 1.8 percent were in other developing countries and 7.8 percent were unidentified (World Bank, 2011a). Correspondingly, the number of emigrants from Kenya in 2010 was University of Ghana http://ugspace.ug.edu.gh 2 approximately 457,1001, representing around 1.1 percent of Kenya‘s population (World Bank, 2011a; Plaza & Ratha, 2011). Looking at the above statistics, one can be tempted to think that international migration is inconsequential in the world, since the percentages of migrants look quite insignificant. Although the people who migrate globally are a few compared to non- migrants, international migration has attracted much attention in the international policy agenda due to the growing realization of the crucial developmental role played by migration in the globalization process (Newland, 2003; Morocco, 2005). This consciousness has been brought about by among other factors, domestic politics in migrant destination countries and the growing concern about the consequences of ‗brain drain‘ in migrant countries of origin (Newland, 2003). Migration and development have assumed a complex interrelationship and interdependence with increased globalization (IOM, 2004a; Laczko, 2005; Morocco, 2005). There are differing views about how migration affects development and to what extent. Accordingly, migration as a ‗tool‘ for economic development is a heated topic of debate both in academia and among policymakers (Laczko, 2005; 2008; Morocco, 2005; Newland, 2007). There is a shift in literature, from preoccupation with the negative impact of migration to focusing on the development potential of migrants and the diasporas (De Haas, 2006; Laczko, 2005). Subsequently, there is a rising interest in strengthening relations between sending states and their diaspora (Gamlen, 2008). States have realized they can tap into the imperatives and opportunities presented by globalization and transnationalism to involve their migrant citizens in national development (De Haas, 2006; Gamlen, 2008). The assumption that home countries 1These figures do not include second and third generation migrants as well as undocumented migrants (Plaza & Ratha, 2011). University of Ghana http://ugspace.ug.edu.gh 3 could only benefit from their emigrants when they return home has been overtaken by transnationalism realities. Emigrants can now contribute to the development of their home country while still in their destination country (De Haas, 2006). Migration literature shows that the potential benefits that emigrants can bring to their countries of origin include: financial flows (Quartey, 2006a; Ratha et al, 2011; World Bank, 2011a), trade and investment (Newland and Tanaka, 2010; Terrazas, 2010), and knowledge and technology transfers (Farrant et al, 2006; Newland, 2013). The World Bank‘s estimates indicate that in 2010, developing countries received about USD 325 billion in remittances (excluding unrecorded remittances). This is far above official aid flows and over 10 percent of the Gross Domestic Product (GDP) in many developing countries (World Bank, 2011a). Many developing countries such as China, India, South Africa, and the Philippines have recognized the importance of their diasporas and have adopted various development approaches to help them tap into the human, financial and other resources of their diaspora to meet their development goals; as well as achieve global competitiveness (Saxenian, 2002a; 2002b; Okoth, 2003; Davies, 2007). Despite this realization by some developing countries, many African nations have been slow in recognizing the development potential presented by migration beyond remittances (Davies, 2007). This is in spite of the fact that, there is a sizeable expatriate African population, which constitutes a potentially exploitable resource that can play a significant role in the development of the African continent (Davies, 2007). Furthermore, there still remains much untapped potential in private financial flows from the diaspora since the remittances they send are just a fraction of their wealth (Terrazas, 2010). University of Ghana http://ugspace.ug.edu.gh 4 The African Union (AU) has acknowledged the development potential of the African diaspora and has officially recognized African Diaspora as a ―sixth regional bloc‖, alongside the economic blocs of the South, Central, West, East and Saharan regions of Africa (Belai, 2007; Davies, 2007). New Partnership for Africa‘s Development (NEPAD) also recognizes the development potential of the African diaspora such as knowledge transfer and contributing to development projects through remittances (ECA, 2006). Kenya, which is a diasporic state2 (Zoomers & van Naerssen, 2007), has also acknowledged the immense contribution of its diaspora (GOK, n.d) and has expressed interest in engaging the diaspora in national development (Oyelere, 2007). In this pursuit, the Government of Kenya has come up with mechanisms and strategies of strengthening linkages with the diaspora and creating a conducive environment for investment and skills and knowledge transfer (IOM, 2010b). Such mechanisms include the drafting of a Diaspora Engagement Policy and the establishment of a Diaspora Directorate under the Ministry of Foreign Affairs (GOK, 2007a; 2007b; 2007c; n.d). However, it is important to note that the diaspora policy is yet to be adopted. In his address to the Kenyan diaspora in London in May 2013, Uhuru Kenyatta, the current President of Kenya, reiterated the fact that the government was keen to expedite the finalisation of the Policy and to support its implementation with the necessary resources and legislation (Business Daily, 2013). Apart from coming up with diaspora targeted strategies and mechanisms, the government has placed the diaspora as one of the flagship projects under the financial sector in its long term development blue print for Kenya - Kenya‘s Vision 2030 (GOK, n.d; Toboso, 2010). There is no comprehensive data on the number of Kenyans in the diaspora and different sources quote different figures. The available literature gives conflicting numbers and 2 According to Zoomers & Naerssen (2007) diasporic states are ―countries with a huge and dispersed overseas population, with a large number of expatriates‖ P. 17. University of Ghana http://ugspace.ug.edu.gh 5 trends of Kenyans in the diaspora. Kinyanjui & Akinyoade (2012) for instance, estimate that the stock of Kenya emigrants is about 3 million (8 percent of Kenya's population) any yet the World Bank estimates that in 2010, there were about 457,100 Kenyan international migrants (1.1 per cent of Kenya‘s population) (World Bank, 2011a). Despite the lack of comprehensive data on Kenyan migrants, the importance of the Kenyan diaspora to the country‘s development cannot be ignored. According to World Bank estimates, the emigration rate of tertiary educated Kenyans is 38.4 percent (World Bank, 2011a). In spite of the high emigration rate of educated Kenyans, the volume of remittances to Kenya has increased significantly (Kinyanjui & Akinyoade, 2012). Statistics from the Central Bank of Kenya indicate that the remittances sent to Kenya in 2010 amounted to USD 642 million. This figure increased by 39 percent to USD 891 million in 2011. In 2012, the country‘s remittances were over a billion (USD 1.2 billion). Similarly, for the first half of 2013, the country received remittances of over USD 623 million, which comprised 48.2 percent (USD 48.1 million) from North America, 28.3 percent (USD 28.2 million) from Europe, and 23.5 percent (USD 23.5 million) from the rest of the world (CBK, 2012; 2013). The contrast between the high emigration rates of tertiary educated Kenyans and the high remittances received from the diaspora is an indication that there is a thin line between the costs and benefits that Kenya can derive from migration. This study seeks to examine the development potential of Kenyans in the diaspora (such as remittance transfers, return visits, savings, and investments) and how it can be leveraged towards the realization of the Vision 2030 development plan. 1.1 PROBLEM STATEMENT The migration-development nexus is not a new topic, but there is renewed interest in research and policy on how countries of origin and destination can benefit from the University of Ghana http://ugspace.ug.edu.gh 6 linkages between migration and development (Taylor, 2006; Newland 2007; Abella & Ducanes, 2008; Castles & Delgado-Wise, 2008; Davies, 2010). Portes et al (2007) highlights the importance of frequent, regular and durable transnational interactions in enhancing migrants‘ participation in the economic, social and political processes of their country of origin. Although migration cannot be a substitute for development, it must be an essential part of the development agenda since it can have positive or negative impact on development, depending on how it is managed (see Siddiqui, 2005). Poor management of migration can lead to competition for scarce resources in the destination countries where migrants can put pressure on facilities like housing, health provision, and schools (LSE, 2007). In addition, migrants are sometimes accused of taking native jobs especially in the semi-skilled area. There are also instances where migrants are perceived as a security threat or a threat to the cultural identity of the host communities (Dumont, 2007; Fadayomi, 2010). On the other hand, the repercussions of poor migration management to the countries of origin include loss of highly skilled professionals (Fadayomi, 2010; Rothgang and Schmidt, 2003; Oyelere, 2007), thus compromising their ability to develop (Sriskandarajah, 2005). According to Taylor (2006), countries of origin lose their investment on the education of their nationals, when the nationals take their skills abroad. Despite the negative effects of migration, effective migration governance has the potential to have a triple win effect where all the parties involved can benefit - the country of origin, the destination country, and the migrants and their families (Adepoju, 2010; ECA, 2006; Siddiqui, 2005; Sriskandarajah, 2005). The potential development benefits of migration to the destination countries include: supplementation of domestic labour and filling gaps in specialized skills (Dumont, 2007; Fadayomi, 2010); and bringing fresh ideas, entrepreneurship, energy and determination (Adepoju, 2010). The countries of origin University of Ghana http://ugspace.ug.edu.gh 7 on the other hand can benefit from the remittances sent by migrants (Dumont, 2007; Kiiru, 2010) - which is an important source of financial flows (Fadayomi, 2010; Usher, 2005). Migrants can also bring non-financial resources like innovation, knowledge and skills (Serut, 2006; Zoomers & van Naerssen, 2006; Dumont, 2007), and even political change (Usher, 2005). In addition, migrants can be an important link between the private and the public sectors in both the destination and origin countries, which can lead to investment flows, business partnerships, and trade (Saxenian, 2002a; 2002b; Usher 2005). As far as benefits to the migrants is concerned migration can open up better opportunities for migrants and their families in terms of higher incomes and access to better health and educational facilities (Ghai, 2004). The double-edged nature of migration is what has led to an increased interest in migration and development interrelationship among policymakers and researchers as they try to seek ways of ensuring that migration is beneficial and not detrimental to the economies of migrant countries of origin (Skeldon, 2008). Consequently, many African Governments have realized that they can harness the development potential of their diaspora towards national development (World Bank, 2007). In this pursuit, they are now incorporating migration into their development agendas as well as establishing policies and coming up with various mechanisms and strategies to leverage diaspora participation in development (Usher, 2005). Kenya is one of such countries, which besides coming up with various mechanisms and strategies to harness diaspora participation in national development, has included the diaspora in its long term development blue print - Vision 2030 - as a key driver of development under the financial sector (GOK, n.d.; 2007a; 2007b; 2008; Toboso, 2010). One important aspect that needs serious attention in the realization of any development agenda is research. University of Ghana http://ugspace.ug.edu.gh 8 There is a wide range of literature on migration and development linkages in Kenya ranging from literature on brain drain (Oyelere, 2007; Kirigia et al, 2006), internal migration (Oucho, 2007), labour migration (Macharia, 2003) and remittances (Kiiru 2010; Munyao, 2010; Ngugi, 2011). However, very few scholars have written on the contribution of the diaspora to development. Such scholars include Okoth (2003) and Ghai (2004). Although Okoth (2003) has examined the role of diaspora in Kenya‘s development, he focuses on diaspora trends since independence to the era of President Kibaki and the call for the return of the Kenyan diaspora by the Kibaki administration after he became president in 2002. Ghai (2004) on the other hand has proposed economic and political reforms that can enhance the participation of the diaspora in development. A few studies have been conducted in the efforts to find ways of tapping into the development potential of the Kenyan diaspora. Africarecruit (2006) for instance, conducted a study in the UK, as a build up to the Kenya Diaspora Investment Forum (KDIF) held in London in 2006. Four years later, IOM also carried out a study on the Kenyan migrants in the UK with the intention of widening the parameters of the involvement of the Kenyan diaspora in Kenya‘s development. Both studies however, were limited to Kenyans in the UK and did not link diaspora involvement to the implementation of Kenya‘s development plans. There are also two recent studies on the potential of Kenya‘s diaspora to contribute to development in Kenya by Oucho, Oucho & Ong‘ayo, (2013) and Kinuthia (2013). However, apart from the fact that both studies are limited to the Kenyan diaspora in the Global South, Oucho, Oucho & Ong‘ayo mainly dwell on labour migration while Kinuthia assesses the involvement of the diaspora in human development. The involvement of the Kenyan diaspora in national development still remains under-researched. The glaring need for more research on the contribution of the diaspora to Kenya‘s development is clearly highlighted by Nguvulu University of Ghana http://ugspace.ug.edu.gh 9 (2010). In his study on migration trends and research needs in Kenya, Nguvulu identified social impacts of migration; Kenyan diaspora and highly skilled migration; the contribution of diaspora to Kenya‘s development; irregular migration and socio- economic impacts of remittances; and cross-border trade as areas that are under- researched. This study seeks to contribute to the scarce data on the contribution of the Kenyan diaspora in national development and particularly their contribution to the implementation of Kenya‘s long term development plan - Kenya‘s Vision 2030. 1.2 STUDY AIMS AND OBJECTIVES The principal aim of this study is to find out how the development potential of Kenyan transnational migrants in the United Kingdom (UK), the United States of America (US), Canada and Ghana can be leveraged towards the achievement of Kenya‘s Vision 2030. The specific objectives are: 1) To investigate the socio-demographic and economic characteristics of Kenyan transnational migrants in the UK, US, Canada and Ghana. 2) To evaluate the involvement of the Kenyan diaspora in development-oriented transnational activities namely; return-visits, remittance transfers, and savings and investment. 3) To examine the challenges encountered by Kenyan transnational migrants as they take part in transnational activities. 4) To identify factors that can enhance the participation of Kenyan transnational migrants in national development. 5) To propose measures that can facilitate improved involvement of Kenyan transnational migrants in the achievement of the country‘s development plan – Vision 2030. University of Ghana http://ugspace.ug.edu.gh 10 1.3 RESEARCH QUESTIONS The study seeks to answer the following questions: 1. What is the extent of migrants‘ participation in return-visits, sending of remittances, and savings and investments? 2. What challenges do the migrants encounter in the course of their involvement in return-visits, remittance transfers, and savings and investments? 3. What are the factors that can enhance the involvement of TNMs in Kenya‘s development and achievement of Kenya‘s Vision 2030? 4. What are the main issues to be considered in facilitating improved participation of TNMs in the achievement of KV 2030 1.4 HYPOTHESES 1. Null Hypothesis (H0): There is no significant association between remittance transfers and a migrant‘s residence status. Alternate Hypothesis (H1): There is a significant association between remittance transfers and a migrant‘s residence status. 2. Null Hypothesis (H0): There is no significant relationship between return-visits and a migrant‘s intention to return to Kenya. Alternate Hypothesis (H1): There is a significant relationship between return-visits and a migrant‘s intention to return to Kenya. 3. Null Hypothesis (H0): There is no significant association between investing in entrepreneurial ventures and a migrant‘s level of education. Alternate Hypothesis (H1): There is a significant association between investing in entrepreneurial ventures and a migrant‘s level of education. University of Ghana http://ugspace.ug.edu.gh 11 1.5 KENYA IN PERSPECTIVE Kenya is an East African country that lies on the coast of the Indian Ocean (Mwangi, 2007). It borders Uganda to the West, Tanzania to the South, the Indian Ocean and Somalia to the East, and Ethiopia and Sudan to the North (UNCTAD, 2005). Kenya‘s land border stretches 3,477 kilometres and its coastline is 536 kilometres (ICMPD, 2008). The country became independent from the British in 1963 (Mwangi, 2007) and is a presidential representative republic where the president is both the head of state and the head of government (ICMPD, 2008). The country is divided into 47 counties and its capital city is Nairobi (Constitution of Kenya, 2010). In 2009, Kenya had approximately 40 million people, with an average annual population growth rate of 2.6 percent for the period between 2000 and 2009 (World Bank, 2011a). Since its independence, the economy of Kenya has been the largest and most dominant in the East African region (Global Finance, 2012; UNCTAD, 2005; Mkhabela, 2011). According to the EAC Statistics Portal (2012), in 2010, the GDP of Kenya at current market prices was about 32 billion US dollars compared to 23 billion and 17 billion US dollars for Tanzania and Uganda respectively. 1.5.1 Kenya’s Migration Dynamics The sociology of literature on migration in Kenya shows that the country has mixed migration characteristics. The country is a destination, transit, as well as a source of migration flows (Adepoju, 2007; ICMPD, 2008; Zoomers et al, 2008; Nguvulu, 2010; Okoth, 2003; Ratha, et al, 2011; RMMS, 2011; Zoomers & van Naerssen, 2007). The migration dynamics of Kenya are influenced by social, political and economic factors (Brockerhoff & Biddlecom, 1999; Black et al, 2004; Nguvulu, 2010; IOM, 2010b). University of Ghana http://ugspace.ug.edu.gh 12 1.5.1.1 Immigration Kenya is a leading migration destination in Africa and it is the main destination for migrants in East Africa (Adepoju, 2007; Nguvulu, 2010; Oucho, Oucho & Ong‘ayo, 2013; Plaza & Ratha, 2011). Adepoju (2007:47) describes Kenya as one of the ―magnetic countries‖. According to the World Bank, the country is the sixth immigration country in sub-Saharan Africa, after Côte d‘Ivoire, South Africa, Ghana, Nigeria and Burkina Faso (World Bank, 2011a). Kenya attracts heterogeneous migration flows from Central and Eastern Africa as well as outside Africa (ICMPD, 2008; Nguvulu, 2010). The World Bank Remittances Fact Book shows that Uganda – Kenya is one of the top ten migration corridors in sub-Saharan Africa (World Bank, 2011a). The stock of Kenyan immigrants was estimated to be 790,100 in 2005 representing 2.2 percent of the total population (HDR) (2009) and 817,700, or 2.0 per cent of the total population of Kenya (World Bank, 2011a). According to Oucho, Oucho & Ong‘ayo (2013), 84 percent of immigrants in Kenya are from other African countries, 10 percent from Asia, 4 percent from Europe and 2 percent from America. The country‘s immigration history dates back to the medieval period when Arab and Persian traders came to the East Africa coast between the 9th and the 12th Centuries (Knight, 2001; Okello, 2002). Thereafter, the Portuguese arrived in the 15th Century but left in 1729 when they were ousted by the Arabs (Crawfurd, 2012). In the 1800s, the British came to East Africa and later brought in Indian labourers to assist in the construction of East Africa railway lines (Crawfurd, 2012; Okoth, 2003). However, most non-citizen Europeans and Asian residents left the country in the first two decades after independence (Ghai, 2004). University of Ghana http://ugspace.ug.edu.gh 13 The attractiveness of Kenya to various types of migration flows is attributable to a number of factors. These factors include its strategic geographic and economic position, its relatively developed infrastructure and its political stability in East Africa (ICMPD, 2008; Mwangi, 2007; Zoomers & van Naerssen, 2007). The country is seen as ‗a safe haven‘ to many migrants from neighbouring countries fleeing political instability, food insecurity as well as those hoping to improve their livelihoods (ICMPD, 2008; Zoomers et al, 2008). Kenya is the financial and transport hub in East Africa and has an important port - the Port of Mombasa, which serves its landlocked neighbours like Uganda, parts of Northern Tanzania, Rwanda, Burundi, South Sudan, and Ethiopia (UNCTAD, 2005; Mkhabela, 2011). In addition, Kenya is a member of the Common Market for Eastern and Southern Africa (COMESA) and the East African Community (EAC) (ICMPD, 2008; UNCTAD, 2005). Another factor which attracts foreigners to Kenya is tourism (Okoth, 2003). The country is a leading tourist destination in East Africa thanks to its abundant wildlife, beautiful landscapes, and a conducive temperate tropical climate. Some of the seasonal tourists end up settling down in Kenya. This is what has led to resort communities of Italians, Germans, French, and other communities from Europe along the Kenyan coast (Okoth, 2003). Apart from being a tourist destination, the country also acts as a base for many international organizations, corporate organizations and businesses thus attracting expatriates and other foreign migrants from all over the globe (Okoth, 2003; Mwangi, 2007; UNCTAD, 2005). 1.5.1.2 Transit Apart from being the final destination for migrants, Kenya is also used as an important transit (Nguvulu, 2010) point by both legal and illegal transit migrants from Somalia, Ethiopia, Eritrea, Rwanda and Asia among others (Zoomers & van Naerssen, 2007). In University of Ghana http://ugspace.ug.edu.gh 14 addition to hosting refugees, Kenya is also used as a transit country for the resettlement of refugees in other countries or repatriation back home after conflicts subside (Black et al, 2004; Okoth, 2003; Zoomers & van Naerssen, 2007). 1.5.1.3 Emigration Kenya is also an important source of migrants. Zoomers & van Naerssen (2007) describe Kenya as a ‗diasporic‘ state, because there are many Kenyans who have migrated abroad over a long time and are dispersed all over the globe. Literature gives conflicting numbers and trends of Kenyan emigrants. Kinyanjui & Akinyoade (2012) for instance, estimate that the stock of Kenya emigrants is about 3 million, which forms about 8 percent of the population of Kenya (Kinyanjui & Akinyoade, 2012). In contrast, estimates that in 2010, there were about 457,100 Kenyan international migrants or 1.1 per cent of the total population (World Bank, 2011a). Similarly, the Human Development Report (HDR) (2009) indicates that in 2005 Kenya had an emigration rate of 1.4 percent. Despite the conflicting figures of the stock of Kenyan migrants, it is evident that there is a significant stock of Kenyan international migrants (Ghai, 2004; Nguvulu, 2010). According to Terrazas (2009), in 2007 Kenya was among the top five countries of origin for African immigrants in the US with 5.7 percent of the 1.4 million African immigrants. The others were Nigeria (13.1%), Egypt (9.6%), Ethiopia (9.5%) and Ghana (7.4%). IOM (2010b) indicates that Kenyan emigrants are mostly found in countries where they experience the least language barriers such as Swahili speaking countries in East Africa like Tanzania and Uganda, and English speaking countries like the UK and the US. The World Bank gives the main destinations for Kenyan migrants as the United Kingdom, Tanzania, the United States, Uganda, Canada, Australia, Germany, India, the Netherlands and Switzerland (World Bank, 2011a). University of Ghana http://ugspace.ug.edu.gh 15 Kenya is an important source of highly skilled emigrant workers to countries in the East and Southern Africa as well as Europe, North America, Australia and New Zealand (Ghai, 2004; Oucho, Oucho & Ong‘ayo, 2013). These migrants include doctors, nurses, lecturers, accountants, engineers, managers, business entrepreneurs and other skilled professionals (Ghai, 2004; IOM, 2010b; Okoth, 2003; Oucho, Oucho & Ong‘ayo, 2013; World Bank 2011a; Zoomers & van Naerssen, 2007). The World Bank Remittances Fact book shows that in 2000, Kenya was the ninth country in SSA with the highest emigration rate of tertiary educated population, with an emigration rate of 38.4 percent (World Bank, 2011a). Similarly, Adepoju (2007) says that Kenyans are classified among the leading highly skilled professionals in South Africa. One of the professions heavily affected by large scale emigration of skilled professionals is the health profession. The World Bank Remittances Fact book shows that in 2010, 50.8 percent of physicians born in the Kenya left the country (World Bank, 2011a). These professionals migrate to new labour markets such as Britain, US and Canada (Adepoju, 2007). Kenya has also been involved in bilateral labour export arrangement with the US, Canada, EU countries, the Gulf States as well as countries in sub-Saharan Africa like South Africa, Seychelles, Congo, Rwanda, and Burundi (Zoomers et al, 2008; Zoomers & van Naerssen, 2006; 2007). Most of the emigrants involved in such arrangements pursue middle level jobs such as high school and elementary school teachers (Black et al, 2004; Okoth, 2003; Musonda, 2006; Zoomers & van Naerssen, 2006; 2007). There is also a significant number of semi-skilled and low skilled Kenyans (IOM, 2010b) who migrate to both the developed countries and the Middle East countries like Bahrain, Saudi Arabia and Qatar (Black et al, 2004; Ghai, 2004; Okoth, 2003; Musonda, 2006). Most of the low skilled emigrants work as drivers, domestic servants, security guards and other low skilled jobs (Musonda, 2006, Ghai, University of Ghana http://ugspace.ug.edu.gh 16 2004). IOM (2010b) however, notes that since immigration of low-skilled workers to developed countries is usually restricted, most Kenya migrants in those countries are illegal migrants. Apart from Kenyans migrating in search of better opportunities, scholarly work also indicates that there is an increasing proportion of Kenyans who migrate for further studies especially to the US and the UK, some of whom decide to settle in destination countries after completing their studies (Ghai, 2004; Okoth, 2003; IOM, 2010b; Nguvulu, 2010). Nguvulu quotes statistics from the United Nations Educational, Scientific and Cultural Organization (UNESCO, 2009), which approximate that in 2007 there were 13,313 Kenyan students in various universities abroad (Nguvulu, 2010). Countries like the UK have however diminished in their attractiveness due to their restrictions on the employment of foreign students (Okoth, 2003). 1.5.1.4 Emigration Trends in Kenya Despite the relatively large numbers of Kenyans abroad, the massive emigration of Kenyans is a recent phenomenon (Ghai, 2004). During the colonial period, only a few Kenyans travelled out of the country, mainly to the UK, for education and training and returned to Kenya as elites. These were the people who led the struggle for the country‘s independence in 1963 (Okoth, 2003). After independence, Kenya was in dire need of qualified professionals who could take up leadership positions in various sectors of the newly independent nation. As a result, the new government gave scholarships to Kenyan students to travel to the UK for further studies with the assurance of ready jobs upon return (Kinuthia, 2013; Okoth, 2003). However, in the 1960s and 1970s, new destinations for Kenyan students emerged as the then world powers, the Soviet Union and the United States who were involved in Cold War, started wooing students to their countries with the hope of converting them to either University of Ghana http://ugspace.ug.edu.gh 17 socialism or capitalism as the case would be. The students benefited from the United States exchange programs such as Fulbright and Kennedy student airlifts in the 1960s (Okoth, 2003). The Soviet Union also offered training in medicine, agriculture, economics, engineering, and other careers in countries like Ukraine, East Germany, and Russia. Another destination for Kenya students that emerged in the 1970s as an alternative to UK, US or Soviet Union is India. One notable feature about migration trends in Kenya in the 1950, 1960s and 1970s, is that Kenyans were mainly engaged in circular migration (Black et al, 2004; Okoth, 2003; Musonda, 2006). Most Kenyan migrants faithfully returned back home after acquiring their education to participate in nation–building (Okoth, 2003; Musonda, 2006). Examples of such individuals include the first President of Kenya, Mzee Jomo Kenyatta and the third President, Mwai Kibaki (Okoth, 2003). During the era of President Daniel Arap Moi, in the 1980s, 1990s up to 2002, Kenya experienced massive one-way emigration of both the highly skilled and semi-skilled Kenyans (Ghai, 2004; IOM, 2010b; Musonda, 2006; Okoth, 2003). Most people who left the country started settling down in the destination countries (Black et al, 2004; Okoth, 2003; Musonda, 2006). The causes of this mass exodus include economic stagnation which led to high rates of unemployment and underemployment, increased insecurity, high corruption, political repression and ethnic clashes of 1992 and 1997 (Ghai, 2004; Kinuthia, 2013; Macharia, 2003; Musonda, 2006; Okoth 2003). Things were made worse by the structural adjustment programs (SAPs) of the 1980s and 1990s and other mandatory economic austerity measures initiated by donors (Musonda, 2006). SAPs led to massive retrenchment in the civil service without termination benefits and severe budget cuts especially in education and health sectors (Okoth, 2003). University of Ghana http://ugspace.ug.edu.gh 18 In the last decade, Kenya has experienced significant economic recovery and political reforms which have generated hope among Kenyans both at home and in the diaspora. Consequently, contrary to Ghai (2004)‘s prediction that highly skilled Kenyans are likely to continue emigrating even with improved economic growth, the country has started witnessing return migration and retention of skilled migrants (Oucho, Oucho, & Ong‘ayo, 2013). This is despite the interruption of normalcy by the post-election violence of 2007 which triggered migration especially to neighbouring countries (Kinuthia, 2013). There is also increased transnational participation of the Kenyan migrants especially in sending financial remittances to the country (Oucho, Oucho, & Ong‘ayo, 2013). 1.5.2 Kenya’s Migration Challenges One of the leading challenges that Kenya is faced with as a result of migration is international terrorism (ICMPD; 2008; Zoomers et al, 2008). Kenya has suffered numerous terrorist attacks since the bombing of the US embassy in Kenya in 1998 and the bombing of Israeli hotel and plane in 2002 (Okoth, 2003). The country is yet to come to terms with the horror of recent attack on the Westgate Mall, which affected people from different nationalities (Daily Nation, 2013). These terrorist attacks have impacted Kenyan attitudes and policies towards migrants from Somali origin (Okoth, 2003). Other migration related security challenges that Kenya has to deal with include cattle rustling and other forms of illegal incursions across its expansive and porous borders (ICMPD; 2008). The problem of refugees is another major challenge that Kenya has to deal with (Nguvulu, 2010). Scholarly work shows that Kenya is a leading destination for refugees. Indeed, Kenya has the largest refugee camp in the world, the Dadaab refugee University of Ghana http://ugspace.ug.edu.gh 19 camp (Black et al, 2004; Okoth, 2003; Nguvulu, 2010; UNHCR, 2010; World Bank, 2011a). According to Ratha, et al (2011), Kenya hosts the highest number of refugees in Africa. Even though Kenya has been hosting refugees for a long time, there has been a rise in the influx of refugees from neighbouring countries in the recent years (Black et al, 2004; ICMPD, 2008; Okoth, 2003). According to (Okoth 2003), in 1992, Kenya hosted 420,000 refugees from Somalia alone. In addition, Black et al, (2004) opine that, in 2002, there were over 230,000 refugees and asylum seekers in Kenya from Somalia and Sudan. Similarly, both the UNHCR and the World Bank illustrate that, in 2010, Kenya was one of the top destination countries for refugees in the world. The UNHCR shows that Kenya was the sixth largest refugee host country at the end of 2010, with approximately 403,000 refugees, more than 12 percent increase from the figure of the previous year (UNHCR, 2010). These figures went up to 566, 500 refugees and 35,275 asylum seekers in 2011 (Oucho, Oucho & Ong‘ayo, 2013). The World Bank estimates that in 2010 there were 32.9 percent refugees in Kenya as a percentage of immigrants (World Bank, 2011a). The top sources of these refugees are Uganda, Tanzania, Sudan, Somalia, Ethiopia (World Bank, 2011a). Most of these refugees, especially the Somali refugees, live in refugee camps within the country (Zoomers & van Naerssen, 2007). These refugee camps are usually over populated and sometimes the refugees move from the camps to urban areas like Nairobi (ICMPD, 2008). Irregular migration is another migration challenge facing Kenya. The country is an important hub for irregular migration as a source, transit and destination of irregular migration for migrants going to the Middle East, Southern Africa, Latin America and countries in the North (ICMPD; 2008; Oucho, Oucho & Ong‘ayo, 2013). Closely related to irregular migration is smuggling and trafficking in humans. Kenya is a University of Ghana http://ugspace.ug.edu.gh 20 source, transit and destination country for the trafficking of men, women and children to destinations in the Gulf States, Europe and North America (Adepoju, 2007; ICMPD, 2008; Nguvulu, 2010; RMMS, 2011; Zoomers et al, 2008). According to RMMS (2011), IOM estimated in 2009 that about 20,000 Somali and Ethiopian migrants were smuggled to South Africa through Kenya. In addition to challenges related to international migration, Kenya also has to deal with internally displaced persons (IDPs) (Black et al, 2004). Kenya started experiencing the challenge of internal displacements in the 1990s, as a result of the 1992 and 1997 ethnic clashes (Mkhabela, 2011). According to Black et al (2004), it is estimated that in the 1990s Kenya had over 500,000 IDPs. In 2007, Kenya experienced unprecedented political violence as a result of disputed election results and this led to more displacement of Kenyans (Mkhabela, 2011). The World Bank estimates that during this violence, approximately 300,000 people or 1 percent of the population were displaced (World Bank (2011c). The UNHCR approximates that in 2010, Kenya had 300,000 internally displaced persons (IDPs) (UNHCR, 2010). Most of these IDPs are yet to be resettled (ICMPD, 2008; Nguvulu, 2010). 1.5.3 Kenya’s Diaspora and Migration Related Policies Kenya does not have a comprehensive migration and diaspora policy. However, migration and diaspora related policies have been addressed in various national, economic and social policies, laws and regulations. For instance, the government has ratified the AU Constitutive Act Article 3 (q) which seeks to encourage the participation of the diaspora in development in Africa (Kiiru, 2010; Kinyanjui & Akinyoade, 2012). In order to formally integrate diaspora participation in Kenya‘s development, the Diaspora Directorate was established in 2007 (Kiiru, 2010; World University of Ghana http://ugspace.ug.edu.gh 21 Bank, 2011a). In the same year, the government established the International Jobs and Diaspora Office under the Ministry of Foreign Affairs (Kinyanjui & Akinyoade, 2012; Kinuthia, 2013; World Bank, 2011a). The importance of the diaspora is clearly recognized in the country‘s long term development plan – Kenya Vision 2030 (Kiiru, 2010; Kinyanjui & Akinyoade, 2012; Kinuthia, 2013). In 2010, Kenya promulgated a new constitution which among other things granted Kenyan migrants dual citizenship and voting rights (Kinyanjui & Akinyoade, 2012). Consequently, in the last general election in Kenya in March 2013, over 1000 Kenyans migrants in East Africa were able to vote in the presidential elections (Kinuthia, 2013). The country‘s efforts to engage the diaspora received a boost from World Bank, which gave half a million US dollars towards this goal (Kinuthia, 2013). In 2010, the government floated diaspora targeted bonds in the effort to tap directly into diaspora remittances (Kinuthia, 2013). In collaboration with the private sector and other stakeholder‘s the government has organized diaspora conferences in the UK and the US, as well as a homecoming conference to encourage the diaspora to invest at home and participate in other development activities (Africarecruit, 2006; Kinuthia, 2013). 1.5.4 Kenya’s Vision 2030 (KV-2030) KV-2030 is a new long-term development plan for Kenya covering the period 2008 to 2030, which was adopted by Kenya after the successful implementation of the previous economic development plan - Economic Recovery Strategy for Wealth and Employment Creation, 2003-2007 (ERS 2003-2007) (GOK 2007a; 2007b; 2008; Toboso, 2010; UNEP, 2009; KenInvest, 2011). Although this strategy had brought the country to significant economic recovery from a GDP of 0.6 percent in 2002 to 6.1 percent in 2006 (GOK, 2007a), the country still needed to address issues like high unemployment rates, poverty and inequality; and also to ensure high economic growth University of Ghana http://ugspace.ug.edu.gh 22 and provision of quality services to the citizenry (GOK, 2008). KV- 2030 was therefore birthed to address these challenges. The Vision was a product of a broad based participatory process that involved representatives from all parts of the country (GOK, 2007b; 2008; Toboso, 2010; KenInvest, 2011). The aim of Vision 2030 is to make Kenya a globally competitive and prosperous country with a high quality of life by 2030. This is to be done through the transformation of the country into a modern, newly industrializing middle-income country; offering high quality life for all citizens; and ensuring a clean and secure environment. In the process of achieving the Vision, it is hoped that Kenya will meet its Millennium Development Goals (MDGs) by 2015 (GOK, 2007b; 2008; Toboso, 2010). All the eight MDGs; elimination of extreme poverty and hunger; universal primary education; gender equality; reduction in child mortality; improvement in maternal health; lower HIV/AIDS and major disease incidence; environmental sustainability; and better partnerships with international development partners, are addressed by KV-2030 and it is believed that some of them have already been met (GOK 2007a; 2007b; UNEP, 2009). KV-2030 is based on three interrelated pillars: the economic pillar, the social pillar, and the political pillar (Gakuru, 2007; GOK 2007a; 2007b; 2008; UNEP, 2009; Kenya Vision 2030, 2011). The main target of the economic pillar is to achieve a high economic growth rate of 10 percent per annum from 2012 (GOK, 2007a; 2007b; 2007c 2008), with the hope of sustaining it until 2030 so as to enable the country generate resources that would be used to attain its MDGs (GOK, 2007a). In this pursuit, six key sectors with the potential of bringing the 10 percent economic growth were selected. They are; tourism, agriculture (agro-processing), wholesale & retail trade, University of Ghana http://ugspace.ug.edu.gh 23 manufacturing, business process outsourcing/off shoring (BPO), and financial services (GOK, 2007b; 2008; Toboso, 2010; Kenya Vision 2030, 2011). On the other hand, the social pillar seeks to invest in the people of Kenya through provision of quality social services, and building a just and cohesive society with social equity, in a clean and secure environment (GOK, 2007b; 2008). The social sectors that were selected for transformation under the social pillar are: education and training, health, water and sanitation, environment, housing and urbanization, and gender, youth and vulnerable groups (GOK, 2007b; 2008; Toboso, 2010). The objective of the political pillar is to have a united democratic nation that is guided by a democratic political system that is issue-based, and that respects the rule of law, and protects the rights and freedoms of every individual in Kenya (GOK, 2007b; 2008; Kenya Vision 2030, 2011). In order to achieve this target, the transformation of five strategic areas was proposed; political governance and constitutional review, electoral and political processes, democracy and public service delivery, transparency and accountability/rule of law, security, peace – building, and conflict resolution (Toboso, 2010; Kenya Vision 2030, 2011). The Vision is to be implemented in consecutive five-year Medium Term plans. The first phase covers the period 2008 to 2012, the second phase 2012 to 2017, and so on until 2030 (GOK, 2007b; UNEP, 2009; KenInvest, 2011). A total of 120 flagships projects have been earmarked for implementation in all sectors and are spread across the whole country. For the implementation of the first phase, 20 flagship projects in tourism, agriculture, manufacturing, trade, information technology, and financial services have been identified (UNEP, 2009; Toboso, 2010). In the formulation of KV- 2030 the diaspora was placed as a flagship project under the financial services of the economic pillar (Kiiru, 2010; Kinyanjui & Akinyoade, 2012; Kinuthia, 2013; Toboso, 2010; World Bank, 2011b). University of Ghana http://ugspace.ug.edu.gh 24 1.5.5 Importance of the Diaspora to the Achievement of KV-2030 The Kenyan diaspora, which is large and well established, is a potent resource that can be harnessed in the implementation of the country‘s development strategy. The diaspora has the potential to enhance the economic opportunity for growth and wealth creation in Kenya and thus engaging them could fast-track the achievement of the goals outlined in KV2030 (World Bank, 2011b). The importance of the diaspora as a key constituent in the delivery of KV-2030 was recognized in the formulation of the Vision - the diaspora was placed as a flagship project under the financial services sector of the economic pillar (Kiiru, 2010; Kinyanjui & Akinyoade, 2012; Kinuthia, 2013; Toboso, 2010; World Bank, 2011b). The Kenyan diaspora is an important source of financial inflows and thus a crucial resource when it comes to raising savings and investments in the country. This has not escaped the attention of the Kenyan government. The government hopes to augment the country‘s savings and investments through diaspora financial flows. The government expects to raise 5 percent of GDP for investment from the diaspora (Kiiru, 2010). To achieve this, the government hopes to double remittance flows through the floating of diaspora targeted products like sovereign and infrastructure bonds in order to harness international sources of capital; expand financial markets; and utilize pension funds, (GOK, 2007b; Kiiru 2010; Toboso, 2010). On top of being a source of financial flows, the Kenyan diaspora are an important source of human capital whose skills and knowledge can be harnessed, physically or virtually, for the realization of the economic, social and political goals stipulated in the Vision (Toboso, 2010). Their time, talents, and other resources (see USAID Knowledge Services Center, 2008; World Bank, 2009; Giorgis & Terrazas, 2011) can be channelled to the implementation of the projects and programmes of KV-2030 (Kinyanjui & Akinyoade, 2012). University of Ghana http://ugspace.ug.edu.gh 25 According to Toboso (2010), diaspora investments can make significant input to sectors such as infrastructure, energy, education, health, housing, environment, water & sanitation, sports, tourism, agro-processing, BPO/ICT, wholesale and retail and industrialization in addition to financial services. Equally, he has listed five key areas where the diaspora can participate towards the achievement of KV-2030; Diaspora Direct Investments (DDI), Diaspora Capital Markets, Diaspora Tourism & Nostalgic Trade, Diaspora Intellectual Engagement and Diaspora Retirement Savings Outreach. The importance of the diaspora in the implementation of KV- 2030 has been clearly explained by the government and other stakeholders in the various diaspora conferences organized in various places. During the Kenyan Investment forum held in London in 2006, the following investment opportunities for the Kenyan diaspora were listed; agriculture, housing and real estate, tourism, manufacturing and information and telecommunications (Africarecruit, 2006). All these areas fall under various sectors targeted by KV-2030. Another diaspora conference held in Washington DC in October 2011 encouraged the diaspora to invest in ICT investments like Konza city, agriculture and agribusiness, and infrastructural development (Odongo, 2011). 1.6 RELEVANCE OF THE STUDY This study will give empirical support to the growing recognition of migrants‘ potential to contribute to the development of their home countries. The study will also contribute to the scarce discourse on migration and development in Kenya. In addition, the study will contribute to the novel web survey data collection method. The study used Surveymonkey web survey tool to collect data from four geographically dispersed countries in three different continents. Findings from this study will also provide empirical support and guidance to Kenyan policymakers in their quest to leverage the University of Ghana http://ugspace.ug.edu.gh 26 development potential of Kenya‘s transnational migrants towards the country‘s development and achievement of its long-term development blue print - Kenya‘s Vision 2030. The Government of Kenya is eager to involve its diaspora in national development agenda as clearly indicated in its recognition of the diaspora in the formulation of Vision 2030. However, the realization of diaspora involvement cannot be actualized without empirical backing. Policymakers from other African countries can also draw from the findings of this study to come up with diaspora-oriented policies. 1.7 DEFINITION OF TERMS Kenya’s Vision 2030 (KV-2030) - Kenya‘s Vision 2030 is a long term development blue print for Kenya whose main aims are; making Kenya a newly industrializing, middle income country; providing high quality life for all citizens by 2030; creating a globally competitive and prosperous country; and aspiring to meet the Millennium Development Goals (MDGs) for Kenya by 2015 (GOK, 2007a: 2007b; Toboso, 2010). Diaspora – The term diaspora means the dispersal of people from their original homeland (Butler, 2001). It was originally used to refer to the dispersion of Jews from Israel. Then it was extended to include the migration of any people from their original homeland (Butler, 2001; Vertovec, 1999b). Nonetheless, contemporary scholars define the diaspora as migrants and their descendants, who maintain strong sentimental and material links with their countries of origin (Agunias, 2009; IOM, 2004a; Ratha et al, 2011; Vertovec, 1999b). Transnational Migrants (TNMs) – According to Levitt (2004) transnational migrants are migrants who live their lives across the transnational space and express their interests in several contexts rather than a single state. Some of them are settled in the University of Ghana http://ugspace.ug.edu.gh 27 country of destination but still maintain strong ties with their country of origin. Although these migrants may be incorporated in their destination countries they forge and sustain multi-stranded social, economic and political relations that link together their societies of origin and settlement (Levitt & Jaworsky, 2007). For the purpose of this study, the terms transnational migrants and diaspora are used interchangeably to refer to people (and their descendants) who have migrated from their country of origin and who individually or collectively contribute to the development of their country of origin (see Plaza & Ratha, 2011; Ratha et al, 2011). A study by Jain (2010) reveals that TNMs are not just first generation immigrants, but also second generation immigrants who are interested in their native countries for professional and personal reasons. The Kenyan transnational migrants therefore include Kenyans who may have acquired citizenship in their host countries, as well as second generation Kenyans (IOM, 2010b). For the purpose of this study, only people who have lived outside Kenya for six months and above are considered as migrants. Transnational Activities – According to Vancluysen et al (2009) there is no clear typology of what constitutes a transnational activity. Nonetheless, literature clearly distinguishes between economic, political and cultural transnational activities. Economic transnational activities for instance, include financial flows, migrant entrepreneurship and transfer of resources. The term ‘transnational activities‘ is used in this study to refer to migrants‘ activities across space such as remitting goods and money, investing in land, housing and other entrepreneurial ventures, transfer of knowledge, and sponsoring family members through reunification programs (see Levitt, 2004; Levitt & Jaworsky, 2007; Portes, 2001). University of Ghana http://ugspace.ug.edu.gh 28 Return-visit (s) –The term return-visit (s) is used in this study to refer to the traveling of migrants to their country of origin (see Asiedu, 2003; O'Flaherty et al, 2007). Remittances – In the literature, the term remittances is used to refer to money, goods and other non-material benefits like ideas, skill, knowledge, among other things (social remittances) that are sent by migrants from their destination country or community to their country or community of origin (see Giuliano & Ruiz-Arranz, 2005; Quartey, 2006a; Taylor, 2006; Adepoju, 2007; Ratha et al, 2011). 1.8 ORGANIZATION OF THE STUDY Chapter one is the introduction to the study. Chapter two is the review of the relevant literature, as well as a detailed description of the conceptual framework of the study. Chapter three discusses the methodology of the study. Chapter four evaluates the socio- demographic and economic characteristics of the study population. Chapter five looks at the involvement of Kenyan TNMs in return-visits, remittance transfers, and savings and investments; as well as the challenges they encounter in their transnational engagement. Chapter six looks at diaspora‘s potential engagement in KV 2030. It discusses the factors that can enhance the participation TNMs in national development and achievement of Kenya‘s vision 2030. The last chapter comprises of the summary, conclusion, recommendations and areas for further study. University of Ghana http://ugspace.ug.edu.gh 29 CHAPTER TWO LITERATURE REVIEW AND CONCEPTUAL FRAMEWORK 2.0 INTRODUCTION This chapter starts by reviewing both theoretical and empirical literature on the relationship between migration and development. In the review, various phases of the migration-development nexus are discussed and the pessimistic and optimistic views that drive this debate are highlighted. The chapter also talks about the role that migrants play in the development of their home countries and highlights how this diaspora potential can be mobilized more effectively. The chapter also looks at literature on migration and development in Kenya. The last part of the chapter discusses the theoretical considerations and conceptual framework of the study. 2.1 MIGRATION AND DEVELOPMENT The migration-development discourse has elicited a heated debate both in academia and among policymakers. Although most literature shows that migration and development are closely interrelated (Siddiqui, 2005), the relationship between the two is surrounded by controversy between different perspectives (IOM, 2002). Both theoretical and empirical literature reveals that the interrelationships between migration and development are complex (Laczko, 2005; Newland, 2007; Vargas-Silva, 2011) and multidimensional (Farrant et al, 2006) and at best ―unsettled‖ (Papademetriou & Martin, 1991 as quoted in Black et al, 2003:2). Despite the polemic views on the link between migration and development, most literature agrees that it is undesirable and impossible to stop migration (Clemens, 2013; De Haas, 2005; O'Neil, 2003). The general consensus in the literature is that, all the stakeholders in the migration processes University of Ghana http://ugspace.ug.edu.gh 30 should find ways of managing migration more effectively in order to minimize its negative impact and harness its positive effects for the mutual benefit of both the receiving and sending societies (Castles & Delgado-Wise, 2008). Some scholars state that there is a distinction between how migration was viewed in the earlier years and how it is viewed today. Proponents of this view explain that earlier, the migration-development debate was dominated by pessimistic views that saw migration as a consequence of underdevelopment (De Wind & Holdaway, 2008; Laczko, 2008). However, the focus of the debate has shifted in the recent years to the potential development benefits that both the sending and destination countries can derive from migration. Nonetheless, Faist (2008) and De Haas (2007) argue that there have been intermittent phases between optimism and pessimism in the migration- development debate. Faist (2008) has identified three phases of the debate while De Haas (2007) discusses four phases of the debate. According to Faist (2008), the emphasis of the first stage of the debate was how migration helped to fill labour gaps in the destination countries using surplus labour in the countries of origin, bringing back remittances, and skills and technology to the countries of origin. This was followed by a period of pessimism where migration was seen to perpetuate poverty and brain drain in the countries of origin thus leading to more underdevelopment. This also changed to the current focus of the debate - migration and co-development - where there is renewed emphasis on the benefits of migration like remittances, human capital and social remittances. Similarly, De Haas (2007) considers the first phase of the migration-development nexus as a phase of optimism about the potential of migrants‘ capital and knowledge transfers to lead to development especially at the countries of origin. In the next phase, University of Ghana http://ugspace.ug.edu.gh 31 optimism was replaced by concerns about the effects of brain drain on the countries of origin. This pessimism continued on to Phase 3 which led to the tightening of immigration policies. According to him, the last phase is characterised by a resurgence of optimism about the benefits of remittances and reversal of brain drain to brain gain. He explains that although the tightening of immigration policies still persist, it only aims at limiting the migration of low skilled migrants while highly skilled migrants are allowed to migrate more freely. Both Faist (2008) and De Haas (2007) mention the importance of the diaspora as agents of development in the current dispensation. Some researchers agree with Faist (2008) and De Haas (2007) that the link between migration and development is an age old phenomenon (Liang & Morooka, 1994; IOM, 2002). They attribute the renewed interest in the debate to globalization and significant increases in remittances sent by migrants to their countries of origin (Adepoju, 2007; Castles & Delgado-Wise 2008; De Haas, 2008b; De Wind & Holdaway, 2008; Laczko, 2008; Morocco, 2005; Samuel & George, 2002; Terrazas, 2010). Despite the categorization of the migration debate into different phases by Faist (2008) and De Haas (2007), the existing empirical and theoretical literature does not reflect such categorization. The current debate on migration and development is a mixture of both pessimistic and optimistic views. While pessimistic works are mainly preoccupied with ‗brain drain‘ concerns (Lowell, 2003; Sriskandarajah, 2005; Martin, 2006; Oyelere, 2007), optimists concentrate on the remittances that migrants send to their countries of origin (Addison, 2005; Giuliano & Ruiz-Arranz, 2005; Quartey, 2006a; 2006b; Taylor, 2006 Adepoju, 2007; Dumont, 2007; Kiiru, 2010). University of Ghana http://ugspace.ug.edu.gh 32 2.1.1 Brain Drain Discourse One of the highly contended issues in the literature is whether the emigration of highly skilled professionals constitutes benefits or losses to the countries of origin. Scholarly work shows that emigration of skilled professionals presents both challenges and opportunities for the countries of origin (Ghai, 2004; Adepoju, 2010). Although there seems to be consensus in the literature that emigration of highly skilled professionals can benefit the countries of origin through remittances, transfer of skills and technology, and trade and investments, among others (Ratha et al, 2011), there are numerous concerns over the possible brain drain and brain waste for these countries (Saxenian, 2000; Samuel & George, 2002; Hamilton, 2003; Lowell, 2003; Newland, 2003; Adepoju, 2005; Sriskandarajah, 2005; Martin, 2006). Some scholars argue that since education in many countries of origin is usually heavily subsidized, migration of highly skilled professionals represents a loss of returns from public investment in human capital (Samuel & George, 2002; Ghai, 2004; Farrant et al, 2006; Newland, 2007; Ratha et al, 2011; Taylor, 2006). Many researchers have highlighted how Africa has in the past suffered the brunt of emigration of skilled workers (brain drain), some of whom are employed in jobs that are below their skills and expertise (brain waste). According to Ratha et al (2011), in 2000, the stock of skilled emigrants in small countries was around 30 percent and in low-income countries 25 percent. Similarly, World Bank (2011a) indicates that the emigration rates of skilled professionals in SSA are quite high. The health profession is one of the most affected professions by massive emigration (Newland, 2007). In 2010, the emigration rate of physicians trained in SSA had risen to 28 percent from 18.4 percent in 2000 (World Bank, 2011a). Farrant et al (2006) have documented that three quarters of doctors in Zimbabwe migrate within the first few years of completing University of Ghana http://ugspace.ug.edu.gh 33 medical school. Similarly, the Global Commission for International Migration (GCIM) (2005) also shows that there are more Malawian doctors practicing in Manchester than in Malawi. Logically, a country of origin whose medical professionals emigrate loses thousands of dollars spent on educating them (Taylor, 2006). Apart from losing returns on the country‘s investment, emigration of highly skilled professionals also represents loss of talented people (Ghai, 2004) who could have contributed to the growth and productivity of the economy (Farrant et al, 2006) thus hampering the development ability of a country (Sriskandarajah, 2005). The impact is worse in developing and least developed countries (Rothgang and Schmidt, 2003; Simmons, 2005; Oyelere, 2007; Fadayomi, 2010) with poor economic and financial infrastructure; since they are not able to harness the development potential of their emigrants such as remittances, investment and skills and technology (Sriskandarajah, 2005; Newland, 2007). Apart from impeding development, migration of highly skilled professionals also robs the sending country potential tax revenue that these professionals would have paid (Farrant et al, 2006; Newland, 2007). The brain drain arguments have been refuted by some scholars. Hugo (2003) for instance argues that even though these negative impacts cannot be denied, there is limited information on the impact of migration on countries of origin and it is therefore difficult to ascertain the overall effect of the emigration of skilled labour. Similarly, Bauer et al (2005) argue that it is unclear whether the countries of origin experience brain drain or not. Their argument is that although emigration of highly skilled professionals may have negative effects on origin countries in the short term, migration increases the demand for education thus leading to accumulation of human capital. De Haas (2009) also questions the brain drain hypothesis. According to him, there are only a few countries that experience true massive brain drain and this is only in specific University of Ghana http://ugspace.ug.edu.gh 34 sectors like healthcare. He also argues that people who migrate may have been underutilized or even unemployed if they stayed. He gives the example of the Maghreb countries, which have high unemployment rates of university graduates. He explains that in such cases, emigration of highly educated people is ‗a useful economic safety valve‘ to reduce unemployment pressure (De Haas, 2009:36). In recent times, the brain drain debate has been joined by assertions about ‗brain gain‘ and ‗brain circulation‘ (Wouterse, 2011). The emergence of transnational perspectives on migration has modified how the migration process is viewed (Portes, 2008). Transnational literature indicates that in an increasingly globalized world with advanced transport and communication technologies that greatly facilitate contacts across borders, there are new possibilities in migration (Portes, 2008). Migration is no longer a one way process where migrants settle permanently in their host society, but there is an emergence of more circular patterns with increasing numbers of return and circular migrants (Sriskandarajah, 2005; Farrant et al, 2006; Chappell & Glennie, 2010). Consequently, brain drain is giving way to ―brain circulation‖ (Adepoju, 2010; Chappell & Glennie, 2010) thus benefiting both the countries of origin and destination at the same time (Saxenian, 2002b; Sriskandarajah, 2005; Castles & Delgado-Wise, 2008). Saxenian (2002b) attributes the emergence of India as a leading exporter of software programming and development to Indian professionals who, after migrating to Silicon Valley in the US, have become transnational entrepreneurs linking US firms with India thus promoting ‗brain circulation‘ between the two countries. Adepoju (2010) also explains that skilled emigrants from Africa not only go to the traditional destinations like Europe and North America, but circulate around other African countries, which have invested heavily in human resource development such as Kenya, Uganda, Ghana and Nigeria, thus turning brain drain to brain circulation. University of Ghana http://ugspace.ug.edu.gh 35 Some literature advocates the promotion of brain circulation as a way of tackling the brain drain problem. Parthasarathi (2006) for example, advocates the provision of flexible visas to highly skilled professionals. He argues that this would allow circulation of scientific talent between developing and developed countries. According to him, the reason why many highly skilled professionals are hesitant to return to their country of origin is because of fear of being unable to carry on their professional practice at home due lack of adequate facilities, administrative hassles, as well as return visa restrictions. Flexible visas would therefore give them unrestricted access to both places. He further argues that although the flow of highly skilled professionals from less industrialised to more industrialised countries in the 60s and the 70s was seen as negative to the countries of origin, these same countries later benefited from reverse flows of remittances and knowledge and skills, as well as networks. However, he concedes that the reverse flows may not equal the loss incurred by the countries of origin. 2.1.2 The Remittances Discourse Scholarly work indicates that financial flows are the most tangible benefits that countries of origin can tap from their migrants (Giuliano & Ruiz-Arranz, 2005; Quartey, 2006a; Taylor, 2006; Adepoju, 2007; Dumont, 2007; Kiiru, 2010). According to Ratha et al (2011:47), ―remittances are the central and most tangible link between migration and development‖. Migrants have been described as a consistent source of financial flows to their countries of origin over the years (Adepoju, 2007; USAID Knowledge Services Center, 2008; Giorgis & Terrazas, 2011). According to Addison (2005), remittances impact on migrant-sending economies through poverty alleviation, income distribution, investment, growth, consumption, and University of Ghana http://ugspace.ug.edu.gh 36 savings. This is corroborated by several studies which show that, remittances are spent on consumption and family maintenance, housing investment, purchase of land, and agricultural production (Adepoju, 2005; Simmons, 2005; Davies, 2010; Taylor & Filipski, 2011; Ratha et al, 2011). Most scholarly work concurs that remittance flows not only make significant contribution to the welfare of the recipients but also to the economic progress of the country of origin (Grieco, 2004; Orozco, 2004; Addison, 2005; Sriskandarajah, 2005; Quartey, 2006a; Carling, 2008; Ratha et al, 2011). Giorgis & Terrazas (2011) for instance, show that remittances can be used to finance new businesses, education, and infrastructure among other benefits. Similarly, Wouterse (2011) confirms the New Economics of Labour Migration (NELM) theory that households that receive remittances can be able to overcome production and investment constraints thus leading to stimulation of the local economy. Financial remittances can also be an important source of income (Fadayomi, 2010; Usher, 2005); foreign exchange and can contribute significantly to the Gross Domestic Product (GDP) of many developing countries (Grieco, 2004; Simmons, 2005; Quartey, 2006a; Newland, 2007; HDR, 2009). There are various studies that support this assertion. A study by Castles (2008) shows that in 2004, remittances contributed to 11.8 and 8.1 percent to GDP in Philippines and Morocco respectively. Similarly, a report by Gevorkyan et al (2008) indicates that in 2007, Armenia received remittances of around USD 1.4 billion, which is about 20 percent of the country‘s GDP. Correspondingly, Ratha et al (2011) documented that remittance inflows to Africa were approximately USD 40 billion in 2010, which is about 2.6 percent of GDP. Samuel & George (2002) also indicate that China‘s economic development can be attributed to investment flows from the Chinese diaspora in developed countries. University of Ghana http://ugspace.ug.edu.gh 37 According to migration literature, remittances to developing countries have increased and have even overtaken official development aid (ODA) (Newland, 2003; O'Neil, 2003; Orozco, 2004; Addison, 2005; Siddiqui, 2005; Quartey, 2006a; Newland, 2007; Davies, 2010; Chappell & Laczko, 2011). Ratha and Shaw (2007) indicate that officially recorded remittance flows from developing countries were USD 188 billion in 2005 and almost USD 200 billion in 2006. Africa has also benefited immensely from remittance flows. As mentioned earlier, in 2010 Africa received more than USD 40 billion in remittances. Similarly, Kenya received USD 1.8 billion in 2010 (Plaza & Ratha, 2011). Quartey (2006a) also reports that Ghana experienced a significant increment in private inward remittances from USD 31 million in 1999 to USD 1.4 billion in 2002. Likewise, the Human Development Report shows that Kenya received USD 1,588 million in remittance flows in 2007 (HDR, 2009). The remittance survey findings by the Central Bank of Kenya also show that, in 2011 Kenya had a 39 percent increase in remittances flows compared to the previous year. The country received USD 891 million compared to USD 642 million in 2010 (CBK, 2012). Abella & Ducanes (2008) have documented that remittances are now equal to foreign direct investments (FDI) and have grown faster than capital flows at 199 billion dollars per annum. This is corroborated by Thouez (2005) who adds that FDI flows are exceeded by remittances in many countries. This is an important development especially for developing and least developed countries, since remittances are more predictable and stable than FDI and other financial flows (Ratha, 2004; GCIM, 2005; Quartey, 2006a; Newland, 2007; Davies, 2010). A report by the Global Commission for International Migration (GCIM) (2005) shows that, remittance flows were resilient during the Asian financial crisis and they continued to rise despite the crisis. Similarly, a comparative study of Mexico and Morocco by De Haas & Vezzoli (2010) reveals University of Ghana http://ugspace.ug.edu.gh 38 that, despite the on-going global financial crisis, remittances have been relatively stable. Other scholars agree with these findings and indicate that remittances are countercyclical and are not affected by economic downturns (Siddiqui, 2005; Latapí & Janssen, 2006; Ratha et al, 2011). In addition, remittances not only help sustain consumption and investment during times of financial crisis, but by increasing the level and stability of foreign exchange, they improve a country‘s creditworthiness (Ratha et al, 2011). The importance of remittances in spurring investment in many sending states has also been mentioned. De Haas (2009) has documented how several studies show that households that receive international remittances from migrants are more likely to invest than non-migrant families. Migrants also have a tremendous potential for foreign direct investment (FDI) into their countries of origin (Newland, 2003). A study by De Haas & Vezzoli (2010) also shows that migrant families are able to buy land and invest using remittances. Remittances are also seen as important in alleviating poverty and reducing distortion in income distribution in poor countries (GCIM, 2005; Quartey, 2006b; Davies, 2010; Orozco, 2004). Orozco (2004) asserts that remittances usually go directly to poor households thus having an income redistributive effect. However, other studies show that selective migration may accentuate income inequalities in countries of origin (Ghai, 2004; Farrant et al, 2006; Newland, 2007; Davies, 2010). De Haas (2009) argues that although migration is said to reduce poverty, it tends to be selective and therefore most remittances do not necessarily flow to the poorest members of society or even the poorest countries. Consequently, this affects income distribution thus causing social inequality. He purports that international migrants usually originate from relatively University of Ghana http://ugspace.ug.edu.gh 39 wealthy households thus leading to greater inequality in sending communities. He gives an example of Mexico where some studies show that a 10 percent rise in international remittances led to 2.8 percent increment in rural inequality while a similar rise in internal remittances led to a 0.1 percent reduction in rural inequality. This is corroborated by a comparative study of Mexico and Morocco by De Haas & Vezzoli (2010) which reveals that migration can exacerbate social and economic inequalities because the poor may not be able to migrate due to lack of finances and the existence of strict migration controls. Another study by Taylor (2006), which explored data from rural Mexico, shows that remittances increase inequality in regions with fewer migrants but reduce poverty in high-migration regions. The issue of remittances is not without contention. Davies (2010) for instance, argues that the impact of remittances on development is uncertain and varies from one receiving region to another, and it is therefore difficult to draw generalized conclusions for all regions. Other scholars corroborate this view and explain that the nexus between remittances and development is intricate and multifaceted (Orozco, 2005; Taylor & Filipski, 2011). There are also a number of studies that have documented that most recipients use remittances for consumption with very limited investment in production (Taylor & Wyatt, 1996; Newland, 2003; O'Neil, 2003; Quartey, 2006b). Consequently, this can foster a cycle of dependency among the migrant-sending communities thus hindering development (Taylor & Wyatt, 1996; Hamilton, 2003; Newland, 2003; Farrant et al, 2006; Newland, 2007). Numerous studies confirm the possibility of destination countries depending on remittances to run their economies. Africa for instance receives remittances that are almost equivalent to 3 percent its GDP (Ratha et al, 2011). University of Ghana http://ugspace.ug.edu.gh 40 Correspondingly, in 2008, Morocco and Mexico received remittances that were equivalent to 8 percent and 2.4 percent of their GDPs respectively (De Haas & Vezzoli, 2010). Similarly, a study by Castles (2008) shows that in 2004 remittances contributed to 11.8 and 8.1 percent to GDP in Philippines and Morocco respectively. This means that if remittances stopped flowing, these economies would be adversely affected. 2.2 THE CONTRIBUTION OF MIGRANTS TO DEVELOPMENT AT HOME Migrants have been described as important actors in the interface between migration and development (Orozco, 2005; Adepoju, 2010; Giorgis & Terrazas, 2011). Similarly, transnational migrants are now increasingly recognized as important contributors to the development of their home economies (Davies, 2010; Giorgis & Terrazas, 2011). Drawing from his studies on five different countries, De Haas (2009) notes that one main pinnacle of the new discourse on migration and development is the involvement of diaspora in the development of their home countries. There is empirical evidence in literature that the diaspora indeed contribute to the economic, social and political development of their home countries (Farrant et al, 2006). The diaspora contribute to their home economies through financial flows, investments and trade, as well as by bringing back home new skills and knowledge, ideas, cultures, attitudes and social capital flows, and political identities and practices, among other benefits (Adepoju, 2007; Asiedu, 2005; Farrant, et al, 2006; Gamlen, 2008; Giorgis & Terrazas, 2011; USAID Knowledge Services Center, 2008; Ratha et al, 2011; Sriskandarajah, 2005; World Bank. 2009). USAID Knowledge Services Center (2008:4) summarizes the diaspora transfer of skills and technology in the following words: ―the diaspora represents a unique human resource that comprises University of Ghana http://ugspace.ug.edu.gh 41 specific knowledge, experience, and enthusiasm that can be organized productively to assist with a variety of development initiatives back home‖. Another important issue mentioned in the literature is the fact that the diaspora possess a special leverage when it comes to the development of their home countries as compared to other development agencies (Samuel & George, 2002; Usher, 2005; Farrant et al, 2006). They are able to facilitate the free flow of information, knowledge, ideas and values, both formally and informally, between the origin and destination countries since they maintain strong linkages with the two places (Hugo, 2005). They are also better placed to communicate the development message than foreign expatriates since they have a clear understanding of the cultural values and business practices in both the origin and destination contexts (Saxenian, 2002a; 2002b; 2005; USAID Knowledge Services Center, 2008). In addition, their transnational lives enable them to link development in the two places, and to garner and share considerable resources between the two localities (USAID Knowledge Services Center, 2008). This enables them use their contacts and networks to facilitate trade, investment and business partnerships between the two places (Samuel & George, 2002; Saxenian, 2002a; GCIM, 2005; Usher, 2005; Farrant et al, 2006; Taylor & Filipski, 2011). Other ways in which Transnational migrants connect the two places is linking the private and the public sectors at home and abroad without residential relocation (GCIM, 2005; Farrant et al, 2006; Adepoju, 2007; Samuel & George, 2002; Saxenian, 2002a; Usher, 2005; Taylor & Filipski, 2011), establishing links between local and foreign companies (Saxenian, 2002a; 2002b; 2005), offering business consultancy to foreign investors (Hugo, 2005; Usher, 2005), or even investing and/or establishing their own businesses in their countries of origin (Farrant et al, 2006). University of Ghana http://ugspace.ug.edu.gh 42 Scholarly work also shows that the diaspora can make important political contributions to their home countries. Fontaine (2006) for instance explains how the Dominican diaspora was heavily involved in political advocacy at home in the early 21st Century. The World Bank development report also mentions African leaders like Jomo Kenyatta, Julius Nyerere and others who fought for the independence of their countries after returning from further education abroad (World Bank, 2009). Similarly, Adepoju (2005) states that the Nigerian Diaspora was very instrumental in promoting democratic rule and campaigning against Abacha‘s repressive rule and even went ahead to sponsor pro-democratic candidates during Nigeria‘s transition to democracy. According to Sheikh & Healy (2009), diasporas are also very important in conflict and peace building, and contribute significantly to both. They explain that although the diaspora can sponsor conflicts, they can also be instrumental in conflict resolution and peace building efforts. They give the example of Somaliland and Puntland where the diaspora was active in peace building by sending remittances, investing in their homeland and contributing towards emergency relief in times of crises. Literature also highlights how migrants contribute to development through hometown associations (HTAs) and other similar groups (Newland, 2003; Adepoju 2005; GCIM, 2005; Simmons, 2005; USAID Knowledge Services Center, 2008; De Haas & Vezzoli, 2010). In most cases, these groups contribute funds for community development projects (Simmons, 2005) such as improvement of facilities like schools, hospitals and other social facilities. They also participate in the political, social and cultural affairs of their country or community of origin (GCIM, 2005). Adepoju (2005) argues that the contribution of these associations is especially important in poor communities that lack basic services usually provided by the government. Akologo (2005) documents how Ghanaian diaspora organizations contribute towards development of various regions in University of Ghana http://ugspace.ug.edu.gh 43 Ghana. A study by De Haas & Vezzoli (2010) also shows that Moroccan and Mexican HTAs contribute toward the development of agriculture, small-scale infrastructure, education, and health-care projects in their local communities. Adepoju (2007) also mentions several instances of Diaspora participation in home country‘s development. He talks about the Nigerian diaspora organizations which conduct skills audit to ascertain the available expertise within the diaspora with the aim of harnessing this expertise for their home country development. He also explains how Nigeria and Ghana have benefited from the contribution of their professionals who have returned home from abroad and are now serving in key positions both in the public and private sectors. Additionally, he demonstrates how some Nigerian doctors in the US established a high-tech hospital in Nigeria in 2004 to cater for the needs of people who would have otherwise been forced to seek for treatment abroad. He also mentions how the MIDA project in Ghana, which aimed at strengthening the health sector in Ghana received support from Ghanaian health professionals in the Netherlands and the UK. According to Adepoju (2007) the reason why most migrants from SSA maintain ties with their origin is because they have an expectation of returning home eventually. He explains that, some of them even leave their wives and children behind as a guarantee of their return. Consequently, they feel obligated to contribute towards the development of their home countries (Asiedu, 2005) thus acting as agents of development (AFFORD, 2000; Asiedu, 2005). A study by Mohamoud (2003) also highlights the potential of Africans with Dutch nationality to connect Holland to Africa for the benefit of both places. There are other numerous examples in literature that show how migrants have invested in various sectors of the economy of their country of origin. The World Bank University of Ghana http://ugspace.ug.edu.gh 44 development report (2009) for instance mentions how early African migrants impacted development in their countries of origin after returning from further studies abroad. The report mentions people like Kwegyir Aggrey, who after returning to Ghana from his studies in the US founded the first non-denominational school, which later became the University of Ghana (World Bank, 2009). A study by AFFORD (2000) also mentions the development of the University of Hargeisa in Somaliland which is a project supported by Somalis in the UK. Similarly, Saxenian (2002b) narrates how highly skilled immigrants at Silicon Valley in the United States helped to link home country businesses with those of the US and also to transfer the technology they acquired at their destination back to their countries of origin. Apart from business investments, emigration can spur social investments in education, human capital development, and access to better health (Ghai, 2004; Farrant et al, 2006). A study by De Haas & Vezzoli (2010) shows how the Moroccan transnational migrants not only invest in land, housing, education, and individual enterprises like taxis and grocery stores, but also invest in commercial fields such as tourism, agriculture, manufacturing and trade. Samuel & George (2002) talks about the Hong Kong immigrants in Canada who use their knowledge of Chinese culture and language to do business in Hong Kong (Samuel & George, 2002). Another example is given by Hugo (2005) who narrates how the Indian, Taiwanese and Chinese diaspora have convinced companies at their destinations to set up operations in their countries of origin. Hugo (2005) also talks about the Korean Americans who were instrumental in marketing Korean cars, electronics and other products in the US market. Correspondingly, GCIM (2005) shows that in 2004, investment by the Chinese Diaspora comprised of 45 per cent of China‘s total FDI. The World Bank (2007) also mentions investments by various African migrants in their country of origin, such as the introduction of Ghana‘s University of Ghana http://ugspace.ug.edu.gh 45 first Internet Service in 1993 by Ghanaians abroad and introduction of electrical engineering expertise by Association of Nigerians Abroad (ANA). Similarly, a study by Fontaine (2006) reveals how the Dominican diaspora organizations help to mobilize diaspora remittances and human capital to Dominica. Tourism is another emerging contribution of migrants to their home countries. Migrants are important revenue earners for their countries (Newland, 2003; Asiedu, 2005; Terrazas, 2010) and can also market their country abroad and encourage tourists to visit their country (Ghai, 2004). The contribution of the Kenyan diaspora to national development has also been highlighted in the migration literature. This contribution includes poverty alleviation, involvement in community development projects like drilling of boreholes, providing intellectual expertise, among other activities (Kinuthia, 2013). Kenya is also mentioned as one of the top recipients of diaspora remittances in Africa (Nguvulu, 2010). In 2009, for instance the flows were equal to 5.4 percent of Kenya‘s GDP (World Bank 2011a). Investments associated with the Kenyan diaspora include Africaonline which was started by a graduate of Massachusetts Institute of Technology (MIT) in mid-1990s (Okoth, 2003; Okele et al, 2008) The realization that migrants are key actors in the relationship between migration and development has led many researchers and policymakers to seek to understand how migrants‘ development potential can be harnessed while at the same time minimizing migration costs (GCIM, 2005; Pastore, 2006; Chappell & Laczko, 2011). According to Taylor (2006), researchers no longer ask whether migration impacts development positively or negatively but are rather preoccupied with finding out why some economies benefit from migration more than others. It is clear from the literature that transnational migrants play a crucial role in the development of their country of origin. University of Ghana http://ugspace.ug.edu.gh 46 However as clearly put by De Haas (2009), there is insufficient data and empirical evidence to assess the success of the involvement of the Diaspora in national development. By assessing the contribution of Kenyan transnational migrants to the development of Kenya, this study expects to make an important contribution towards the limited data and empirical evidence on the involvement of diaspora in Kenya‘s development. 2.3 MOBILIZING TRANSNATIONAL MIGRANTS FOR DEVELOPMENT The importance of migrants in contributing to the development of their home countries is clearly stated in the migration literature. However, most scholars argue that although migrants‘ contribution to the development of their home countries is very praiseworthy, there is still more untapped diaspora potential that need to be harnessed. Similarly, Terrazas (2010) reveals that the remittances sent by migrants to their home countries are just a fraction of their potential financial flows while the rest of their wealth is held in savings and investments abroad. Plaza & Ratha (2011) have documented that savings by the African diaspora are about USD 53 billion annually. There are therefore many unexploited financial resources in the diaspora. Apart from the untapped financial potential, scholarly work indicates that migrants possess an equally important unexploited potential in areas like skills and knowledge transfer, investments and trade links, and better access to foreign capital markets (Plaza & Ratha, 2011). The question therefore is how this potential can be harnessed and translated into actual contribution to development. According the World Bank, countries of origin can tap into the development potential of their diaspora by putting in place the right policies (World Bank, 2009). University of Ghana http://ugspace.ug.edu.gh 47 2.3.1 Strategies Employed to Mobilize Diaspora Potential Scholarly work shows that both researchers and policymakers are increasingly interested in finding ways of mobilizing the potential of the diaspora towards the development of their home countries (Agunias, 2009; Bakewell, 2008; Castles, 2008; Ratha et al, 2011). Many developing countries have embarked on a number of strategies to harness this potential. One of the major steps taken by governments towards mobilization of diaspora potential is re-establishing and maintaining ties with their diasporas (Adepoju et al, 2006; Agunias, 2009; Bakewell, 2008; Castles, 2008; Castles & Delgado-Wise, 2008; Zoomers & van Naerssen, 2007; Ratha et al, 2011). Even countries that had previously ignored or in some cases maligned their diaspora have started appreciating their value (Agunias, 2009; Bakewell, 2008; Castles, 2008). According to Castles (2008: 272) various countries have redefined their diaspora. India calls its diasporas ―angels of development‖ or bagong bayani. In Philippines members of the diaspora are regarded as heroes and in Morocco they are called ―Moroccan Residents Abroad‖. Carling (2008:59) quotes Weiner (1996:133) who parleyed about the former Prime Minister of India Rajiv Gandhi once saying the Indian diaspora is like a bank ―from which one could make withdrawals from time to time‖. Another strategy used by governments to keep in touch with their diaspora is by establishing institutions that are dedicated to diaspora affairs. Agunias (2009) demonstrates how some countries have established institutions at different levels of government as a way of reaching out to their diaspora. He lists Mexico, China and Philippines as some of the countries with multiple institutions that serve the diaspora (Agunias, 2009). Similarly, Castles (2008) gives the example of the Indian Ministry for Indians Overseas which offers support to the Diaspora Knowledge Network as a way of connecting skilled emigrants with opportunities in India. Castles (2008) also talks about Mexico which established the University of Ghana http://ugspace.ug.edu.gh 48 Programa Tres por Uno (Three-for-One Programme) in 1999 as a mechanism that would encourage their diaspora to invest in community projects. A study by De Haas (2008a) reveals that the Moroccan state has a ministry for Moroccans living abroad and a foundation called the Fondation Hassan II pour les Marocains Résidant à l’Étranger that fosters links with its diaspora. Evidence from literature also shows that governments encourage diaspora participation by supporting migrant associations (Bakewell, 2008; Castles, 2008). A workshop report about Turkey, Mexico, and Morocco by Bakewell (2008: 293) shows how the three governments supported the creation of migrants‘ associations and promoted their activities. Another means of tapping into diaspora potential (especially skills and knowledge transfers) demonstrated in the literature is supporting return-migrants (Bakewell, 2008). Adepoju (2007) for instance, talks about a Homecoming Summit that was held in Accra in 2001, in which the Government of Ghana gave incentives like promises of favourable investment opportunities and tax relief to Ghanaians in the diaspora, as a way of encouraging them to invest at home. Carling (2008) explains that governments should ensure that migrants who invest at home should feel appreciated and their development projects should not be frustrated or delayed unduly. This is to avoid the perception that the government is incompetent or unwilling to support their involvement. Similarly, Bakewell (2008) narrates about how the government of Turkey gives €10,000 to Turkish emigrants when they return to work in Turkey. He also mentions the assistance provided to returning Filipinos by the Commission on Filipinos Overseas to help them reintegrate and re-establish at home. Literature also shows that collaboration between host and sending governments as well as other organizations have resulted in the mobilization of diaspora resources (Adepoju University of Ghana http://ugspace.ug.edu.gh 49 et al, 2006). Ratha et al (2011) mention countries like the United States, Germany, and the European Union as countries which participate in helping the diaspora. Such destination countries usually focus on areas like reducing remittance transfer fees, encouraging circular and return migration, as well as promoting temporary migration. The EU countries for instance, have been sponsoring return migration since 1970s (Ratha et al, 2011). Adepoju (2007) also narrates about some foreign international corporations in Europe which recruit Africans in the diaspora to work in their firms in Africa. He also talks about a UNDP programme that sponsored 133 Malians to return home as consultants, researchers and lecturers. Other projects mentioned by Adepoju (2007) include the Transfer of Knowledge through Expatriate Nationals whose objective is to encourage professionals to return to their countries of origin, the African Foundation for Research and Development, the Digital Diaspora Network Africa (DDNA), the South African Network of Skills Abroad (SANSA), and the Research and Development Forum for Science-led Development in Africa. Kenya has also been keen to engage its diaspora. Literature has highlighted a number of strategies employed by the Kenyan government and its agencies to mobilize diaspora resources. The government has ratified the AU Constitutive Act Article 3 (q) which seeks to encourage the participation of the diaspora in development in Africa (Kiiru, 2010; Kinyanjui & Akinyoade, 2012). In order to formally integrate diaspora‘s participation in Kenya‘s development, the Diaspora Directorate was established in 2007 (Kiiru, 2010; World Bank, 2011a). In the same year, the government established the International Jobs and Diaspora Office under the Ministry of Foreign Affairs (Kinyanjui & Akinyoade, 2012; Kinuthia, 2013; World Bank, 2011a). The importance of the diaspora is clearly recognized in the country‘s long term development plan – Kenya Vision 2030 (Kiiru, 2010; Kinyanjui & Akinyoade, 2012; Kinuthia, 2013). In University of Ghana http://ugspace.ug.edu.gh 50 2010, Kenya promulgated a new constitution which among other things granted Kenyan migrants dual citizenship and voting rights (Kinyanjui& Akinyoade, 2012). In Kenya‘s last general election in March 2013, over 1000 Kenyan migrants in East Africa were able to vote in the presidential elections (Kinuthia, 2013). Kenya‘s efforts to engage the diaspora received a boost from World Bank, which gave half a million US dollars towards this goal (Kinuthia, 2013). In 2010, the government floated diaspora targeted bonds in the effort to tap directly into diaspora remittances (Kinuthia, 2013). In collaboration with the private sector and other stakeholder‘s the government has organized diaspora conferences in the UK and the US, as well as a homecoming conference to encourage the diaspora to invest at home and participate in other development activities (Africarecruit, 2006; Kinuthia, 2013). 2.3.2 Enhancing Mobilization of Diaspora Resources Apart from the existing strategies to mobilize the diaspora potential, literature also gives suggestions on how the diaspora potential can be harnessed more effectively. Castles & Delgado-Wise (2008:309) for instance recommend that governments should involve their diaspora in ―the formulation and implementation of development programmes‖. They also advocate for migrant empowerment that would enable migrants to participate in the economic, social and political lives of both the destination and origin societies simultaneously. Another strategy of motivating the diaspora to participate in development at home mentioned is the inclusion of diaspora in domestic political processes by permitting them to have dual-citizenship and giving them voting rights (Bakewell, 2008; Castles, 2008; Ratha et al, 2011). Ratha et al (2011) explains that dual or multiple-citizenship can enable the diaspora to gain access to public services and social benefits, as well as help them maintain emotional ties with the country of origin. In addition, dual citizenship can make it easy for them to travel home University of Ghana http://ugspace.ug.edu.gh 51 and reduce their transaction constraints thus fostering their involvement in trade, investment and technology transfer in their home countries. Castles (2008) gives examples of countries like India and Philippines, which introduced dual citizenship and voting rights in 2006 and 2003 respectively. He also states that Mexico introduced dual citizenship in 1996 and voting rights in 2005. Similarly, De Haas (2008a) parleys about Morocco where King Mohammed VI announced the right for migrants to vote in November 2005. Ghana also introduced dual citizenship in 2002 (Adepoju, 2007). Kenya is also among the countries that allow dual citizenship (Constitution of Kenya, 2010). Ratha et al (2011) lament that in spite of the recognition that dual citizenship is important in the mobilization of diaspora resources it is only 21 out of the 54 countries in Africa that have introduced it. Some scholars also recommend that sending governments should create and promote investment opportunities and provide a conducive environment for investment so as to attract more diaspora financial flows (Adepoju et al, 2006; Bakewell, 2008; De Haas & Vezzoli, 2010). In addition, home country governments should use instruments like diaspora bonds as a way of encouraging the diaspora to invest in their home countries (Plaza & Ratha, 2011; Terrazas, 2010). There should also be greater cooperation between mainstream development institutions, governmental organizations and diaspora communities (Sriskandarajah (2005). Sriskandarajah asserts that despite clear evidence that emigrants have the potential to make significant contribution to development, mainstream development institutions and governmental organizations have had minimal cooperation with diaspora communities. He advocates that such institutions should strive to reinforce diaspora involvement in development, not as marginal players but as key players in international development. The USAID Knowledge Services Center (2008) corroborates this view and proposes that both University of Ghana http://ugspace.ug.edu.gh 52 public and private entities such as donors and international organizations should work with the diaspora in order to form more established networks and institutions. Chikezie (2011) proposes four principles that should be considered if diaspora engagement efforts are to bear fruit: the engagement efforts should be as inclusive as possible; the diaspora engagement activities should be development and result oriented; the efforts should strive to know and understand the diaspora; and finally, the engagement efforts should address diaspora needs, priorities and strengths while not exacerbating the existing capacity constraints. 2.4 THEORETICAL PERSPECTIVES ON MIGRATION AND DEVELOPMENT The migration-development debate has been there since the 1950s. As a result, a number of theories have been propounded to explain the relationship between migration and development. The pessimistic and optimistic views that drive this debate have been challenged by empirical evidence which reveals that migration impacts are heterogeneous. Consequently, no one theory can adequately address these heterogeneous impacts of migration since migration is a complex phenomenon that cannot be explained in a single theory. ―There are muddle of models, analytical frameworks, conceptual approaches, empirical generalizations, simple notions and only seldom pieces of real theory segmented by disciplinary boundary (Arango, 2000:283). De Haas has proposed the integration of the new economics of labour migration (NELM) perspective, the livelihood strategy perspective and the transnational perspective in studying migration development interactions (De Haas, 2008b; 2010). The new economics of labour migration (NELM) perspective emerged in the 1980s to University of Ghana http://ugspace.ug.edu.gh 53 challenge the neoclassical perspectives3. Proponents of NELM consider neoclassical theories ill equipped to study the complexity of migration and development relationships (De Haas, 2008b; 2010). NELM views migration as a strategy used by households to minimize income and production risks by diversifying their resources (Massey et al, 1993; Taylor, 1999). Apart from risk diversification, migration is seen as a strategy adapted by families or households to overcome market constraints and potentially provide money for investment and to improve the welfare of the household (De Haas, 2007; 2008b; 2010; Taylor, 1999). NELM sees decision making as a collective responsibility of the household rather than an isolated decision of an individual member of the family (De Haas, 2007; 2008b; 2010; King, 2012; Taylor, 1999). Remittances are considered as the main motivation for migration and migrants are expected to remit back to their household at origin. This is especially important in the developing countries where there is no credit accessibility and private insurance and therefore households have to raise their investment capital and to insure themselves against income risks and production failure (De Haas, 2007; 2008b; 2010; King, 2012; Taylor, 1999). This explains why people migrate even when there are no significant income differentials between origin and destination (De Haas, 2010). NELM implies that migrants do not have to necessarily return physically to their origin in order to contribute to development (De Haas, 2010). The household livelihood strategy perspective evolved in the 1970s among social scientists conducting research in developing countries, after observing that their findings from empirical work could not be explained by neo-Marxist theories4 (De 3 Neoclassical theories view migrants as rational actors whose decision to migrate is based on cost- benefit analysis (De Haas 2008b) 4 Marxist theories see migration as a consequence of macro-structural forces that shape global capitalism. There is unequal distribution of economic and political power between the developed countries which are capitalistic in nature and the underdeveloped countries. These inequalities are reinforced by capitalist University of Ghana http://ugspace.ug.edu.gh 54 Haas, 2010). They discovered that the poor could not be considered as passive victims of global capitalism but were rather actively seeking for ways of improving their lives within the constraints they were facing (De Haas, 2010). Household livelihood perspective views migration as a ―strategic and deliberate choice of a combination of activities by households and their individual members to maintain, secure and improve their livelihoods‖ (De Haas, 2010:18). Livelihood choices are informed by accessibility to assets, opportunities as well as aspirations. Migration is therefore seen as one of the strategies that households adapt as they seek to diversify, secure and improve their livelihoods (De Haas, 2007). Although this perspective has been mainly applied to internal migration in developing countries, it can be extended to international migration (De Haas, 2010). The transnational perspective whose emergence coincided with the rise of NELM and livelihood perspectives, developed from the recognition of increased possibilities for migrants and their families to have multiple ties and interactions across national borders, as well as adopting multiple identities (Vertovec, 1999a; Adamson, 2007; De Haas, 2008b; 2010). According to Basch et al (1994) as quoted in (Foner, 1997:356) and Portes (2001:183), transnationalism refers to ―the processes by which immigrants forge and sustain multi-stranded social, economic and political relations that link together their societies of origin and settlement and through which they create transnational social fields that cross geographic, cultural, and political borders.‖ Dade (2004:1) describes transnationalism as a new type of what she calls ―hyper connectivity‖, which is characterised by increased flows of people and reducing costs in transport, telecommunications, and financial transfers. Because of this hyper connectivity, migrants are now connected instantaneously, continuously, dynamically expansion tendencies. Migration is therefore seen as one of the causes of underdevelopment rather than leading to development (De Haas 2008b). University of Ghana http://ugspace.ug.edu.gh 55 and intimately to their communities of origin. Depending on migrants‘ financial ability, it is possible for them to communicate daily with their families back home, pay bills, buy groceries, read the same newspapers, return on daily scheduled flights and in some cases, vote abroad. This means that transnationalism erodes the conventional dichotomy of ‗origin‘ and ‗destination‘ (De Haas, 2006), ‗emigrant‘ and ‗migrant‘, and ‗immigrant‘ and ‗return migrant‘. Formerly, an immigrant would either leave their home country and permanently reside in the destination country or return permanently to his/her country of origin; but now transnational migrants live their lives across borders even after migrating from one nation-state to another (Yamanaka, 2005). Some migrants settle down in a host country but still maintain strong ties with their home countries, and belong to social, economic and political movements that span the globe (Levitt, 2004) thus making the destination and origin societies ‗a single arena of social action‘ by ties across national boundaries (Foner, 1997: 356; Itzigsohn & Giorguli- Saucedo, 2005). Transnational migrants participate in social, economic and political interactions in more than one country (Glick-Schiller, 2003), and do not belong exclusively to the host or destination country; they may actually have links with more than two countries (AFFORD, 2000). These individuals can therefore work and express their social, economic and political interests in several contexts rather than in a single nation-state. Transnationalism does not view migration as a one-time event but as a continuous flow of people, goods, information (Yamanaka, 2005) and financial capital across national borders (Mazzucato et al, 2004; Smith, 2007; Mazzucato & Schans, 2008). In their article ―"I'm Here, but I'm There": the Meanings of Latina Transnational Motherhood‖, Hondagneu-Sotelo & Avila (1997) clearly explain how migrants and their families interact in the transnational sphere by showing how the Latina women who had University of Ghana http://ugspace.ug.edu.gh 56 migrated to the United States continued to ‗mother‘ and provide for their children back home in spite of the distance and national borders between the two places. They quote one woman who was intimately involved in the lives of her two daughters summing up these interactions by saying "I'm here, but I'm there" (Hondagneu-Sotelo & Avila, 1997, p.558). De Haas argues that the three perspectives are conceptually related and they integrate structure and agency perspectives. All the three strategies link migration to development at origin, where migrants often maintain long term ties with origin (De Haas, 2010). 2.5 CONCEPTUAL FRAMEWORK The integration of different approaches in studying the inter-linkages between migration and development is necessary since the two phenomena are complex processes. The proposed integration of NELM, livelihood strategies and transnational perspectives by De Haas is good for micro and meso level analysis (De Haas, 2010). Nonetheless, there is need for a framework that can explain the micro, meso and macro inter-linkages of migration and development in relation to migrants‘ transnational activities. This study is proposing the integration of transnational perspective, migration systems and the network approaches in looking at these inter-linkages. University of Ghana http://ugspace.ug.edu.gh 57 Table 2.1: Theories that Explain Interactions between Migration and Development Theory Level of analysis Interaction with Migration & Development Transnational perspective (Glick- Schiller, 2003; Levitt, 2004) Micro Social, political & economic ties with their countries of origin Network theory (De Haas, 2010; Collinson, 2009; King, 2012) Meso Social networks of family, friends & business partners Migration Systems theory (De Haas, 2010; Bakewell, 2013) Macro Institutional & government frameworks Source: Author‘s construct The level of analysis of the transnational perspective is the micro level where migrants maintain social, political and economic ties with their countries of origin. These ties are maintained though social networks of friends, relatives and business partners, among others - this is where the network theory comes in at the meso level of analysis. Migrants‘ interactions are influenced by institutional and government frameworks at the macro level. These frameworks are explained by the migration systems‘ theory. Transnational interactions are individual initiatives which usually have a ripple effect at the local, regional and even national levels (see Taylor, 2006). On the other hand, institutional and government frameworks at the macro level influence the extent of these transnational interactions. There is therefore close interdependence between macro and micro interactions. Whereas the macro conditions influence interactions at the micro level, micro interactions also shape macro interactions (Teye, 2013). The micro and macro formulations of migration are made possible by the important meso interactions, which constitute personal and social networks (King, 2012). The transnational perspective postulates that migrants maintain ties with their countries of origin (see Glick- Schiller, 2003; Glick-Schiller et al, 1995), across geographic, University of Ghana http://ugspace.ug.edu.gh 58 cultural, and political borders (Foner, 1997; Portes, 2001). These ties could be social, political or economic in nature; such as kinship ties, political participation and cross- border entrepreneurship (see Glick-Schiller, 2003; Faist, 2010; Vertovec, 2007). The migrants maintain these ties through transnational activities like sending of remittances; return-visits; communicating through social media, telephone calls to relatives, friends and business partners among other activities. Network approach considers migration as a set of informal social interactions that connect current migrants, former migrants and potential migrants at origin and destination countries (Collinson, 2009; King, 2012). The network approach explains that migrants‘ ties with their countries of origin are maintained through social networks of family, friends and business partners. In addition, the network approach explains the importance of these social networks in facilitating the flow of money, goods, ideas and information across the transnational space (Collinson, 2009; King, 2012). Just like the transnational perspective, the systems approach emphasizes the social, cultural, economic and institutional interactions at both the sending and destination countries (Collinson, 2009). Systems approach also explains the role of structures, policies linkages and processes in influencing transnational interactions between migrants and their home country (Bakewell, 2013; De Haas, 2010; Collinson, 2009; King, 2012). In this study the emphasis is on how migrants‘ development potential, which is embedded in their transnational interactions, can be enhanced through institutional structures and policies. According to Portes et al (2007), for these interactions to impact on the development of the origin, they must be frequent and durable. Also germane to this study is how the development potential of Kenyan migrants can contribute to Kenya‘s long term development plan - Vision 2030. Systems approach presents migration as a circular, multi-causal and interdependent process that University of Ghana http://ugspace.ug.edu.gh 59 involves transnational communities (Collinson, 2009; King, 2012). In addition, system approach explains that migration experiences are influenced by intervening factors like institutions and policies. One unique concept of the systems approach is the notion of feedback which shapes transnational interactions (Bakewell, 2013; De Haas, 2010; Collinson, 2009; King, 2012). Information dissemination about available investment and job opportunities in Kenya for the diaspora can for instance encourage migrants to participate more in development in Kenya. The proposed conceptual framework explains migrants‘ development potential in terms of a gamut of activities, namely: remittance transfers, return-visits, and savings and investments. The framework hinges on three main assumptions which are intricately linked to explain in the best possible ways migrants‘ interaction with home. 1. Migrants engage in transnational activities 2. Social, economic and political conditions; socio-demographic characteristics of the migrants; and their intention to return to Kenya permanently shape the extent of migrants‘ involvement in transnational activities. 3. Migrants‘ involvement in transnational activities can have positive development outcomes. Figure 2.1 presents the different strands of possible analysis of the transnational activities and their linkages to Kenya‘s development and achievement of Kenya Vision 2030. The framework assumes that all things being equal, migrants engage in transnational activities. Their engagement in these activities can be set within the social, economic and political conditions in the host and home countries. In addition, migrants‘ socio-demographic factors and their intention to return to Kenya permanently are major intervening variables which intersect with other variables to affect the level of their transnational engagement. If the social, economic and political conditions in the University of Ghana http://ugspace.ug.edu.gh 60 two spaces are right, the migrants‘ involvement in transnational activities would be enhanced, thereby impacting development in Kenya directly and/or indirectly. Kenya‘s Vision 2030, a long term development plan which encompasses various development strategies has situated the diaspora within the economic pillar of the Vision (see GOK, 2007a; 2007b; 2008; Toboso, 2010). The question of socio-demographic characteristics and how they influence migrants‘ involvement in transnational activities has been broadly addressed by the transnational perspective. For instance, a person‘s gender is likely to influence their involvement in transnational activities. According to Taylor (2006) men are more likely to participate in transnational activities than women because women integrate better at the destination countries than men. The extent of migrants‘ involvement in transnational activities is explained by all the three theories; the transnational perspective, the systems theory and the network theory. The transnational perspective explains the fact that Kenyan migrants maintain multiple ties between Kenya and destination countries. On the other hand, the network approach explains how these ties are maintained while the systems theory highlights the importance of feedback in these transnational interactions. Since systems theory has elements that encapsulate the structures, policy linkages and processes, it also speaks to the social, economic and political factors that shape migrants‘ participation in development in Kenya. The most tangible benefit that migrants bring to their country of origin is remittance flows (Newland, 2010; Ratha et al, 2011; UNCTAD, 2012). Among other things, remittances can lead to poverty reduction, increased rates in education, and better health outcomes (Newland, 2010; 2013; UNCTAD, 2012; Quartey, 2006a). The macroeconomic benefits of remittance flows include foreign exchange earnings, University of Ghana http://ugspace.ug.edu.gh 61 availability of hard currency and improved creditworthiness of a country for external borrowing (UNCTAD, 2012). Apart from remittances, migrants can bring financial flows to Kenya through deposit accounts and financial instruments (see Terrazas, 2010). Other benefits that migrants can bring to Kenya include foreign direct investments (see Newland, 2010; 2013). Migrants can also use their transnational networks in market development for both exports and outsourcing of production and this can increase a country‘s participation in international trade (Newland, 2010; Saxenian, 2002b). University of Ghana http://ugspace.ug.edu.gh 62 Figure 2.1: Conceptual Framework of the Flow Kenyan Migrants’ Resources from Destination Countries to Kenya Source: Author‘s Construct, 2013 Another important transnational activity with potential development benefits to the country of origin is return-visits (see Asiedu, 2005, Newland, 2010; 2013). Migrants who travel to their countries of origin frequently and for extended periods of time Migrants in Destination Countries Transnational Activities Remittance transfers Savings & Investments Return visits Business networks etc. Socio-Demographic Factors Kenya Trade & Investment Skills & Knowledge Transfer Community Development etc. Prospects for Contribution to KV-2030 Economic Pillar Financial Services Agriculture Manufacturing Trade Tourism, etc. Social Pillar Education Health, etc Political Pillar Attitudes Ideas Values, etc. Social, Economic & Political Conditions Intention to Return to Kenya Permanently University of Ghana http://ugspace.ug.edu.gh 63 usually maintain active roles as investors, entrepreneurs, philanthropists among other activities (see Newland 2013:7). Migrants are also an important source of technology transfers (Newland, 2013). Other important social remittances that transnational migrants can bring back home include: ideas, practices, mind sets, world views, values attitudes and norms of behaviour (Adepoju, 2010; Mohamoud, 2007). All these transnational activities are made possible by social networks both at origin and destination countries (see Collinson, 2009; King, 2012). Transnational interactions can be facilitated or restricted by governments by shaping the options available to transnational migrants (Koopmans & Statham, 2001; Adamson, 2007). Sending states can encourage transnational interactions by implementing policies that can encourage their citizens to send remittances and invest at home (Guarnizo et al, 2003). The Central Bank of Kenya (CBK) for instance, came up with a diaspora infrastructure bond in 2010 in order to raise 20 billion Kenya Shillings (Kes), thus giving an investment opportunity to Kenyans in the diaspora (Business Daily, 2011). Other policies by countries of origin that can influence transnational activities include granting voting rights and dual citizenship, consular policies, presence or lack of linkage programmes between nationals abroad and home country, facilitation or regulation of remittance transfers, protection of migrants‘ human rights and other policies (Nyberg-Sorensen, 2007). Receiving states can also determine the extent of transnationalism by regulating movements across territorial borders and by determining who enters or exits their territories. Governments control movement of people across borders by issuing or denying visas to migrants, granting citizenship status and other movement related privileges (Waldinger & Fitzerald, 2004). In addition to direct involvement of the state in regulating transnational interactions, the state can encourage University of Ghana http://ugspace.ug.edu.gh 64 or discourage transnational activities through the implementation of political and economic reforms (De Haas, 2008b). Aside from government policies, when there is a feeling of resurgence and optimism among the diaspora, they become more interested in participating in transnational activities (Ghosh, 2006). Social, economic and political factors in Kenya (such as poor infrastructure, corruption, insecurity, bureaucratic and administrative requirements among others) can therefore influence migrants‘ transnational participation. The migrants‘ socio-demographic and economic characteristics like age, sex, marital status, education background, level of income, resident status and employment status can also determine the extent of migrants‘ transnational participation (see Bollard et al, 2009; Ghosh, 2006; IOM, 2006; Itzigsohn & Giorguli-Saucedo, 2005; Taylor, 2006). Another factor that can influence transnational participation is the migrants‘ intention to return to Kenya permanently. Such migrants are likely to engage more in transnational activities like investments and sending of remittances as they mobilize resources in readiness for their return (Cassarino, 2004; Adepoju, 2010). The resources from the transnational migrants eventually trickle down to the three pillars of Kenya‘s Vision 2030 – the economic pillar, the social pillar, and the political pillar. The economic pillar benefits from the remittances, savings and investments and return-visits (see GOK, 2007a; 2007b; 2008; Toboso, 2010). On the other hand the remittances sent for the support of family, friends, and communities back home end up in housing, education, health and community projects like digging of boreholes and other social contributions, thus supporting the social pillar of the Vision. Social remittances like new attitudes, new ideas and new values shape political perspectives in Kenya thus contributing to the political pillar (see GOK, 2007a; 2007b; 2008). On the other hand, information dissemination about the available opportunities presented by University of Ghana http://ugspace.ug.edu.gh 65 KV-2030 can encourage the diaspora to participate more in its realisation through sending of remittances, savings, investments, return visits and other transnational activities. 2.6 SUMMARY This chapter has reviewed literature on migration and development; where the phases and the various views in the migration-development nexus have been discussed. Literature on the contribution of migrants in development has also been reviewed and how the mobilization of the diaspora potential can be maximized. Literature on Kenya in relation to migration and development has also been reviewed. The last part of the chapter has presented the theoretical underpinnings of the study as well as the conceptual framework guiding the study. The next chapter will look at the methodology of the study. University of Ghana http://ugspace.ug.edu.gh 66 CHAPTER THREE METHODOLOGY OF THE STUDY 3.0 INTRODUCTION This chapter outlines the methodology employed in exploring the pertinent issues of this study. The chapter first explains the methodological design used and then the process of data collection, data analysis and interpretation. This includes sampling, as well as a step-by-step analysis of the research tools used in the study. The chapter also explains the language used, design of the study as well as how the data were entered. Ethical issues relevant to this study are also laid out. The chapter concludes by talking about the challenges encountered in the research process and the limitations of the study. 3.1 RESEARCH DESIGN Methodology is an important constitute of a paradigm, together with axiology, ontology and epistemology (Freshwater, 2012; Mertens, 2010). According to Creswell (2009), certain types of social research problems are best addressed by specific approaches. Due to the multidimensional nature of this study, the research problem could not be adequately addressed by a mono-method approach. Consequently, I decided to use concurrent mixed methods, where both qualitative and quantitative methods were converged to provide a comprehensive analysis of the research problem (see Creswell, 2009; Johnson & Onwuegbuzie, 2004; Molina-Azorin, 2011). According to Johnson & Onwuegbuzie (2004), a key advantage of mixed methods over mono-methods is its methodological pluralism or eclecticism, which frequently results in superior research. They posit that many research questions are best addressed by mixed methods since it uses multiple approaches in answering research questions. The use of mixed methods University of Ghana http://ugspace.ug.edu.gh 67 approach in this study was thus necessary in order to understand the extent of transnational engagement by the Kenyan diaspora and also the circumstances under which this transnational engagement occurred (see Edmeades et al, 2010). 3.2 RESEARCH INSTRUMENTS Data collection was done through a web survey, in-depth interviews, focus group discussions (FGDs) and observation. 3.2.1 Web Survey The web survey method was deemed necessary for this study because it was the most convenient, fast and effective way of reaching the target population, which was scattered in four geographically dispersed countries in three different continents (see Couper, 2000). The web survey was a hybrid of quantitative and qualitative instrument. This allowed for collection of data using both pre-coded response categories and also a narrative approach when discussing sensitive issues related to migration (see Edmeades et al, 2010). The survey questions mainly focused on the socio-demographic characteristics of the respondents, their migration cycle (i.e. factors that motivated them to migrate and their plans for return), and their transnational activities (return-visits, remittance transfers, and savings and investments), as well as their intention to return to Kenya in the future. Web survey is a novel method of data collection that takes advantage of recent technological advancement in internet use (Kinuthia, 2013). According to Kissau & Hunger (2010), the internet is an appropriate research site for advancing a study on transnationalism and diaspora. They posit that migrants‘ internet use and competence has increased steadily. Similarly, Kinuthia (2013) points out that there are large numbers of the diaspora who use the internet. Some scholars suggest that the internet University of Ghana http://ugspace.ug.edu.gh 68 has a profound effect in every sphere of life today and therefore the use of internet surveys in social research has increased. They even argue that the traditional survey methods may be replaced by internet surveys in the near future (Couper, 2000; Couper et al, 2005). Nonetheless, it is important to note that one major limitation of web survey is that, only people who are able to use a computer and have internet access can participate in the survey. 3.2.2 In-depth Interviews In order to complement and validate the data collected through web surveys, individual in-depth interviews were carried out (see Bazeley, 2002; Johnson & Onwuegbuzie, 2004). In-depth interviews were used to explore the opinions and attitudes of the migrants in relation to the various aspects of the migration process, revealing their motivation, concerns and problems faced in their involvement in transnational activities, as well as assessing their willingness to participate in the implementation of KV-2030. I conducted 21 in-depth interviews: 11 in the US and 10 in Ghana. The final sample size was determined by the saturation point. The saturation point is the point of diminishing returns, where additional interviews have nothing new to add to the previous data collected (Patton, 2002). The in-depth interviews were mainly held in the participants‘ homes or the homes of their friends for privacy and confidentiality reasons. The respondents, particularly in the US, were categorically opposed to meeting in public places like restaurants and work places because of fear of eavesdropping by immigration authorities and their agents. In some instances, we even had to converse in low tones to avoid anybody hearing our conversation. The interviews were in two batches: the first batch in the US and the second batch in Ghana. I conducted the first batch of the interviews in July 2012. The second batch of interviews was conducted between September 2012 and January 2013. The interviews lasted for 45 to 60 minutes. University of Ghana http://ugspace.ug.edu.gh 69 The interviews helped to capture the complexity of individuals‘ feelings, thoughts and perceptions on diaspora and development issues (see Goodman, 2001; Dicicco-Bloom & Crabtree, 2006). One limitation of in-depth interviews is only a few people can participate in the interviews. This means that data collected through in-depth interviews cannot be generalized. 3.2.3 Focus Group Discussions (FGDs) FGDs were used to give a wider range of experience from the participants and also to complement the data collected through web surveys and in-depth interviews (see Bazeley, 2002; Johnson & Onwuegbuzie, 2004). FGDs allowed the participants to express their personal views, knowledge and experiences in an informal way. I have intended to carry out four FGDs - two in the US and two in Ghana. Nonetheless, I ended up conducting five focus group discussions; two in the US and three in Ghana. The reason for an additional FGD in Ghana was because I realised that there was a big group of Kenyan students in Ghana and therefore they needed a separate discussion group since their views and perspectives were different from the other migrants. The FGDs were constituted taking into account the issue of homogeneity based on sex, occupation and willingness to participate in the study (see Dlakwa, 2006). The two FGDs conducted in the US were constituted along gender lines – one was for men and the other one for women. In Ghana, the FGDs were constituted according to gender and occupation - one for males (non-students), one for females (non-students) and the other one for students (both male and female). The FGD questions mainly concentrated on diaspora engagement in Kenya‘s development and KV-2030, as well as the challenges encountered during transnational engagement. Just like the in depth interviews, the FGDs were in two batches: the first University of Ghana http://ugspace.ug.edu.gh 70 batch in the US and the second batch in Ghana. I conducted the first batch of FGDs in July 2012. The second batch of FGDs was conducted between September 2012 and January 2013. Apart from one FGD in Ghana (constituting only students), which took place on a Saturday afternoon, the rest of the FGDs happened on Sunday afternoons since that is the only time most participants were available. All the FGDs lasted approximately 60 to 90 minutes. One disadvantage of FGDs is that, just like in-depth interviews, data collected through FDGs cannot be generalized for a whole population. 3.2.4 Observation Apart from the interviews, observation method was used to complement data collected through web surveys, in-depth interviews and FGDs. Observation was used in this study to capture speculations, feelings, problems, ideas, impressions, problems and prejudices that may not have come out during the surveys, in-depth interviews, and FDGs (see Creswell, 2009). Observation was an on-going process that continued throughout the research process. I was both an active and passive participant in various social interactions (see Malumfashi, 2006). Observations included watching news and other discussions on DSTV, YouTube, and other media outlets that talked about the contribution of Kenyan Diaspora to national development. In addition to this, I was involved in observations of conversations and interactions during formal and informal meetings such as associations‘ meetings, baby showers, dinners, and other social gatherings in the US and Ghana. In the US, participant observation took place between July and August 2012. Although I was based in Boston, Massachusetts, during my field research in the US, I travelled to New York, North Carolina, Maryland, Washington DC, and Indiana where I met with members of the Kenyan diaspora both formally and informally. According to Cook (2008), observation helps to produce a rich account of the phenomenon being studied. University of Ghana http://ugspace.ug.edu.gh 71 3.3 SAMPLING PROCEDURE The study used purposive and snowball sampling methods. The sample only included Kenyan migrants in the UK, US, Canada and Ghana. The potential research participants were identified through snowballing, where a network of family and friends were used to identify the survey respondents and to help in the dissemination of the survey questionnaire. The process of identification of the participants involved a multifaceted e-recruitment strategy using social media, diaspora websites, as well as on-the-ground recruitment through the help of a network of family and friends (see Kinuthia, 2013). The sample only included migrants who had been in the destination countries for six months and above; and were 18 years and above. According to Bryman (2004) snowballing is a feasible approach when there is no accessible sampling frame for the population to be studied. It is important to note that one of the major weaknesses of using purposive sampling snowball techniques is that they are likely to result in biased participants who know each other well, think alike and behave alike and therefore findings for this study do not allow for generalizations. This is because the network of family and friends relied upon to identify the respondents may only include people in their social circles living out people outside their circles, who may have crucial information. To minimize this challenge I also recruited participants by posting the survey on the websites of Kenyan associations in the target countries as well as social media platforms like Twitter, Facebook and LinkedIn. Kenyan transnational migrants were selected for this study because Kenyan migrants are among the top ten migrants in Africa (Oyelere, 2007). In addition, there is heightened interest by the government of Kenya to engage its diaspora in national University of Ghana http://ugspace.ug.edu.gh 72 development (Kiiru, 2010; Kinyanjui & Akinyoade, 2012; Oyelere, 2007). On the other hand, the US, UK and Canada were selected for this study because they are the leading sources of diaspora remittance flows to Kenya (CBK, 2010; World Bank, 2011a). Ghana on the other hand was selected because it is one of the most important destinations of Kenyans in Africa beyond Kenya‘s traditional trade partners and neighbours in COMESA, EAC and IGAD (Global Migrant Origin Database, as mentioned in Kinuthia, 2013). Interviews (both in-depth interviews and FGDs) were only conducted in Ghana and the US due to cost and time limitations. In Ghana, the interviews were held in Accra, while in the US they were held in Massachusetts. Ghana was selected for the interviews because it is the only African country among the other three countries, while Accra was selected because it is the Capital city of Ghana and most Kenyan migrants live there. The US on the other hand was selected for interviews because it is the leading destination of Kenya migrants among the three Western countries (although there are differences in literature as far as the figures of Kenyan migrants are concerned). In 2002, US had 47,000 Kenyan, Canada 20,600, UK, 15,000 (Oyelere, 2007). Massachusetts on the other hand was selected because, apart from being in the economically vibrant part of the US, anecdotal evidence suggests that it is one of the earliest destinations of Kenyans in the US. 3.3.1 Sample size for Web Survey Ideally, the sample size should be proportional to the various diasporic populations in the UK, US, Canada and Ghana. However, as mentioned earlier, there is no comprehensive data on the number of Kenyans in the diaspora. There was therefore no sample population to help in the calculation of a sample size for the survey. Sample size for the UK, US, Canada was calculated using the method for calculating sample University of Ghana http://ugspace.ug.edu.gh 73 size for large populations by Fox et al (2007). This method assumes a 50 percent proportion (P), as the worst-case scenario in cases where one has no idea what the proportion is going to be. The study estimated the expected proportion using the confidence level of 90 percent and 5 percent margin of error. Then N = P (100% - P) (SE) 2 To calculate the standard error, I divided the confidence interval by 1.645 5/1.645 = 3.04 Therefore N = 50% (100% - 50%) (3.04) 2 N = 270 The sample size used was therefore 270. This sample size was distributed equally in the 3 developed countries, with a sample size of 90 for each country. However, a total of 134 completed questionnaires were received: US (89), UK (32), and Canada (13). Although there is no documented information about the number of Kenyans in Ghana, according to the officials of the Kenya‘s Association in Ghana, Kenyans in Ghana are around 150. I used a formula for calculating sample size for finite populations by Yamane (1967:886) to calculate sample size for Ghana. I assumed a 95% confidence level and P = .5 n =N/1+N (e)2 Where n is the sample size, N is the population size, and e is the level of precision. 150/1+150(0.05)2 =110. The sample size was therefore 110. However, a total of 78 completed questionnaires were received for Ghana. The response rates for the UK and Canada were quite low. Nonetheless, literature indicates that web surveys usually have lower response rate than most of the other surveys (Couper, 2000; Couper et al, 2005). I tried to reduce the non-response rate by extending the duration of survey data collection from three months as I had originally University of Ghana http://ugspace.ug.edu.gh 74 intended to eight months. I also did vigorous follow-up and was quick to address the issues raised by potential respondents. The predominance of the US and Ghana in the survey responses can be attributed to the fact that they are the only two countries where I conducted face-to-face interviews (both in-depth interviews and Focus Group interviews). The physical presence in these countries helped in the mobilization of respondents, unlike the UK and Canada where I had to rely on virtual communication. 3.4 STEPS OF DATA COLLECTION The organization of data collection was informed by the research tools used in the research, namely: web survey, in-depth interviews, focus group and observation. The first stage involved the review of relevant documents such as diaspora policy documents, records, excerpts, quotations, official publications and reports, as well as electronic and print media. This gave an adequate overview of the participation of transnational migrants in development at home. In addition, it added insights and understanding on the subject matter and helped to shape the development of research methods for the study. The second stage was mainly preparation of research instruments; survey questionnaires, in-depth interview guide and Focus Group Discussion (FGD) guide. This was done between January and May 2012. At the initial stages of development of research instruments, I sent 10 test questionnaires to Kenyans abroad and used the responses received to develop the research instruments for the web survey, in-depth interviews and focus group discussions. The outcomes of the questionnaires helped in the preparation of the research instruments. The process of preparing the study instruments was completed at the end of May 2012. The second stage of data collection was the dissemination of the survey questionnaire. To begin with, I compiled a list of names, email addresses, as well as LinkedIn , University of Ghana http://ugspace.ug.edu.gh 75 Facebook and Twitter contacts of Kenyans living in the target countries: the US, UK, Canada and Ghana. I then sent a personalised message to each of these contacts explaining the purpose of the survey and inviting the recipients to participate in the survey through a Surveymonkey link containing the questionnaire. I also requested them to distribute the questionnaire to their Kenyan contacts in the target countries. In addition, I requested friends and family who were not resident in the selected countries to introduce me to their contacts in the target countries. The use of Surveymonkey was not part of my original plan. The decision to use Surveymonkey was largely influenced by feedback from the field. Soon after sending the initial questionnaire, I started receiving feedback from some respondents in the US that they were uncomfortable with word-attachment questionnaire (which I was using) and they specifically suggested the use of Surveymonkey to enhance privacy and anonymity. I had never heard of Surveymonkey before and there was no one in my circle of friends and acquaintances who knew how to use it. I tried to contact the Surveymonkey administrators through the website given by my respondents but the prices they were quoting sounded very exorbitant and I almost gave up the idea of using Surveymonkey. Fortunately, I contacted a close family member in the US, who assisted me to be acquainted with Surveymonkey. By the time I was able to use the Surveymonkey for data collection, I had circulated the survey questionnaire as a word document attachment for about a month with very few responses. However, after I started using Surveymonkey by mid-July, the responses increased remarkably. The third stage of data collection was carrying out interviews (in-depth interviews and FGDs). This was done simultaneously with online surveys. Some close relatives who live in Massachusetts acted as the ‗gate-keepers‘ and were very instrumental in facilitating the interviews in the US. University of Ghana http://ugspace.ug.edu.gh 76 Both the in-depth interviews and the FGDs were audio recorded. All participants knew they were being audio recorded and consented to the interview and the recording after reading and listening to a description of the study and its risks and benefits. In addition, to the audio recording, short notes were taken during the interviews. 3.5 LANGUAGE DESIGN All the research instruments were designed in the English language. Nevertheless, I conducted the in-depth interviews and the focus group discussions either in English, Swahili or Sheng (mixture of Swahili, English and vernacular), depending on the language the participants preferred. Most participants were more comfortable using Swahili or sheng rather than English especially the respondents in the US. This is probably because they found the use of English so official or probably wanted to avoid eavesdropping, especially for the respondents whose immigration status was not secure. This notwithstanding, on two occasions (both in the US), I had to conduct in-depth interviews in my mother tongue – Kikuyu - since that was the only language the participants were most conversant and comfortable with. Fortunately, I did not encounter anybody who was not conversant with the languages I speak, although this was not deliberate. 3.6 DATA ENTRY AND QUALITY CONTROL In order to ensure easy analysis and interpretation of data, both the quantitative and qualitative data were put into comprehensive units. The analytical tools used for quantitative data were descriptive statistics, chi-square tests and binary logistic regressions. Descriptive statistics were used to provide simple summaries on observations. Then chi-square tests were carried out in order to compare observed data with the expected data according to the study hypotheses. Binary logistic regressions University of Ghana http://ugspace.ug.edu.gh 77 were done to determine whether there was any significant relationship between dependent and independent variables. Descriptive statistics were generated using Surveymonkey survey tool and Microsoft excel. For higher statistical analysis, data collected through Surveymonkey were exported to Statistical Package Social Sciences (SPSS). Then errors in the imported data were corrected by comparing the imported data with the original data on the Surveymonkey, before being analysed. Data analysis was done at the bivariate and multivariate levels before the data were subjected to validation, range, consistency and typographical checks. Chi-square tests were used to explore the association between two variables. The variables that showed significant association were tested further using binary logistic regressions. The binary logistic regression helped to analyse simultaneous relationships among several variables (like remittance transfers, return- visits, and savings and investments) as well as the effect of demographic characteristics like age, sex, marital status and others on these variables (see Abbas, 2006). Qualitative data collected through the interviews, observations and open-ended survey questions were translated, edited, transcribed, coded and synthesized. Data collection, note taking, coding and memoing were done simultaneously from the beginning to the end of data collection. Sorting of the data was done when all categories were saturated. Afterwards, I did a thorough description of the collected data in order to make them more meaningful to readers. 3.7 TRIANGULATION In this study, multiple methods and theories were used to collect and interpret data. Web survey was used to quantify attitudes, opinions and behaviour of migrants. The survey generated numerical data that was transformed into useable statistics. Then University of Ghana http://ugspace.ug.edu.gh 78 qualitative data was used to understand the underlying reasons, opinions and attitudes that influenced migrants‘ behaviour. Data collected through web survey was therefore complemented by data from in depth interviews, FDGs and observation. This helped in cross verifying information. When the results from all the methods were compared, conclusions from each of the methods were similar, thus establishing validity. Theoretical triangulation was used to give a better understanding of the data and information gathered by the study. An integration of three theories was used to explain the study results - the transnational perspective, the network theory and the migration systems theory. 3.8 ETHICAL CONSIDERATIONS Ethical considerations are important in every stage of carrying out a research whether it is the identification of the research problem, the process of data collection, data analysis and interpretation or the writing and dissemination of the research report (Creswell, 2009; Tanko & Dandago, 2006). I took utmost precaution before, during and after the research to ensure that the rights and wellbeing of the participants were protected. First, I sought for the informed consent of the participants by making them fully aware of the purpose of the study as well as its risks and benefits. I also ensured their privacy and confidentiality in every stage of the study. The use of Surveymonkey also helped to enhance privacy, confidentiality and anonymity since the participants were able to answer the questions online without leaving any trace of identification like email or other addresses. In order, to protect the identity of the respondents who participated in the research, I ensured anonymity of the respondents by using pseudo names in all notes and records, including tape recording. University of Ghana http://ugspace.ug.edu.gh 79 3.9 CHALLENGE AND LIMITATIONS OF THE STUDY There are challenges in carrying out social research just like in any other human endeavour. Research challenges usually run through the whole research process (Adepoju & Adeyanju, 2006). One of the challenges encountered in this study is that since migration is a sensitive topic, most migrants were uncomfortable giving personal information. This was especially true among migrants in the developed countries who felt very vulnerable divulging personal information. I had to reassure them constantly that I would maintain confidentiality and privacy and use the information given strictly for academic purposes. In addition, I had to switch from English to Swahili and sheng and on two occasions to Kikuyu when conducting interviews to put the participants at ease in sharing personal information. There was also a sense of apathy among some respondents who were experiencing ‗research fatigue‘ from previous studies conducted by other researchers. They wanted to know whether my study was any different from the previous ones in which they had been involved. However, most of the respondents accepted to participate as soon as they realized I was also a migrant like them and that I was not a government agent as they had earlier presumed. The other challenge was that, just like in any other social research asking questions about past events, some of the responses were likely to be affected by memory lapse. I have therefore used the given information, for example the amount of remittances sent per year, as estimates. The other challenge was related to switching from sending the survey questionnaire as a word document to using Surveymonkey. This change came with two main challenges. First, I had to transpose my word document questionnaire into Surveymonkey. This was not an easy task for me since I did not know how to use Surveymonkey. After University of Ghana http://ugspace.ug.edu.gh 80 consulting several people, a close relative offered to help. However, it took two months before I could be able to circulate the survey on Surveymonkey. The other problem was that I had to transfer all the 22 responses I had received as word documents into the Surveymonkey web link to ensure uniformity and consistency in data analysis. This posed a challenge because the Surveymonkey does not allow more than one response from the same email account, Facebook account or other web collectors. I had to request some of my colleagues to help me copy the responses on the Surveymonkey. It was only later on that I discovered that I could increase the number of survey collectors in order to be able to copy all the responses. Since I am a Kenyan migrant myself, having lived in Ghana for the past eleven years, there was the risk of being too familiar with some of the issues under study thus the danger of taking some important information for granted. That is, the danger of only including the information I might view as important or interesting, leaving out familiar but crucial information. I minimized this by avoiding selective recording of information and noting down even familiar information. Some of the caveats on data quality are related to the survey method used. Web survey is usually associated with coverage, non-response and sampling errors (Couper, 2000; Couper et al, 2005). Since web surveys are usually limited to those with internet access while those without internet access are left out, collecting data using web survey may lead to coverage error where the target population may not match the frame population (Couper, 2000). However, according to Kinuthia (2013), there are large numbers of the diaspora who use the internet (Kinuthia, 2013). The other challenge is that web surveys are said to have lower response rates than most of the other surveys. Non-response error usually leads to sampling error, where not all members of the framework population are measured (Couper, 2000; Couper et al, 2005). I tried to minimize non- University of Ghana http://ugspace.ug.edu.gh 81 response and sampling errors by using mixed-mode surveys. Dillman et al (2009) opine that one can increase response rates by using more than one survey modes in data collection. In this study, I used Facebook, Twitter, LinkedIn and emails as data collectors in order to give the potential respondents a wide range of choices. In addition, I had a long duration of data collection, 7 months, in order to allow time for responses. 3.10 POSITIONALITY My interest in studying the role of migrants in contributing to development in Kenya was spurred by my migrant status as a Kenyan migrant in Ghana for the past eleven years. Being a migrant gave me some leverage since I was familiar with most of the issues facing migrants. My migrant status was also very useful in facilitating data collection since most respondents could easily identify with me. Most of the respondents felt at ease to participate in the in-depth interviews and FGDs as soon as they learned that I was also a migrant like them. I also benefited from recent advancement in communication technology. The use of modern technology – the web site - enabled me to collect data from a study population that was scattered in four geographically dispersed countries, in three different continents. 3.11 SUMMARY The chapter has given a detailed explanation of the methodology used in the study. In the chapter, the design of the study has been explained as well as sampling and data collection, data analysis and data interpretation processes. The next chapter will discuss the socio - demographic characteristics of the study population. University of Ghana http://ugspace.ug.edu.gh 82 CHAPTER FOUR SOCIO-DEMOGRAPHIC CHARACTERISTICS OF THE STUDY POPULATION 4.0 INTRODUCTION This chapter looks at the socio-demographic characteristics of Kenyan migrants in the UK, US, Canada and Ghana. The variables dealt with in this section include country of residence, sex, marital status, level of education, residence status, age, duration of residence, employment status, area of expertise, level of income and county of origin. The chapter also evaluates the reasons for migrating (push and pull factors); as well as the dynamics that have encouraged the migrants to remain in their host countries (stick factors). 4.1 COUNTRY OF RESIDENCE A total of 212 respondents participated in this research. Figure 4.1: Country of Residence Source: Fieldwork Data, 2012 University of Ghana http://ugspace.ug.edu.gh 83 4.2 AGE Most of the migrants were relatively young irrespective of their destination countries. More than half of the migrants in UK (51%), US (61%), and Ghana (66%) were 37 years and below. Almost all (99%) of the respondents in all the four countries were less than 57 years old. Fifty six (56%) of the migrants arrived at their destination when they were 27 years and below and only 9 percent were 38 years and above. These findings confirm IOM‘s World Migration Report international migrants in the North are mostly between 25 and 49 years, while a majority of international migrants in the South are in their 20s (IOM, 2013). Migration scholars are divided on the impact of the migration of economically active populations in an economy. While some scholars say that the labour loss experienced as a result of the migration of young people is replaced by remittances thus increasing family incomes and diversifying family risks, there are those who argue that the migration of youthful populations can cost a country the strength and energy that young people possess and this could affect productivity in an economy (Macpherson, 2000). Macpherson (2000) uses the example of Samoa to expound that migration of young people can lead to a drop in agricultural labour force leading to a decline in agricultural production due to labour shortages. He explains that in 1980-5 and 1992, Samoa experienced more than 25 percent drop in food production per person as a result of youth migration. 4.3 SEX A report by UNCTAD (2009) indicates that 50 percent of migrants in the world are women. Correspondingly, findings from this study show that the total percentage of females (49.5%) in the four countries was almost at par with that of males (50.5%). According to contemporary literature, the number of females who migrate beyond their national borders has been growing steadily in recent years (Jolly and Reeves, 2005). University of Ghana http://ugspace.ug.edu.gh 84 Many women are increasingly migrating on their own even though there are still some who accompany or join their families (UNCTAD, 2009). Table 4.1: Age, Sex & Marital Status Variables Country UK US Canada Ghana All Countries i. Age (in Years) Current Age 18-27 13(16%) 5(18%) 3(23%) 23(30%) 44(22%) 28-37 29(35%) 12(43%) 3(23%) 28(36%) 71(36%) 38-47 32(39%) 9(32%) 6(46%) 20(26%) 67(34%) 48-57 8(10%) 2(7%) 1(8%) 5(6%) 16(8%) 58 & above 0(0%) 0(0%) 0(0%) 1(1%) 1(1%) Total 82(100%) 28(100%) 13(100%) 77(100%) 199(100%) Age at Arrival at Destination Below 18 0(0%) 3(4%) 0(0%) 1(1%) 4(2%) 18-27 16(59%) 44(60%) 8(62%) 30(45%) 98(54%) 28-37 10(37%) 22(30%) 2(15%) 29(43%) 63(35%) 38-47 1(4%) 3(4%) 3(23%) 5(7%) 12(7%) 48-57 0(0%) 1(1%) 0(0%) 2(3%) 3(2%) Total 27(100%) 73(100%) 13(100%) 67(100%) 180(100%) ii. Sex Female 21 (70%) 40 (45%) 10 (77%) 31 (40%) 102(49.5%) Male 9 (30%) 48(55%) 3 (23%) 46 (60%) 106 (50.5%) Total 30(100%) 88(100%) 13 (100%) 77 (100%) 208 (100%) iii. Marital Status Married 11 (38%) 53 (62%) 7 (58%) 39 (51%) 110 (55%) Single 17 (59%) 30 (34%) 4 (33%) 33 (43%) 83 (41%) Separated 0 (0%) 1 (1%) 0 (0%) 3 (4%) 4 (2%) Widowed 0 (0%) 1 (1%) 0 (0%) 0 (0%) 1 (1%) Cohabiting 1 (3%) 1 (1%) 1 (8%) 1 (1%) 4 (2%) Divorced 0 (0%) 0 (0%) 0 (0%) 0 (0%) 0 (0%) Total 29(100%) 85(100%) 12(100%) 76(100%) 202(100%) Source: Fieldwork, 2012 - 13 Despite the general trend, specific countries in this study show variations from the norm. The number of female respondents in Canada (70%) and the UK (77%) was significantly high compared to males. Taylor (2006) suggests that more females are likely to be attracted to developed countries because of more favourable conditions like University of Ghana http://ugspace.ug.edu.gh 85 greater autonomy and independence and the availability of more education and employment opportunities. Nonetheless, this high percentage of females can also be attributed to the sampling method used - snowballing. The distribution of survey questionnaires was done through family and friends and the main contact persons in the two countries were female. It is therefore possible that most of their contact persons were also female. In contrast with the other three countries, majority (60%) of Kenyan migrants in Ghana were male. Qualitative findings show that, more often than not, it is the men who migrate to Ghana with job offers, while most females go there to join their husbands. In some cases, the females who follow their husbands to Ghana also take with them female domestic workers to work for them. Although most men working in Ghana had their spouses with them, there were a few who left their families in Kenya. 4.4 MARITAL STATUS The number of married people versus the unmarried (whether separated, widowed or cohabiting) varied according to the country of residence (see Table 4.1). In the UK for instance, majority of the respondents (62%) were unmarried, while 62 percent of migrants in the US were married. Noteworthy to say, none of the migrants indicated in the survey that they were divorced. Nevertheless, during the interviews carried out in Ghana and the US, there were a number of respondents who confided that they were divorced but would not want people to know. Joyce, a divorced migrant, explained that it was difficult to admit that one was divorced because divorce is highly discouraged in the Kenyan society and people who are divorced are usually stigmatized. Such people indicated they are single and have therefore been classified as single in this study. The number of migrants who said they were cohabiting is very negligible. This may also be due to cultural factors. University of Ghana http://ugspace.ug.edu.gh 86 4.5 LEVEL OF EDUCATION According to UNCTAD (2009), most migrants in OECD countries have basic education, that is primary and secondary school education, and only less than a third (26%) have tertiary education. However, findings from this study are at variance with this. Eighty six percent (86%) of migrants in the three OECD countries have at least a bachelor‘s degree. Table 4.2: Level of Education, Residence Status & Duration of Residence Variables Country UK US Canada Ghana All Countries i. Level of education Primary School 0 (0%) 0 (0%) 0 (0%) 1 (1%) 1 (1%) High School 0 (0%) 3 (3%) 1 (8%) 13 (17%) 17 (8%) Technical 1 (3%) 11 (13%) 2 (15%) 17 (23%) 31 (15%) Bachelors 10 (34%) 34 (40%) 4 (31%) 27 (36%) 75 (37%) Master 16 (55%) 22 (26%) 6 (46%) 12 (16%) 56 (28%) Doctorate 2 (7%) 16 (19%) 0 (0%) 5 (7%) 23 (11%) Total 29 (100% 86 (100%) 13 (100%) 75 (100%) 203 (100%) ii. Residence Status Citizen 9 (35%) 27 (33%) 7 (54%) 1 (1%) 44 (23%) Permanent resident 5 (19%) 35 (43%) 6 (46%) 3 (4%) 49 (26%) Work permit 3 (12%) 7 (9%) 0 (0%) 39 (55%) 49 (26%) Student 8 (31%) 10 (12%) 0 (0%) 21 (30%) 39 (20%) Other 1 (4%) 2 (2%) 0 (0%) 7 (10%) 10 (5%) Total 26 (100%) 81 (100%) 13 (100%) 71 (100%) 191 (100%) iii. Duration of residence Less than 1 year 2(7%) 2(3%) 0(0%) 13(18%) 17(9%) 1-4 years 9(32%) 13(16%) 4(31%) 40(56%) 66(34%) 5-9 years 5(18%) 22(28%) 4(31%) 12(17%) 43(22%) 10-15 years 9(32%) 30(38%) 4(31%) 7(10%) 50(26%) More than 15 years 3(11%) 12(15%) 1(8%) 0(0%) 16(8%) Total 28(100%) 79(100%) 13(100%) 72(100%) 192(100%) Source: Fieldwork, 2012 - 13 Similarly, the bulk (76%) of the respondents in all the four countries (Ghana, US, UK and Canada) are highly skilled professionals, with a minimum of a bachelor‘s degree. It is also noticeable that close to 20 percent of Kenyans in the US have doctorate degrees. University of Ghana http://ugspace.ug.edu.gh 87 These findings may be as a result of the sampling methods used – purposive sampling and snowball sampling techniques which could have led to a biased sample. Nonetheless, Ghai (2004) states that most Kenyan migrants are highly qualified professionals. The percentages of those who have lived for ten years and above in the developed countries are 43 percent for the UK, 53 percent for the US and 39 percent for Canada. In contrast, majority of Kenyans in Ghana (74%) have stayed in Ghana for a maximum of 4 years and only 10 percent have lived there for ten years and above. Findings from qualitative research indicate that most Kenyans in Ghana were expatriates with employment contracts that range between two and four years. Although a few of the expatriates new their contracts after expiry, most of them go back to Kenya or relocate to other countries. Their work status as expatriates shows they were already doing well in Kenya before migration and this may be the reason why they are eager to go back home when their contracts expire. There is also a general perception among Kenyan migrants in Ghana that life is better in Kenya than in Ghana as expressed by Jemima: Ghana is a nice place and Ghanaians are good people, but I cannot compare Kenya with Ghana. Life is better at home. I know people in Kenya think the cost of living is high there but it is definitely nothing compared to Ghana! Generally, the quality of life in Kenya is better; the schools for my children, medical facilities, big shopping malls, housing and many other things (Jemima, December 12, 2012; Accra, Ghana). This is quite different from their counterparts in the developed countries who feel that although life in the West is not as they expected when migrating there, those countries offer them more and better opportunities. Qualitative research findings indicate that most Kenyans migrate with the intention of going back to Kenya within a few years but when they arrive at their destinations, they realize that their expectations are totally different from reality on the ground. Although most migrants do not abandon their intention to go back home and keep talking about ‗going back very soon‘, many do not University of Ghana http://ugspace.ug.edu.gh 88 return to Kenya when they had initially hoped to return. This is how Jim, one of the migrants based in US, explained why Kenyans stay longer at the destination than intended: Everyone comes here with the intention of going back home ‗soon‘ but how soon? I have been in this country for 15 years and since I came here everyone I talk to says he/she is going back to Kenya in a few years but I personally do not know one person who has actually returned home. When people land here they are totally unprepared for life in America. Their expectations do not match the reality here… (Jim, July 20, 2012; Massachusetts, US). In addition, most migrants explained that one of the main reasons why they stay long in developed countries than anticipated, is because they try to save and invest back home before going back so as to make their return and integration smooth. This is how Jocelyn explains it: People have the intention of going back but they wanna invest first. However this is not an easy task since there are many bills to pay here and very little to save thus making it difficult to save anything. The cycle continues year after year and the migrants end up not returning to Kenya (Jocelyn, July 25, 2012; Massachusetts, US). The general thinking among most Kenyans living in the West is that if someone is fortunate enough to get a visa to travel there (irrespective of the reason for travel) they should not go back home before saving enough money ‗to make it in life‘. Almost everyone I met in the US during my fieldwork wondered why I had to go back to Africa (as they referred to Ghana and Kenya) and forfeit ―the American dream‖. One lady who got to learn that I had gone there with my family exclaimed: Why do you want to go back to Africa? Stay here and first make some good money. Life is difficult in Africa. You have your husband and children with you here, what else would you go back to Africa for? Do you know how many people are dying just to have one member of their family get a visa to this place and yet you have been lucky enough to get a visa to come with your entire family. Why do you want to waste this golden opportunity? (Pamela, July 21, 2012; Massachusetts, US). University of Ghana http://ugspace.ug.edu.gh 89 4.6 RESIDENCE STATUS A high percentage of Kenyans in the developed countries had the citizenship of their destination countries: Canada (54%), UK (35%) and US (33%). Correspondingly, the percentage of Kenyans who were permanent residents is significant: Canada 46 percent, US 43 percent and UK 19 percent. Findings from qualitative research unveil a general perception among migrants in the developed countries that obtaining citizenship in a developed country means more opportunities, higher income and thus a better life. Consequently, most of the migrants in the survey living in developed countries are very enthusiastic about getting the citizenship of their host countries. Every single person interviewed in the US was either in the process of applying for citizenship, had applied for citizenship or had been given citizenship. In fact, they were all encouraging me to apply for the Green card Lottery. Residence status among Kenyans in Ghana was completely different from that of their counterparts in the developed countries. Only 1 percent of Kenyans in Ghana had Ghanaian citizenship, and only 4 percent were permanent residents. Most of the migrants in Ghana (55%) had work permits and 30 percent were students. Qualitative findings indicate that most Kenyans in Ghana are labour migrants, majority (74%) of whom have lived in Ghana for a period not exceeding 4 years (see Table 4.2). The migrants who either had Ghanaian citizenship or permanent residence are largely Kenyans who are married to Ghanaians. Migrants in developed countries consider it more advantageous to get the citizenship of their host countries unlike their counterparts in the developing countries. 4.7.1 Dual Citizenship According to Faist and Gerdes (2008), dual citizenship affords migrants access to rights and privileges enjoyed by citizens in both the destination country as well as the country of origin. In the destination country, dual citizens enjoy freedom to travel across University of Ghana http://ugspace.ug.edu.gh 90 borders especially in countries that have economic integration like European countries. In addition, dual citizenship gives them access to social facilities and opens up greater opportunities in the labour markets. At the same time, emigrants retain access to their country of origin and can own property and transact business without any limitation. This is very crucial especially to migrant entrepreneurs who may want to mobilize contacts across borders. The Kenyan Citizenship and Immigration Act (2011) permits dual citizenship for Kenyans living abroad. Under this Act, migrants are allowed to take up other nationalities without losing their citizenship rights. To find out if Kenyan migrants have taken advantage of dual citizenship, the migrants were asked whether they have dual citizenship. This question was answered by 199 respondents; 28 in the UK, 82 in the US, 13 in Canada and 76 in Ghana. The percentages of migrants with dual citizenship is shown in Figure 4.2 below The low level of dual citizenship in the four countries can be attributed to lack of information on application procedures. Many Kenyans interviewed in both Ghana and the US said they were not sure how to apply for dual citizenship. A number of them were actually doubtful that dual citizenship has actually been fully operationalized. Figure 4.2: Kenyans with Dual Citizenship Source: Fieldwork Data, 2012 University of Ghana http://ugspace.ug.edu.gh 91 Figure 4.3 shows the dual citizenships that Kenyans in the four countries have. Figure 4.3: Countries of Dual Citizenship Source: Fieldwork Data, 2012 4.7 DURATION OF RESIDENCE According to IOM (2003), migrants‘ length of stay at the country of residence can have serious implications for the development of the country of origin. The migration of highly skilled professionals can be seen as brain drain or labour migration, depending on the length of stay in the destination country. A long stay abroad is seen as brain drain, which can deprive the country of origin early returns on investment made in migrants‘ education and training (IOM, 2003; 2010b). On the other hand, a shorter stay in the country of residence is seen as labour migration, which can benefit the countries of origin through remittances, transfer of skills and technology, among other benefits (IOM, 2003). The findings of this study on duration of residence suggest that Kenyan migrants in the developed countries (UK, US and Canada) stay longer at their destinations compared to their counterparts in Ghana (see Table 4.2). University of Ghana http://ugspace.ug.edu.gh 92 4.8 EMPLOYMENT STATUS One of the main reasons for out-migration is to escape unemployment and to seek better employment opportunities (IOM, 2008). In this study, Kenyan migrants were asked their employment status. A total of 205 indicated their employment status: UK (29), US (87), Canada (13) and Ghana (76). The number of respondents who are employed is quite significant in all the four countries. The US has the highest (79%) number of employed Kenyans, followed by the UK and Canada with 69 percent each. It is remarkable that Ghana has the highest number (11%) of self-employed Kenyans, followed by the US (9%). Likewise, the percentage of Kenyans looking for jobs is lower (3%) in Ghana than in the other countries. This is probably because students (who constitute33 percent of the respondents), are not allowed to be gainfully employed. On the other hand, Canada has the highest (15%) number of job seekers while the UK has 7 percent and the US 4 percent. During my fieldwork in the US, I met a Kenyan resident in Canada, who had visited the US and she complained that it is much more difficult to find a job in Canada than in the US. Figure 4.4: Employment Status Source: Fieldwork Data, 2012 University of Ghana http://ugspace.ug.edu.gh 93 4.9 OCCUPATION AND AREA OF EXPERTISE Table 4.3 and 4.4 below shows migrants‘ current occupation versus their area of expertise. From the Table, it is clear that apart from the migrants in Canada who have a perfect match between the area of expertise and occupation; migrants in the other countries do not necessarily work in their areas of expertise. For example, more than a third (34%) of the migrants in the UK have expertise in business administration but only half that number (17%) work in that area of expertise. Table 4.3: Current Occupation Variables Country of Residence UK US Canada Ghana All Countries Business Administration 5(17%) 9(12%) 2(18%) 12(17%) 28(15%) Research & Education 2(7%) 15(19%) 0(0%) 10(14%) 27(14%) Health & Medical Services 5(17%) 26(33%) 3(27%) 0(0%) 34(18%) Information Technology 2(7%) 7(9%) 1(9%) 2(3%) 12(6%) Community & Social Services 6(21%) 3(4%) 2(18%) 3(4%) 14(7%) Management 0(0%) 6(8%) 2(18%) 16(22%) 24(13%) Entrepreneurship 0(0%) 5(6%) 1(9%) 6(8%) 12(6%) Christian ministry 4(14%) 1(1%) 0(0%) 1(1%) 6(3%) Student 2(7%) 6(8%) 0(0%) 22(31%) 30(16%) Other 3(10%) 0(0%) 0(0%) 0(0%) 3(2%) Total 29(100%) 78(100%) 11(100%) 72(100%) 190(100%) Source: Fieldwork, 2012 – 13 Likewise, 33 percent of the migrants in Ghana have expertise in business administration but again only about half that number (17%) work in that area. Similarly, in the US 40 percent of the migrants have expertise in health and medical services and although this percentage does not drop by half like in the case of business administration in the UK and Ghana, those working in this field are less by 7 percent (they are 33%). A reverse trend is also observed when it comes to people doing jobs that are not within their area of expertise. For instance, only a tenth (10%) of the University of Ghana http://ugspace.ug.edu.gh 94 migrants in the UK have expertise in community and social services, and yet it is double that percentage (21%) that work in that area. Similarly, although only 7 percent of the migrants in Ghana have expertise in management, 22 percent of the migrants were working in the area of management. Table 4.4: Area of Expertise Variables Country of Residence UK US Canada Ghana All Countries Business Administration 10(34%) 8(10%) 2(18%) 19(33%) 39(21%) Education 4(14%) 14(17%) 0(0%) 5(9%) 23(13%) Health & Medical Services 7(24%) 34(40%) 3(27%) 3(5%) 47(26%) Information Technology 3(10%) 7(8%) 2(18%) 5(9%) 17(9%) Community & Social Services 3(10%) 2(2%) 2(18%) 7(12%) 14(8%) Management 0(0%) 6(7%) 1(9%) 4(7%) 11(6%) Entrepreneurship 1(3%) 6(7%) 0(0%) 4(7%) 11(6%) Christian ministry 0(0%) 1(1%) 0(0%) 6(10%) 7(4%) Transport & communication 0(0%) 2(2%) 0(0%) 3(5%) 5(3%) Policy & law 1(3%) 2(2%) 0(0%) 2(3%) 5(3%) Other 0(0%) 2(2%) 1(9%) 0(0%) 3(2%) Total 29(100%) 84(100%) 11(100%) 58(100%) 182(100%) Source: Fieldwork, 2012 - 13 Qualitative findings reveal that there are different dynamics responsible for the mismatch between area of expertise and current employment. Most people who migrated to Ghana without a ready job complained that they found it very difficult to get a job that matched their expertise because of lack of a work permit. These are mostly Kenyans who migrated to Ghana as dependents of people who had already secured jobs in Ghana before leaving Kenya. Although most employers get work permits for their employees, they are only able to get dependents‘ permits for those accompanying the employee. People with dependents‘ permit are not permitted to be gainfully employed. As a result, such people either end up doing jobs that do not have stringent work permit requirements or going back to school. This was captured well by University of Ghana http://ugspace.ug.edu.gh 95 Gladys in Ghana during one of the FGDs: ―Most of us women have no option but to go back to school because you cannot get a work permit in this country otherwise you will just remain a housewife for the rest of your stay in Ghana.‖ Findings from in-depth interviews in the US also revealed that, many migrants do not find jobs that match their training and they end up in a totally different occupation. Jonathan, an economics graduate narrated how he had to sell pizza in the US after leaving an executive job as a banker in Kenya. Later on he was forced by circumstances to do nursing courses to be able to earn a decent living and by the time of the interview, he was a qualified nurse. His wife also had a similar experience. She narrated how she was embarrassed to tell anyone that she was a graduate because she had to do odd jobs to make a living. The findings of this study are similar to recent research findings on the UK labour market which shows that although migrants are more highly educated than people born in the UK, there are more migrants working in less-skilled jobs than is expected, given their high qualifications (Centre for Economic Performance, 2012). Literature refers to this as brain waste (see Oyelere, 2007). 4.10 LEVEL OF INCOME A critical look at the income levels shows that is only in the US and Ghana where there are people who earn less than USD 10,000 per annum. Table 4.5: Income per Annum (in USD) Income Country UK US Canada Ghana All Countries Less than 10,000 0(0%) 1(2%) 0(0%) 6(15%) 7(5%) 10,000-49,000 7(35%) 13(21%) 2(20%) 10(26%) 32(25%) 50,000-89,000 9(45%) 24(39%) 5(50%) 5(13%) 43(33%) 90,000-129,000 2(10%) 13(21%) 0(0%) 9(23%) 24(18%) 130,000 and above 2(10%) 11(18%) 3(30%) 9(23%) 25(19%) Total 20(100%) 62(100%) 10(100%) 39(100%) 131(100%) Source: Fieldwork, 2012 University of Ghana http://ugspace.ug.edu.gh 96 Qualitative findings indicate that those in the US who earn below USD 10,000 are usually students doing part-time jobs. On the other hand, those earning below USD 10,000 in Ghana are either domestic workers or people who migrated to join their spouses. In most cases, people who migrate to Ghana for family reunification do not necessarily work for money and some even volunteer their services. This is possibly because, apart from the challenge of getting a work permit, their spouses usually have well-paying jobs which cater for most of the family needs. Indeed, there are Kenyans in Ghana who earn as much as USD 130,000 or more per annum. 4.11 COUNTRY OF ORIGIN The leading ten counties where most respondents came from are shown in Figure 4.5. Most respondents are from Nairobi County. This is not surprising since Nairobi is the capital city of Kenya. Figure 4.5: The Ten Leading Counties of Origin Source: Fieldwork Data, 2012 University of Ghana http://ugspace.ug.edu.gh 97 The migrants who participated in the survey are from 36 out of the 47 counties in Kenya as shown in Figure 4.6. Figure 4.6: Map of Kenya Showing the Counties of Origin of Migrants University of Ghana http://ugspace.ug.edu.gh 98 It is clear that the migrants who participated in the study mainly come from the western, central and the southern parts of Kenya. The north and eastern parts of the country do not have any representation in the study. This may influence how the benefits of migration resulting from activities like remittance transfers, return- migration, and savings and investment are distributed in the country. Kenya has only 17 percent of arable land while the rest of the land is semi-arid and arid (Oucho, 2007). Most of the Kenyan population live in the arable land, which is in the western, central and southern parts of the country where the migrants interviewed come from. Qualitative data reveal that most of the respondents who indicated that they are from cosmopolitan counties like Nairobi and Nakuru are second or third generation migrants from other parts of the country. 4.12 REASONS FOR MIGRATING There is a relationship between what led migrants to migrate and maintaining ties with home. The Global Commission on International Migration (GCIM) (2005) talks about three main causes (threes D‘s) of emigration: development, demographics and democracy. The findings of this study show that the exodus of Kenyans to the US, UK, and Canada is mainly motivated by the quest for education (45%). Kenya can benefit from the transfer of skills and technology when such migrants return home after acquiring new skills and higher education from abroad. The other important causes of migration are the search for employment (21%) and better opportunities (21%) (see Table 4.6). The term ‗better opportunities‘ in the context of this study go beyond prospects for better jobs to include better system of government, a higher sense of security, better social facilities, better infrastructure, and other amenities. When University of Ghana http://ugspace.ug.edu.gh 99 migrants earn higher incomes in foreign countries, they can send remittances to Kenya or save and invest there thus contributing positively to the economy of Kenya. Table 4.6: Reasons for Migrating Reason Country of Residence UK US Canada Ghana All Countries Better opportunities 10(23%) 37(29%) 5 (28%) 6(7%) 58(21%) Employment 8 (19%) 11(9%) 2(11%) 36(44%) 57(21%) Studies (self/children/spouse) 19 (44%) 67(52%) 7(39%) 29(35%) 122(45%) Family reunification 3 (7%) 7(5%) 2(11%) 9(11%) 21(8%) Conflict at home 1 (2%) 3(2%) 1(6%) 0(0%) 5(2%) Tourism and Adventure 2(5%) 3(2%) 1(6%) 1(1%) 7(3%) Other 0(0%) 0 (0%) 0(0%) 1(1%) 1(0%) Total 43(100%) 128(100%) 18(100%) 82(100%) 271(100) Source: Fieldwork, 2012 – 13 The survey findings corroborate findings from qualitative research. Nine out of the 11 respondents interviewed in the US said that they migrated in pursuit of education and better opportunities. Genevieve, for instance explained her reasons for migration in the following words: I came here because of better opportunities (both job and education opportunities). I work and my son also works and studies. I am a single mother but God has helped me very much because if you have nothing back home, it is very difficult to take care of your children and the extended family; but now I am able to take care of my family (Genevieve, July 19, 2012; Massachusetts, US). On the other hand, the main reasons that motivated Kenyans to migrate to Ghana are employment (44%) and studies (35%) as demonstrated in Table 4.4 above. As mentioned earlier, most Kenyans working in Ghana had already secured jobs in Ghana before leaving Kenya. Some of them went there on secondment while others were posted to Ghana as expatriates. The few who went to search for jobs in Ghana were mostly accompanying spouses and other dependents. Unlike Kenyans in the other countries, who mostly migrated in pursuit of better opportunities, only 7 percent of Kenyans in Ghana were motivated to migrate by better opportunities. Furthermore, University of Ghana http://ugspace.ug.edu.gh 100 what the Kenyans in Ghana called ‗better opportunities‘ was totally different from Kenyans in the developed countries. The better opportunities referred to by Kenyans in Ghana were mainly investment opportunities and expatriate job positions and not necessarily better amenities. During interviews, most of the Kenyans working in Ghana claimed that they preferred life in Kenya, but Ghana gave them an opportunity to earn expatriate salaries which were better than what they earned in Kenya as local employees. It is also important to note that, although the percentage of those who migrated for studies looks impressively high, qualitative investigation revealed that most of those who migrated for studies were taken to Ghana by one church organization to do theology. Only a few of them went to study other courses. Family reunification is also an important (8%) reason for migrating. 4.12.1 Achievement of Migration Objectives The migrants were asked whether they had achieved their objectives for migrating. This question was answered by 195 respondents; 28 in the UK, 86 in the US, 13 in Canada and 68 in Ghana. Most of the respondents (82%) said they had achieved their objectives for migrating (see Figure 4.7). Figure 4.7: Have You Achieved Your Objective of Migrating? Source: Fieldwork Data, 2012 University of Ghana http://ugspace.ug.edu.gh 101 Canada had the highest percentage of those who had not yet achieved their objectives for migrating (31%), followed by Ghana (22%) and the UK (15%). Most of the people who indicated that they had not achieved their objectives went further to explain that the pursuit of their objectives was in progress. Those who migrated for studies, for instance, explained that they were still pursuing their education. The other reason is probably because the expectations they had before traveling did not match the reality they found at destination. Some people migrated for studies for example, but when they arrived, they discovered that they had to work as well thus stretching the study period longer than anticipated. This is what Danielle a Kenyan living in the US said in response to the question of whether she had achieved her objectives of migrating: I have not yet achieved my objective for migrating; I haven‘t finished my masters yet and this was my objective of coming here. I have got 2 kids; this place is not like Kenya where you have opportunities to get somebody watch over your children. Here they have children control up to the age of 18 years (Danielle, July 23, 2012; Massachusetts, US). 4.13 SUMMARY This chapter gives a detailed account of the demographic factors of the migrants such as sex, marital status, academic background, and age, among others. The reasons for migration are also examined in this chapter. The next chapter will look at participation of the Kenyan transnational migrants in three main transnational activities: return- visits, remittance transfers, and savings and investments. University of Ghana http://ugspace.ug.edu.gh 102 CHAPTER FIVE TRANSNATIONAL ACTIVITIES AND THE CHALLENGES ENCOUNTERED BY THE KENYAN DIASPORA 5.0 INTRODUCTION This chapter discusses the involvement of Kenyan TNMs in return-visits, remittance transfers, and savings and investments. The main thrust in the discourse is how the development potential that result from engaging in these activities can be tapped towards Kenya‘s development. In addition, the challenges faced by the diaspora in their engagement in these transnational activities have also been evaluated. The chapter also discusses how diaspora‘s participation in transnational activities can be influenced by their intention to return to Kenya. Figure 5.1 below shows the migrants‘ transnational interactions between the destination countries and Kenya. 5.1 RETURN-VISITS TO KENYA Although the advancement in information technology makes it easier to maintain contact with home; Skype, Twitter, Facebook, emails, phone calls and all the other modern means of communication cannot replace physical presence in the home country (see O'Flaherty et al, 2007). Studies show that migrant-sending economies benefit immensely from return-visits by their citizens abroad. As the migrants travel home, they take funds and goods with them and can also engage in local tourism or prospect for business (Newland & Tanaka, 2010). A study carried out by Asiedu (2003) shows that Ghanaian migrants who participated in return-visits benefited their home country at individual, community and institutional levels through their donations, expenditures and investments. University of Ghana http://ugspace.ug.edu.gh 103 Figure 5.1: Map of Migrants’ Transnational Interactions between Kenya and Destination Countries Besides the tangible flow of goods and finances associated with return-visits, such visits are a pathway for the transfer of skills and technology, as well as other social remittances like ideas, values and beliefs as well as norms for behaviour acquired in foreign countries to their home countries (Oucho, 2008). Research findings from the study show that most (70%) of the migrants have visited Kenya (see Figure 5.2 below). Canada has the highest (more than 90 percent) number of migrants who have travelled back home. This is probably because unlike Kenyans in the other developed countries, most of whom do not have citizenship or even permanent residence, all the Kenyans in Canada either have citizenship (54%) or permanent residence (46%) (see Table 4.1). This means that they are able to travel to University of Ghana http://ugspace.ug.edu.gh 104 Kenya and back freely without fear of being denied entry back to Canada. It is interesting to note that Ghana has the lowest (60%) percentage of migrants who have visited home. In-depth interviews and focus group discussions in Ghana revealed that most of the migrants who have never travelled back to Kenya are mainly students who cannot afford the high airfares from Ghana to Kenya, but who hope to eventually return home after completing their studies (the studies usually take a maximum of four years). Figure 5.2: Return-visits to Kenya since Migration Source: Fieldwork Data, 2012-13 5.1.1 Motivation for Return-Visits Factors that motivate the migrants to visit Kenya include visiting friends and relatives (VFR), recreation, business, and funerals; among others (see Table 5.1). The leading motivating factor is the desire to visit friends and relatives (VFR) (97%). This is in line with literature‘s earlier extrapolations that VFR tourism is becoming an important form of tourism for the economies where migrants come from (Asiedu, 2003). Return-visits that are motivated by the intention of visiting friends and relatives are referred to as visiting friends and relatives (VFR) tourism (Asiedu, 2003; 2005). According to Asiedu (2005), VFR is one of the major factors that spur tourism together with business and University of Ghana http://ugspace.ug.edu.gh 105 recreation. This is similar to the findings of this study which show that VFR was the leading motivating factor (45%) followed by business (19%) and recreation (18%). Table 5.1: Motivation for Return-visits Variables Country Motivation UK US Canada Ghana All Countries Recreation/leisure/ ecotourism 11(22%) 24(19%) 5(17%) 16(16%) 56(18%) Visiting friends & relatives (VFR) 21(43%) 57(44%) 12(40%) 49(48%) 139(45%) Business engagement 10(20%) 18(14%) 3(10%) 27(26%) 58(19%) Political reasons e.g. voting 1(2%) 2(2%) 0(0%) 2(2%) 5(2%) Funerals 2(4%) 7(5%) 5(17%) 6(6%) 20(6%) Visiting a sick relative 1(2%) 2(2%) 3(10%) 1(1%) 7(2%) Philanthropic reasons 3(6%) 17(13%) 2(7%) 0(0%) 22(7%) Other 0(0%) 2(2%) 0(0%) 2(2%) 4(1%) Total 49(100%) 129(100%) 30(100%) 103(100%) 311(100%) Source: Fieldwork Data, 2012-13 The level of prominence of each factor varied according to the country of residence. For instance, whereas the second most important factor for migrants in the developed countries was recreation/leisure/ecotourism (20%), the second most important factor for Kenyans in Ghana was business engagement (26%). Qualitative findings show that Kenyans living in Ghana are very keen about investing most of their earnings in Kenya, since they have the intention of returning home upon the expiry of their employment contracts. There is even a common joke shared among Kenyans in Ghana: ―we came here to earn, not to spend‖. Business engagement was an important factor for Kenyans in the developed countries as well; the UK (20%), the US (14%) and Canada (10%). Political reasons have a small but significant percentage (2%) of all responses. The main political reason given for traveling home is voting. Logically, one can conclude that very few Kenyans travel to Kenya to vote. Nonetheless, the few numbers may not necessarily imply that Kenyans are apathetic about politics but they may be hindered University of Ghana http://ugspace.ug.edu.gh 106 from travelling by other reasons such as high airfares to Kenya and lack of time (as shown in Figure 5.25 below). Philanthropic reasons like offering medical services, supporting projects like borehole drilling, construction of schools, supporting orphanages and other community development projects have 7 percent of all responses. Funerals on the other hand have 6 percent. During in-depth interviews, the respondents explained that, funerals usually create a greater sense of urgency to travel home to ‗escort the departed‘. This is because, apart from meeting family expectations and obligations of giving a befitting send off to the departed, there is sentimentalism attached to being present at the funeral of a loved one. These findings affirm Mazzucato‘s scholarly work which suggests that participating in funerals is considered very important in Africa and funerals are seen as a crucial rite of passage (Mazzucato, 2005). These findings are set in the transnational framework, where migrants‘ multiple ties with Kenya are predicated on activities such as return visits to friends and relatives and return for business engagement. It is not surprising that the findings show that visiting friends and relatives is the leading motivation for return-visits. 5.1.2 Frequency of Return-visits Kenyans in Ghana who travel to Kenya do so more often than Kenyans in the other countries. Close to 90 percent of Kenyan migrants in Ghana who travel, do so at least once a year (see Table 5.2 below). Similarly, over 50 percent of them travel twice a year and close to 30 percent three or more times in a year. This is such a high frequency of travel by all standards, especially considering the high airfares involved. The high frequency can be partly explained by the findings from qualitative research, which reveal that majority of Kenyans in Ghana are entitled to a paid trip to Kenya (at least once a year) by the organizations that took them to Ghana. This is clearly captured in the following statement given by Keith, one of the Kenyans living in Ghana: ―my work University of Ghana http://ugspace.ug.edu.gh 107 contract entitles me to one travel to Kenya for the duration of a month.‖ Qualitative findings also disclosed that a number of Kenyan expatriates in Ghana were actually employed in Kenya and posted to work in Ghana. They therefore travel to Kenya frequently on work related assignments and they do not therefore bear the cost of travel. Table 5.2: Frequency, Duration of Stay & Entourage of Return-visits to Kenya Variables Country UK US Canada Ghana All Countries Frequency of Travel Three or more times a year 3 (14%*) 1 (2%) 0 (0%) 13 (27%) 17 (13%) Twice a year 3 (14%) 0 (0%) 2 (18%) 13 (27%) 18 (13%) Once a year 11(50%) 9 (17%) 2 (18%) 15 (31%) 37 (27%) Once every two years 3 (14%) 20 (38%) 3 (27%) 6 (12%) 32 (24%) Once every three years 1 (5%) 12 (23%) 1 (9%) 1 (2%) 15 (11%) Very rarely 1 (5%) 11 (21%) 3 (27%) 1 (2%) 16 (12%) Total Responses 22(100%) 53(100%) 11(100%) 49(100%) 135(100%) Length of Stay in Kenya Less than a week 0 (0%) 1 (2%) 0 (0%) 1 (2%) 2 (1%) From one to 3 weeks 7 (32%) 22 (42%) 4 (36%) 27 (53%) 60 (44%) More than 3 weeks to 2 months 13 (59%) 28 (53%) 6 (55%) 19 (37%) 66 (48%) More than 2 months 2 (9%) 2 (4%) 1 (9%) 4 (8%) 9 (7%) Total Responses 22(100%) 53(100%) 11(100%) 51(100%) 137(100%) How many people do you usually travel with to Kenya? Alone 10 (45%) 16 (30%) 5 (50%) 23 (46%) 54 (40%) One 7 (32%) 11 (21%) 0 (0%) 5 (10%) 23 (17%) Two to four 5 (23%) 20 (38%) 3 (30%) 17 (34%) 45 (33%) More than four 0 (0%) 6 (11%) 2 (20%) 5 (10%) 13 (10%) Total Responses 22(100%) 53(100%) 10(100%) 50(100%) 135(100%) Source: Fieldwork, 2012 *Percentage One interesting aspect of such visits is that, although the persons involved may travel to Kenya on official duty, they usually spend a few of their leave days in Kenya for their personal engagements. Some of the important engagements mentioned during interviews include banking and scouting for investments opportunities. This is clearly University of Ghana http://ugspace.ug.edu.gh 108 captured in in the words of Percy, one on the Kenyans in Ghana, as she explained why her husband had stayed in Kenya for longer than usual: My husband travelled to Kenya two weeks ago and although his official engagement was just for the first week, he needed to extend his stay by another week to take care of some family businesses like banking and following up on our investments in Kenya. He is also looking out for any other upcoming investment openings (Percy, October 1, 2012; Accra, Ghana). Close to 80 percent of Kenyans in the UK travel at least once a year. This is different from the US where only about 20 percent travel at least once a year, while over 40 percent travel after three or more years. As will be elaborated later, some of the reasons mentioned by Kenyans in the US for infrequent visits to Kenya are high costs, lack of time due to short duration of leave in the US, and immigration problems. 5.1.3 Duration of Stay during Return-visits When it comes to the duration of stay during return-visits, only a negligible percentage of respondents in all the four countries stay for less than a week. Close to 60 percent of Kenyans living in Ghana stay for less than 3 weeks. This is possibly because, as explained earlier, a number of them travel to Kenya on official duty and therefore cannot stay for long. Predictably, the bulk of migrants in the developed countries (more than 50 percent) stay for 3 weeks to 2 months. The percentage of Kenyan migrants in these countries who stay for only 3 weeks is shockingly high, over 30 percent, especially considering that a number of them take a long time before visiting home. The tendency to make such short visits is perhaps precipitated by pressures of work and lifestyle in destination countries. This is how John, a Kenyan living in the US, described his life in relation to return-visits: …Travelling to Kenya is very costly in many ways especially because of the earning time you lose when you travel, yet when you come back you find a heap of bills waiting for you. My wife and I have decided to be travelling in turns to avoid the shock of finding accumulated bills and also not to stay in Kenya for a long time (John, July 22, Massachusetts, US). University of Ghana http://ugspace.ug.edu.gh 109 5.1.4 Entourage A total of 135 people responded to the question on travel party (entourage). More than half (60%) of the migrants are accompanied during their return-visits. Noticeably, the US has the highest percentage (70%). It is also interesting that more than 30 percent of migrants in the four countries are accompanied by 2 to 4 persons. Similarly, more than ten percent of migrants in the US, Canada and Ghana have an entourage of more than four people. The size of the entourage can impact positively on the home economy since the bigger the entourage, the higher the migrants‘ expenditure in Kenya is likely to be. A chi-square test was done to ascertain the association between frequency of visit and the party of entourage at a significance level of 0.05. The results show that there is no significant association between travel party and frequency of visit (p = 0.651 > 0.05) (see Table 5.3). Table 5.3: Size of Travel Party and Frequency of Visit How many people accompany you on your visit to Kenya? Frequency of visit None One 2 to 4 More than 4 Total Once every 2 or more years 23 9 24 6 62 At least once a year 33 10 24 4 71 Total 56 19 48 10 133 χ2 = 1.006, p = 0. 0.651 Source: Computed from Fieldwork data, 2013 This means that the frequency of visit by Kenyan emigrants to their home country does not depend on the party of entourage that accompanies them on their visit. Thirty seven percent (37%) of the migrants who visit Kenya once every two or more years travel alone whilst 39 percent (representing the majority) are accompanied by two to four persons. Furthermore, the majority (46%) of the respondents who travel to Kenya at least once a year are unaccompanied. However, nearly 34 percent of the migrants travel University of Ghana http://ugspace.ug.edu.gh 110 in the company of two to four persons and only about 6 percent travel in the company of more than four persons. There is not much evidence in the literature that the frequency of visit is affected by the size of travel party, but rather the economic ability of the migrants to travel (O'Flaherty et al, 2007). 5.1.5 The Last Return-visit to Kenya In order to have a better assessment of the benefits of return-visits to Kenya, the respondents were asked several questions about their last return-visit to Kenya. Over sixty percent (60%) of Kenyans in the UK and Ghana had visited Kenya in the last one year. Figure 5.3: When the Last Return-visit to Kenya took Place Source: Fieldwork data, 2012-2013 This is very different from those in the US and Canada where only over 20 percent of them had travelled to Kenya over the same period. Nevertheless, more than 40 percent of the respondents from US and Canada had made return-visits in the last 1 to 2 years. Notably, more than 10 percent of the Kenyans in the US had not travelled home for seven or more years. Qualitative research findings divulge that the long stay without traveling home is mostly a consequence of immigration problems. During in-depth University of Ghana http://ugspace.ug.edu.gh 111 interviews the respondents explained that most Kenyans in the US travel back to Kenya in the first few years of their arrival, before the expiry of their visas (which last between two and five years). This is because they are usually unable to travel after the expiry of their visas and it is extremely difficult to renew their visas or even to get permanent residence. The lowest airfare paid as shown in Table 5.4 was Kes 51,000, while the highest was Kes 551,000. Qualitative research findings show that the amounts spent on airfares were dependent on the country of residence and the entourage. More than 80 percent of Kenyans living in the UK paid the lowest airfares of between Kes 51,000 and Kes 150,000. Over 50 percent of respondents from the other countries were also in the same range. Since both Ghana and Kenya are in the same continent, it is logical to expect that fares between the two countries should be lower than fares to and from the other three countries. Nonetheless, this is not the case. More than 40 percent of Kenyans in Ghana paid between Kes 151,000 and over Kes 551,000 in their last visit to Kenya. Despite the high fares paid by Kenyans in Ghana, qualitative research findings reveal that most Kenyans in Ghana travel to Kenya by Kenya Airways, unlike their counterparts in the other countries. This means that much of the revenue from such travels remains in Kenya unlike the revenue from travels from the developed countries which is usually leaked out of the Kenyan economy. Domestic fares ranged from below Kes 10,000 to more than Kes 100,000, depending on the distance travelled within the country and the entourage. Close to 50 percent of Kenyans in the US and about 30 percent of Kenyans in Ghana spent more than Kes 51,000 on domestic travel. Unlike international travel where most of the airfares are paid to multinational companies, earnings from domestic travel are not leaked out of the Kenyan economy since the means of transport used is usually owned domestically. University of Ghana http://ugspace.ug.edu.gh 112 Table 5.4: Airfare, Domestic travels, Accommodation, & Meals & drinks Variables (in Kes*) Country of Residence UK US Canada Ghana All Countries Airfare  51,000 - 150,000 14 (82%*) 23 (52%) 6 (55%) 25 (57%) 68 (59%) 151,000 - 250,000 2 (12%) 9 (20%) 1 (9%) 9 (20%) 21 (18%) 251,000 – 350,000 0 (0%) 5 (11%) 0 (0%) 2 (5%) 7 (6%) 351,000 – 450,000 0 (0%) 1 (2%) 0 (0%) 2 (5%) 3 (3%) 451,000 – 550,000 0 (0%) 4 (9%) 0 (0%) 3 (7%) 7 (6%) 551,000 & above 1 (6%) 2 (5%) 4 (36%) 3 (7%) 10 (9%) Total Responses 17(100%) 44(100%) 11(100%) 44(100%) 116(100%) Domestic travels 10,000 & Below 5(29%) 9(23%) 1 (10%) 5(17%) 20 (21%) 11,000 - 30,000 6(35%) 10(26%) 4(40%) 9 (30%) 29(30%) 31,000 – 50,000 3(18%) 2(5%) 3(30%) 6 (20%) 14(15%) 51,000 – 70,000 1 (6%) 3(8%) 1(10%) 1 (3%) 6(6%) 71,000 – 90,000 0 (0%) 3(8%) 0 (0%) 2(7%) 5(5%) 91,000 – 100,000 1 (6%) 6(15%) 0 (0%) 2(7%) 9(9%) 101,000 & Above 1 (6%) 6(15% 1 (10%) 5(17%) 13 (14%) Total 17(100%) 39(100%) 10(100%) 30(100%) 96(100%) Rented Accommodation None 7 (58%) 8(27%) 1(20%) 7 (37%) 23 (35%) 10,000 & Below 1 (8%) 4(13%) 2(40%) 0(0%) 7 (11%) 11,000- 30,000 2(17%) 3(10%) 1(20%) 3(16%) 9(14%) 31,000 – 50,000 0(0%) 5(17%) 0(0%) 3(16%) 8(12%) 51,000 – 70,000 0(0%) 1(3%) 0(0%) 0(0%) 1(2%) 71,000 – 90,000 0(0%) 0(0%) 1(20%) 1(5%) 2(3%) 91,000 – 110,000 1 (8%) 4(13%) 0(0%) 1(5%) 6(9%) 111,000 & Above 1 (8%) 5(17%) 0(0%) 4(21%) 10(15%) Total 12(100%) 30(100%) 5(100%) 19(100%) 66(100%) Meals & drinks None 2(15%) 1 (3%) 0(0%) 0(0%) 3(4%) 10,000 & Below 2(15%) 4(11%0 3(27%) 4(17%) 13(16%) 11,000- 30,000 6(46%) 13(37%) 4(36%) 6(25%) 29(35%) 31,000 – 50,000 3(23%) 5(14%) 3(27%) 7(29%) 18(21%) 51,000 – 70,000 0(0%) 1 (3%) 0(0%) 2(8%) 3(4%) 71,000 – 90,000 0(0%) 3 (9%) 1(9%) 0(0%) 4(5%) 91,000 – 110,000 0(0%) 1 (3%) 0(0%) 1(4%) 3(4%) 111,000 & Above 0(0%) 7 (20%) 0(0%) 4(17%) 11(13%) Total 13(100%) 35(100%) 11(100%) 24(100%) 84(100%) Source: Fieldwork, 2012-13 *Kes (Kenya shillings). Kes 86 = 1 USD (the exchange rate at the time of the research) University of Ghana http://ugspace.ug.edu.gh 113 Expenditure on rented accommodation is another important aspect of return-visits. An average of 65 percent of the visiting migrants stayed in rented accommodation during their return-visits. About 10 percent of these migrants spent between Kes 51,000 and Kes 110, 000 on accommodation. Remarkably, around 20 percent of migrants visiting from the US and Ghana spent over Kes 111,000 on rented accommodation. Another important expenditure incurred by migrants is meals and drinks. Apart from the UK (15%) and US (3%), all the other migrants spent varying amounts of money on meals and drinks. Migrants from Ghana and the US (20%) spent more on meals and drinks compared to their counterparts in the UK and Canada. Around 20 percent of the migrants from the US and Ghana spent Kes 111,000 or more on meals and drinks. The highest amount that migrants from the UK spent on meals and drinks was Kes 50,000 and the highest spent by migrants from Canada was Kes 90,000. The migrants also spent money on souvenir/handicraft purchases during their visits. Close to 90 percent of the migrants bought souvenirs/handicraft in the last return-visit. Some of the migrants spent as much as Kes 111,000 on these items. For instance, around 60 percent of migrants from Ghana and the US spent Kes 111,000 and more on souvenirs/ handicraft. The purchase of souvenirs/handicrafts can lead to the promotion of tourism as well as the exportation of Kenyan culture to the country of residence. Most (95%) of the migrants also gave monetary gifts to family and friends when they visited Kenya. An average of 16 percent of migrants gave as much as Kes 110,000 in monetary gifts. Irrespective of whether these monies are used for investments or not, the monetary gifts benefit the economy of Kenya either directly or indirectly (see Taylor, 2006). Furthermore, the monies can improve the standard of living of the recipients even when used for subsistence. University of Ghana http://ugspace.ug.edu.gh 114 More than 20 percent of migrants in the US, Canada and Ghana spent Kes 651,000 in their last return visit to Kenya. Interestingly, while only about 10 percent of migrants in the US, Canada and Ghana spent between 51,000 and 150,000, the percentage of migrants from the UK who spent this range of money was double this number. Table 5.5: Souvenirs/handicraft, Monetary Gifts & Total Expenditure Variables (in Kes*) Country of Residence UK US Canada Ghana All Countries Souvenirs/handicraft None 3(27%) 2(6%) 0(0%) 4(20%) 9(13%) 10,000 & Below 3(27%) 11(35%) 5(56%) 4(20%) 23(32%) 11,000- 30,000 3(27%) 8(26%) 3(33%) 7(35%) 21(30%) 31,000 – 50,000 0(0%) 4(13%) 0(0%) 4(20%) 8(11%) 51,000 – 70,000 0(0%) 1(3%) 0(0%) 1(5%) 2(3%) 71,000 – 90,000 0(0%) 1(3%) 1(11%) 0(0%) 2(3%) 91,000 – 110,000 1(9%) 3(10%) 0(0%) 0(0%) 4(6%) 111,000 & Above 1(9%) 1(3%) 0(0%) 0(0%) 2(3%) Total 11(100%) 31(100%) 9(100%) 20(100%) 71(100%) Monetary gifts to people None 1(7%) 2(5%) 0(0%) 1(4%) 4(5%) 10,000 & Below 1(7%) 7(19%) 1(11%) 1(4%) 10(12%) 11,000- 30,000 4(29%) 8(22%) 3(33%) 4(15%) 19(22%) 31,000 – 50,000 3(21%) 5(14%) 1(11%) 9(33%) 18(21%) 51,000 – 70,000 0(0%) 0(0%) 1(11%) 0(0%) 1(1%) 71,000 – 90,000 2(14%) 6(16%) 0(0%) 2(7%) 10(12%) 91,000 – 110,000 2(14%) 2(5%) 1(11%) 6(22%) 11(13%) 110,000 & Above 1(7%) 7(19%) 2(22%) 4(15%) 14(16%) Total 14(100%) 37(100%) 9(100%) 27(100%) 87(100%) Total Expenditure 51,000-150,000 3(23%) 2(6%) 1(11%) 3(11%) 9(11%) 151,000- 250,000 4(31%) 8(22%) 1(11%) 7(25%) 20(23%) 251,000 – 350,000 0(0%) 5(14%) 2(22%) 5(18%) 12(14%) 351,000 – 450,000 5(38%) 3(8%) 1(11%) 3(11%) 12(14%) 451,000 – 550,000 1(8%) 7(19%) 0(0%) 2(7%) 10(12%) 551,000 - 650,000 0(0%) 3(8%) 1(11%) 1(4%) 5(6%) 651,000 and Above 0(0%) 8(22%) 3(33%) 7(25%) 18(21%) Total 13(100%) 36(100%) 9(100%) 28(100%) 86(100%) Source: Fieldwork, 2012-13 *Kes (Kenya shillings). Kes 86 = 1 USD (the exchange rate at the time of the research) University of Ghana http://ugspace.ug.edu.gh 115 It is clear that Kenyan migrants spent huge amounts of money during their return-visits. The expenditure incurred by these migrants; whether on travel, accommodation, meals and drinks or souvenir/handicrafts; injects money into the economy. Apart from generating revenue directly to the businesses involved in offering these services, the multiplier effects of these expenditures could be very substantial to the Kenyan economy. For instance, businesses involved in providing these services to the migrants pay taxes to the government based on their returns, thus increasing government revenue. Another possible effect of these visits is job creation in the various sectors involved. 5.1.6 Factors that influence Migrants’ frequency of visit to Kenya Table 5.6 is a cross-tabulation of the dependent variable, frequency of visits to Kenya, and independent variables. The Table also shows the result of the chi-square analyses that were done to ascertain the significant associations between the dependent variable and the independent variables. The chi-square analysis shows that area of expertise (χ2 = 10.387, p = 0.016) and migrants‘ intention to return permanently (χ2 = 7.290, p = 0.007) have a positive association with migrants‘ frequency of visit. These findings can be linked to the feedback element of the systems theory where migrants may want to visit home more frequently in preparation for their eventual return. Migrants‘ areas of expertise were categorized into business, health, community service and education/IT. Higher proportions (68%) of the migrants who are business experts visit Kenya at least once in a year compared to 33 percent in the case of migrants who are health professionals. Also, more migrants (54%) who work as community/social experts visit Kenya at least once a year as compared to 41 percent in the case of Education/IT experts. Similarly, nearly 55 percent of those who intend to return to Kenya visit Kenya at least once a year, whereas only 15 percent of those who do not intend to return visit University of Ghana http://ugspace.ug.edu.gh 116 Kenya at least once a year. On the contrary, there is a negative association between the presence of dependents at destination (χ2 = 3.982, p = 0.046) and migrants‘ frequency of visit. A higher proportion (63%) of migrants who do not have dependents at the destination visit Kenya at least once a year as compared to 44 percent in the case of migrants who have dependents at the destination. Table 5.6: Test of Association between Independent Variables & Migrants’ Frequency of Visit Frequency of visits to Kenya Variables Once every 2 or more years At least once a year Total % Total N Sex Female 44.6 55.1 100.0 74 Male 53.2 46.8 100.0 62 Total N 66 70 - 136 χ2 = 1.006 p = 0.316 df = 1 Marital status Not married 45.7 54.3 100.0 46 Currently married 48.9 51.1 100.0 88 Total N 64 70 - 134 χ2 = 0.725 p = 0.724 df = 1 Employment status Student 40.0 60.0 100.0 10 Employed 49.2 50.8 100.0 122 Total N 64 68 - 132 χ2 = 0.312 p = 0.577 df = 1 Academic Background Primary/High Sch./Tech. 65.0 35.0 100.0 20 Bachelors 45.3 54.7 100.0 53 Masters/PhD 46.8 53.2 100.0 62 Total N 66 69 - 135 χ2 = 2.464 p = 0.292 df = 2 Area of expertise Business 31.9 68.1 100.0 47 Health 66.7 33.3 100.0 30 Community service 46.2 53.8 100.0 26 Education and IT 58.6 41.4 100.0 29 Total N 64 68 - 132 χ2 = 10.387 p = 0.016* df = 3 Residence status Temporary residence 27.8 72.2 100.0 18 University of Ghana http://ugspace.ug.edu.gh 117 Frequency of visits to Kenya Variables Once every 2 or more years At least once a year Total % Total N Permanent residence 50.4 49.6 100.0 113 Total N 62 69 - 131 χ2 = 3.199 p = 0.074 df = 1 Annual Income Less than $10000 42.9 57.1 100.0 14 $15000 and above 52.1 47.9 100.0 94 Total N 55 53 - 108 χ2 = 0.419 p = 0.517 df = 1 Dependents at destination No 37.5 62.5 100.0 48 Yes 55.8 44.2 100.0 77 Total N 61 64 - 125 χ2 = 3.982 p = 0.046* df = 1 Intention to Return No 84.6 15.4 100.0 13 Yes 45.0 55.0 100.0 111 Total 61 63 - 124 χ2 = 7.290 p = 0.007* df = 1 Knowledge of Vision 2030 No knowledge 57.9 42.1 100.0 38 Knowledgeable 43.9 56.1 100.0 57 Total N 47 48 - 95 χ2 = 1.797 p = 0.180 df = 1 Source: Computed from Fieldwork data, 2013 * Significant association p< 0.05 All the other independent variables; sex, marital status, employment status, academic background, residence status, annual income and knowledge of Vision 2030 had no significant association with migrants‘ frequency of visits. Literature seems to suggest that the probability of men participating in transnational activities like return-visits is higher than that of women. This is because women integrate better in their host countries than men (Taylor, 2006) and are therefore more committed to participating in life at destination. Men on the other hand are keen to maintain public and institutionalized ties with their country of origin since they find it more difficult to integrate (Itzigsohn & Giorguli-Saucedo, 2005). However, in this study, chi-square University of Ghana http://ugspace.ug.edu.gh 118 tests show that there is no significant association between a migrant‘s sex and frequency of visit to Kenya (χ2 = 1.006, p = 0.316). About 55 percent of the female respondents visit Kenya at least once a year compared to about 53 percent of the male respondents. Similarly, the chi-square results show no relationship between marital status and the frequency of visit (χ2 = 0.725, p = 0.724). This means the marital status of migrants does not influence the frequency of their visit to Kenya. The cross-table shows that a little over 50% of migrants who are currently married visit Kenya at least once a year. Similarly about 54% of those who are not married visit Kenya at least one a year. 5.1.7 Logistic Regression on Frequency of visit to Kenya A logistic regression analysis was performed through SPSS Binary logistic to assess the frequency of visit to Kenya (dependent variable) as a function of the migrant‘s area of expertise, availability of dependents at the destination, and the intention of the migrant to return to Kenya permanently. The choice of these independent variables was informed by the result of the chi-square test of association (Bursac et al, 2008, Ofori & Dampson, 2011) which showed that each of these independent variables had a significant association with migrants‘ frequency of visits to Kenya. The binary logistic regression is premised on the following assumptions: 1. Logistic regression does not assume a linear relationship between the dependent and independent variables. 2. The dependent variable must be a dichotomy (two categories). 3. The categories (groups) must be mutually exclusive and exhaustive; a case can only be in one group and every case must be a member of one of the groups. University of Ghana http://ugspace.ug.edu.gh 119 4. Larger samples are needed than for linear regression because maximum likelihood coefficients are large sample estimates. A minimum of 50 cases per predictor is recommended. The logistic regression model: Let p be the probability that a Kenyan migrant will make return-visits to Kenya then logit (p) = log [p/1-p] where p/1-p is the odds ratio in respect of the dependent variable. The form of the logistic regression is thus given as: Logit [p(x)] = = β0 + β1X1 + β2X2 + β3X3 + β4X4 + ............ + βnXn for n independent variables. In the regression model, β0 is the regression constant whereas β1, β2, ...... βn are the partial regression coefficients in respect of the predictor variables X1, X2, X3 ..... Xn respectively. The hypothesis is as follows: H0: All the coefficients in the regression equation take the value zero which implies non-significance. H1: The coefficients in the regression equation differ significantly from the null of zero. University of Ghana http://ugspace.ug.edu.gh 120 Table 5.7: Binary Logistic Regression Analysis of Socio-demographic Characteristics and Frequency of Visits Independent Variables Coefficients Standard Error Significance Degrees of Freedom Odd ratios Intention to Return No (Base Category) Yes 1.719 0.867 0.047* 1 1.000 5.587 Dependents at destination No (Base Category) Yes -1.003 0.445 0.024* 1 1.000 0.367 Expertise Business(BC) Health Community service Education and IT -1.322 -0.882 -1.055 0.550 0.576 0.563 0.016* 0.125 0.061 1 1.000 0.266 0.414 0.348 Constant -0.150 0.907 0.869 1 0.861 Source: Author‘s Construct, 2013 BC means base Category * Significant association p< 0.05 Result of the logistics regression analysis: A test of the full model with the predictors against a constant only model was statistically significant ( 2 = 18.044, p = 0.002). However, the Nagelkerke R Square of 0.200 shows that only about 20 percent of the variation in the dependent variable is explained by the set of predictors. It can be inferred from the results that having dependents at the destination significantly influences the frequency of visit to Kenya at 95 percent confidence level. The negative regression coefficient implies that there is a negative relationship between having dependents at the destination and the frequency to visit Kenya. The presence of migrants at the destination decreases a migrant‘s frequency of visit to Kenya. The odd ratios show that migrants who do not have dependents at the destination are about 36 percent more likely to visit Kenya at least once a year as compared to those who have dependents at the destination. The logistic regression also shows that migrants‘ intention to return significantly influences the University of Ghana http://ugspace.ug.edu.gh 121 frequency of visits to Kenya. The odd ratios show that migrants who have the intention to return are about 6 times as likely to visit Kenya at least once a year as compared to their counterparts who do not have the intention to return to Kenya. 5.1.8 Factors that can Enhance Return-visits and Tourism The following factors (as shown in Figure 5.4) were suggested by the survey respondents as some of the factors that can enhance the participation of the diaspora in return-visits and tourism in Kenya. About a tenth (19%) of the responses proposes reduction of airfares as a way of boosting return-visits to Kenya. The explanation is that this would not only increase the frequency of visits, but would also make it possible for the migrants to increase their entourage. In addition, migrants would be able to save for domestic tourism and other expenditures in Kenya like gifts (both material and monetary) and other items. The other prominent factors mentioned are improvement of transport and infrastructure and security, each with 14 percent. University of Ghana http://ugspace.ug.edu.gh 122 Figure 5.4: Factors that can Enhance Return-visits & Tourism Source: Fieldwork, 2012 - 13 Integrity and accountability (10%), together with reduction of costs (10%) (excluding airfares), were also mentioned as important factors in encouraging return-visits and tourism. The other factors which migrants considered as important in enhancing return visits are amendment of immigration laws; increasing the number of leave days; good governance and civic education – which had 6 percent each. The migrants explained that good governance would help to reduce social vices like insecurity and corruption, whereas civic education would help families of migrants to understand migration issues and therefore tone down their unrealistic expectations and demands that scare aware family members from visiting home. The respondents also suggested subsidized accommodation rates, tourism fees and other local rates as a way of reducing the costs incurred during return-visits and tourism. They were also optimistic that if the rule of law is upheld, it would boost confidence in systems at home and act as a motivation for them to visit home more University of Ghana http://ugspace.ug.edu.gh 123 often. Modernization of traffic rules was also suggested as a way of curbing careless driving. The last factor fronted by the diaspora is improvement of consular services in order to improve and simplify accessibility of important services like visa applications for Kenyans who have acquired other nationalities and/or their spouses. These social, economic and political factors mentioned by the migrants can be explained within the remit of systems theory. Systems theory expounds that structures, policy linkages and processes at both the origin and destination countries can influence migrants‘ transnational interactions. It also mentions the importance of social, cultural, economic and institutional interactions in influencing transnational interactions (Collinson, 2009; Bakewell, 2013). 5.2 REMITTANCES Remittances, according to Ratha et al (2011:47) are ―the central and most tangible link between migration and development.‖ A substantial amount of remittances are spent on human and physical capital investments like education, health, land housing, and business ventures, among others. Remittances are also associated with poverty reduction (Ratha et al, 2011; Quartey, 2006a). The large size and stability of remittances make them significantly beneficial to African countries (Quartey, 2006b; Ratha et al; 2011). This in effect, ameliorates the creditworthiness and capital access of the recipient countries (Ratha et al, 2011). 5.2.1 Those that send Financial Remittances Kenyans living in the UK, US, Canada and Ghana were asked whether they send financial remittances to Kenya. A total of 176 respondents answered the question on whether they send remittances to Kenya: UK (25), US (72), Canada (12) and Ghana (67) (see Figure 5.5). University of Ghana http://ugspace.ug.edu.gh 124 Figure 5.5: Sending Money to Kenya Source: Fieldwork Data, 2012-13 A vast majority (81% of the migrants) send remittances to Kenya. A country by country analysis of the data discloses that the US has the highest number of remitters (93%), followed by the UK (84%); while the third highest number of remitters were in Canada (75%). Kenyans in Ghana are the lowest remitters (69%), and yet this is still quite a high percentage. 5.2.2 Remitting Goods to Kenya The percentage of migrants who send goods to Kenya is very low (20%) compared to the percentage of those who remit money (81%) (see Figures 5.5 and 5.6). Nevertheless, the fact that a fifth (20%) of the migrants sends goods to Kenya is noteworthy. This consists of a quarter (25%) of the migrants from the UK and the US, and 15 and 9 percent from Ghana and Canada respectively. University of Ghana http://ugspace.ug.edu.gh 125 Figure 5.6: Sending Goods to Kenya Source: Fieldwork Data, 2012-13 5.2.3 Annual Financial Remittances Around 60 percent of Kenyans in the developed countries and 31 percent of Kenyans in Ghana send below USD 5000. Remarkably, almost a quarter of Kenyans in the UK (23%) and the US (26%); and a third (33%) of those in Ghana send between USD 5,000 and 15,000 per annum. Similarly, close to a tenth (8%) of the remitters send between USD 16,000 and 25,000 annually, while 7 percent remit USD 55,000 and above per year. Correspondingly, close to a quarter (23%) of the migrants in Ghana send between USD 16,000 and 55,000, whereas 13 percent send USD 55,000 and above. Table 5.8: Annual Financial Remittances (in USD) Variables Country of Residence UK US Canada Ghana All Countries Below 5,000 8 (62%) 32(62%) 3 (60%) 12(31%) 55(51%) 5,000 - 15,000 3(23%) 14(26%) 0(0%) 13(33%) 29(27%) 16,000 - 25,000 1 (8%) 4(8%) 0(0%) 4(10%) 9(8%) 26,000 - 35,000 0(0%) 0(0%) 0(0%) 2(5%) 2(2%) 36,000 - 45,000 0(0%) 1(2%) 0(0%) 1(3%) 2(2%) 46,000 - 55,000 0(0%) 0(0%) 1(20%) 2(5%) 3(3%) 55,000 & above 1(8%) 1(2%) 1(20%) 5(13%) 8(7%) Total Responses 13(100%) 52(100%) 5(100%) 39(100%) 109(100%) Source: Fieldwork Data, 2012-13 University of Ghana http://ugspace.ug.edu.gh 126 5.2.4 Hindrances to Financial Remittances Most (55%) non-remitting migrants attribute it to lack of sufficient funds to send (see Figure 5.7). Similarly, a fifth (21%) said their main hindrance was lack of sufficient information on available channels of transferring finances. This complaint was reiterated during in-depth interviews in Ghana. Joslyn lamented that she had not been able to send money to Kenya despite her desire to do so: I have not been able to send money to Kenya since I came here because here, I don‘t think you can send money out, you can only do it through the banks. Western Union doesn‘t do it. I have tried. But we (my husband and I) have accounts in Kenya that we use to support family in Kenya (Joslyn, October 15, 2012; Accra, Ghana). The issue of lack of information about channels of transferring money was repeated by Keith, another Kenyan based in Ghana: ―information about sending money for foreigners is not clear and needs to be clarified.‖ The other reasons mentioned include high transfer costs (3%). It is interesting to note that 10 percent of the migrants indicated that the reason they do not send money to Kenya is because their employers send their salaries directly to Kenya. This was limited to Kenyans in Ghana. Benjamin, a Kenyan in Ghana explained this unique arrangement by saying: ―since I work for a German company, my salary is paid directly from Germany to Kenya. I transfer what I need to Ghana instead.‖ Apart from the hindrances mentioned above, a tenth (10%) of the migrants stated categorically that they do not feel the need to send anything to Kenya. All these responses were from migrants in the UK and the US. In-depth interviews in the US revealed that such sentiments were very unusual and usually limited to a few Kenyans who have acquired the citizenship of the destination country. Such people have managed to take their immediate families to the host country and therefore feel well integrated there. University of Ghana http://ugspace.ug.edu.gh 127 Figure 5.7: Hindrances to Sending Financial Remittances Source: Fieldwork, 2012 - 13 5.2.5 Factors that influence Remittance Decision Both theoretical and empirical literature gives attention to socio-demographic characteristics as important factors in influencing the remittance behaviour of migrants. Chi-square tests of association were carried out to ascertain whether there is an association between remitting and each of the following independent variables; sex, marital status, academic background, area of expertise, residence status, employment status, annual income, dependents at destination, frequency of return visits, intention to return, and knowledge of Kenya‘s Vision 2030. Respondents were asked to indicate whether they send remittances to relatives in Kenya or they do not. Table 5.9 is a cross-tabulation of the dependent variable (remittance decision) and the independent variables. The table also shows the result of the chi-square analyses that were done to ascertain the significant associations between the dependent variable and the independent variables. The findings show a positive association between marital status and the likelihood of remitting. This means that the marital status of migrants influences their decision to send remittances (χ2 = 23.295, p = 0.000). An overwhelming majority (94%) of the married migrants send remittances. However, 65 University of Ghana http://ugspace.ug.edu.gh 128 percent of the unmarried migrants send remittances. Literature shows that married migrants with families back home are more likely to send remittances than the unmarried migrants. However, the commitment to send remittances goes down when family members join them in their host countries (IOM, 2006). Similarly, a migrant‘s academic background is positively correlated with remittance decision (χ2 = 27.976, p = 0.000). A higher proportion (91%) of migrants who have bachelor degrees send remittances as compared to those (53%) who have only Primary, High School or Technical School certificates. Again, the proportion of migrants who have Masters/PhD degrees who send remittances is higher (88%) compared to those with only Primary, High School or Technical School certificates. Table 5.9: Test of Association between Independent Variables and Remittance Decision Remittance Decision Send remittances Do not send remittances Total % Total N Sex Female 85.1 14.9 100.0 87 Male 77.5 22.5 100.0 89 Total N 143 33 - 176 χ2 = 1.637 p = 0.201 df = 1 Marital status Not married 64.9 35.1 100.0 77 Currently married 93.8 6.2 100.0 97 Total N 141 33 - 174 χ2 = 23.295 p = 0.000* df = 1 Academic Background Primary/High Sch./Tech. 52.5 47.5 100.0 40 Bachelors 91.0 9.0 100.0 67 Masters/PhD 88.2 11.8 100.0 68 Total N 142 33 - 175 χ2 = 27.976 p = 0.000* df = 2 Area of expertise Business 88.7 11.3 100.0 53 Health 90.2 9.8 100.0 41 Community service 78.8 21.2 100.0 33 Education and IT 87.1 12.9 100.0 31 University of Ghana http://ugspace.ug.edu.gh 129 Remittance Decision Send remittances Do not send remittances Total % Total N Total N 137 21 - 158 χ2 = 2.424 p = 0.489 df = 3 Residence status Temporary residence 52.8 47.2 100.0 36 Permanent residence 89.8 10.2 100.0 128 Total N 134 30 - 164 χ2 = 25.827 p = 0.000* df = 1 Annual Income Less than $10000 81.0 19.0 100.0 21 $15000 and above 92.7 7.3 100.0 109 Total N 118 12 - 130 χ2 = 3.969 p = 0.137 df = 1 Dependents at destination Yes 90.7 9.3 100.0 86 No 69.3 30.7 100.0 75 Total N 130 31 - 161 χ2 = 11.761 p = 0.001* df = 1 Frequency of return visits Once in at least two years 87.9 12.1 100.0 66 At least once a year 91.3 8.7 100.0 69 Total N 121 14 - 135 χ2 = 0.426 p = 0.514 df = 1 Intention to Return Yes 86.0 14.0 100.0 136 No 68.4 31.6 100.0 19 Total N 130 25 - 155 χ2 = 3.821 p = 0.087 df = 1 Knowledge of Vision 2030 No knowledge 89.8 10.2 100.0 49 Knowledgeable 79.4 20.6 100.0 73 Total N 102 20 - 122 χ2 = 2.289 p = 0.130 df = 1 Source: Computed from Fieldwork data, 2013 * Significant association p< 0.05 These findings confirm a growing body of evidence in literature that shows that there is an association between level of education and remitting behaviour (Bollard et al, 2009; Ghosh, 2006). Ghosh explains that rich and educated migrants can be an important University of Ghana http://ugspace.ug.edu.gh 130 source of remittances to their countries of origin if they are attracted by business opportunities at home (Ghosh, 2006). There is also a significant association between residence status and the decision to remit. Overwhelming proportions (90%) of migrants who have permanent residence status at the destination send remittances as compared to 53 percent of those who have temporary residential status. Consequently, the chi-square analysis showed that there is a significant association between residence status and remittance decision (χ2 = 25.827, p = 0.000). This corroborates literature which says that the legal status of migrants can have a profound impact on their ability to send remittances (IOM, 2004b; O‘Neil, 2003). According to IOM, legal migrants have access to better opportunities in the labour market and education systems and this translates to higher incomes and better access to formal ways of sending remittances. Such opportunities are not available to people who do not have legal migration status (IOM, 2004b). O‘Neil (2003) however, explains that although legal migration status may increase the remittances sent by migrants in the short run as a result of higher earnings, the remittances may decrease in the long-run as the migrants get more integrated in the host countries. According to Bloch (2008), legal migrants are more than six times as likely to send remittances as other migrants. The likelihood of migrants with higher education and those with permanent resident status to remit can be explained by the systems theory which highlights the importance of structures, institutions and social and economic conditions in shaping transnational interactions (Bakewell, 2013; Collinson, 2009; King, 2012). The study reveals a negative association between the presence of dependents at destination with the likelihood of remitting. Overwhelming proportions (91%) of the migrants who do not have dependents send remittances, compared to 69 percent of University of Ghana http://ugspace.ug.edu.gh 131 those who have dependents at the destination. It is therefore not surprising that the chi- square analysis shows that there is a significant association between having dependents and remittance decision (χ2 = 11.761, p = 0.001). This suggests that migrants who do not have dependents at the destination are more likely to send remittances than those who have dependents. This is probably because those without dependents at destination may have dependents in Kenya that need their support and therefore may be more obliged to send money to them. The following variables do not show any significant association with migrants‘ decision to remit; sex, area of expertise, annual income, frequency of return-visits, migrant‘s intention to return, and migrants‘ knowledge of Kenya‘s Vision 2030. The chi-square results for sex in respect to sending remittances are (χ2 = 1.637, p = 0.201). About 85 percent of the female respondents and nearly 78 percent of the male respondents send remittances. There are differing views in literature as far as gender and remitting behaviour is concerned. Theoretical literature indicates that ―women are better remitters than men‖ (Bollard et al 2009:12), but empirical literature suggests that globally, there is no difference in the remitting behaviour of men and women (Bollard et al, 2009; IOM, 2004b). Migrants‘ areas of expertise were categorized into Business, Health, Community service and Education/IT. More than 75 percent of migrants in each of these categories send remittances. On the other hand, the annual income of the migrants was categorized into two: those who earn a yearly income of less than $10,000; and those who earn a yearly income of USD 15,000 and more. The chi-square results testing the association between annual income and remittance decision are (χ2 = 3.969, p = 0.137). This means the annual income of a Kenyan migrant does not influence the decision to send remittances. More than 80 percent of migrants in each income category send University of Ghana http://ugspace.ug.edu.gh 132 remittances. This is contrary to the findings of Bollard et al (2009) which show that migrants who earn higher incomes send more remittances. It is logical to expect that migrants who visit Kenya more often are more likely to send remittances than those who go to Kenya rarely. This is because those who travel home frequently are likely to have more information on the investment opportunities at home, become more aware of family needs. Nevertheless, the study shows no relationship between frequency of return-visits and remittance decision. The chi-square test of association between frequency of visits and remittance decision (χ2 = 0.426, p = 0.514). Comparatively, higher proportions (91%) of migrants who visit Kenya at least once a year send remittances relative to those (88%) who visit Kenya once in at least two years. The intention to return is also expected to have some influence on the likelihood to remit. Literature suggests that migrants who intend to return permanently are more likely to engage in transnational activities like sending remittances in preparation for their return (Adepoju, 2010; Cassarino, 2004). Nonetheless, although the cross-table reveals that a higher proportion (86%) of migrants who have the intention to return send remittances as compared to those (68%) who do not intend to return, the chi- square analysis shows that there is no association between a migrant‘s intention to return and remittance decision (χ2 = 3.821, p = 0.087). This suggests that a migrant‘s intention to return does not influence remittance decision. Since the study is about how the Kenyan transnational migrants can contribute towards the achievement of Kenya‘s Vision 2030, it was important to find out whether there was any association between the migrants‘ knowledge of Kenya Vision 2030 with their likelihood to remit. The respondents‘ knowledge of Kenya‘s Vision 2030 was University of Ghana http://ugspace.ug.edu.gh 133 categorized into those who have no idea about Kenya‘s Vision 2030 and those who knew about Kenya‘s Vision 2030. The cross-table shows that more than 75 percent of migrants in each of the categories send remittance. The chi-square analysis shows that there is no significant association between a migrant‘s knowledge of Kenya‘s Vision 2030 and remittance decision (χ2 = 2.289, p = 0.130). 5.2.6 Logistic Regression of remittances versus independent variables A logistic regression analysis was performed through SPSS Binary logistic to assess prediction of a Kenyan migrant‘s decision to remit as a function of whether migrants have dependents at the destination, academic background, residence status and marital status. The choice of these independent variables was informed by the result of the chi- square test of association (Bursac et al, 2008; Ofori & Dampson, 2011) which showed that each of the independent variables has a significant association with migrants‘ decision to send remittances to Kenya. The binary logistic regression is premised on the following assumptions: 1. Logistic regression does not assume a linear relationship between the dependent and independent variables. 2. The dependent variable must be a dichotomy (two categories). 3. The categories (groups) must be mutually exclusive and exhaustive; a case can only be in one group and every case must be a member of one of the groups. 4. Larger samples are needed than for linear regression because maximum likelihood coefficients are large sample estimates. A minimum of 50 cases per predictor is recommended. University of Ghana http://ugspace.ug.edu.gh 134 The logistic regression model: Let p be the probability that a Kenyan migrant will send remittances rather than not sending, then logit (p) = log [p/1-p] where p/1-p is the odds ratio in respect of the dependent variable. The form of the logistic regression is thus given us: Logit [p(x)] = = β0 + β1X1 + β2X2 + β3X3 + β4X4 + ............ + βnXn for n independent variables. In the regression model, β0 is the regression constant whereas β1, β2, ...... βn are the partial regression coefficients in respect of the predictor variables X1, X2, X3 ..... Xn respectively. The hypothesis is as follows: H0: All the coefficients in the regression equation take the value zero which implies non-significance. H1: The coefficients in the regression equation differ significantly from the null of zero. Result of the logistics regression analysis: A test of the full model with the four predictors against a constant only model was statistically significant ( 2 = 48.707, degrees of freedom = 1, p < 0.001) indicating that the predictors as a set reliably distinguished between migrants who remit and those who do not. Also, the Nagelkerke R square value of 0.411 implies that 41 percent of variation in migrants‘ remitting behaviour was explained by the predictor variables. It can be inferred from Table 5.10 that marital status and residence status are significant predictors of a Kenyan migrant‘s decision to send remittances to relatives left behind in Kenya (p < 0.05 respectively). The negative regression coefficients associated with University of Ghana http://ugspace.ug.edu.gh 135 marital status and residence status being -2.132 and -1.556 respectively means that ultimately these variables reduce the likelihood that a Kenyan migrant living abroad will send remittances to Kenya. Table 5.10: Binary Logistic Regression: Analysis of Remittances versus Independent Variables Independent Variables Std error Wald Df Sig Odd ratios Marital status Other (Base category) Married -2.132 0.665 10.289 1 0.001* 1.000 0.119 Residence status Temporary (Base Category) Permanent -1.556 0.632 6.065 1 0.014* 1.000 0.211 Do you have any dependents at destination? No (Base Category) Yes 0.380 0.674 0.318 1 0.573 1.000 1.462 Level of education High school, Technical, Primary (Base category) Bachelor Masters and Doctorate -1.462 -0.247 0.658 0.654 4.928 0.143 1 0.026* 0.075 1.000 0.232 0.781 Constant 3.512 0.663 28.278 1 Source: Author’s Construct, 2013 * Significant association p< 0.05 Furthermore, the odd ratios in respect of marital status show that, married migrants are about 88 percent less likely to send remittances as compared to their unmarried counterparts. Similarly, Kenyan migrants who have permanent residence status at their various destinations are about 79 percent less likely to send remittances as compared to those who have temporary residence status. In terms of level of education, the category that showed significant effect on a migrant‘s decision to remit was bachelor degrees (p < 0.05). Also, the negative regression coefficient associated with the Bachelor degree and Masters/PhD categories (-1.462 and -0.247 respectively) implies that a transition from the primary, technical, or vocational category to the attainment of a Bachelor degree or Masters/PhD reduces the likelihood that the migrant will send remittances. University of Ghana http://ugspace.ug.edu.gh 136 Furthermore, the odd ratios reveal that migrants with first degree qualification are about 78 percent less likely to send remittances home compared to those whose level of education is below first degree. However, Kenyan migrants who have attained Masters or Doctorate degrees are about 22 percent less likely to send remittances than those whose level of education is below first degree. 5.2.6 Recipient (s) of Remittances The study findings show that parents are the leading recipients of remittances (30%) followed by siblings (27%). The country by country findings indicate that in the UK, 34 percent of the responses are in favour of parents as the primary recipients, while siblings have 29 percent. Table 5.11: Principal Recipient of Remittances Beneficiary/ Beneficiaries Country of Residence UK US Canada Ghana All Countries Spouse 0 (0%) 1 (1%) 2 (7%) 10 (9%) 13 (4%) Parent(s) 12 (34%) 50 (34%) 6 (21%) 30 (27%) 98 (30%) Children 3 (9%) 6 (4%) 1 (4%) 10 (9%) 20 (6%) Siblings 10 (29%) 43 (29%) 7 (25%) 27 (24%) 87 (27%) Grandparents 1 (3%) 3 (2%) 4 (14%) 2 (2%) 10 (3%) Other relatives 3 (9%) 20 (14%) 3 (11%) 8 (7%) 34 (11%) Friends 4 (11%) 17 (11%) 4 (14%) 10 (9%) 35 (11%) Business/Investment 1 (3%) 3 (2%) 1 (4%) 15 (13%) 20 (6%) Other 1 (3%) 5 (3%) 0 (0%) 0 (0%) 6 (2%) Total 35(100%) 148(100%) 28(100%) 112(100%) 323(100%) Source: Fieldwork, 2012 - 13 For the migrants in the US, parents have 34 percent and siblings 29 percent. This trend is similar in Ghana where parents have 27 percent and siblings 24 percent. It is only in Canada where the trend is slightly different with siblings taking the bulk of the remittances (25%) and parents taking the second position (21%). The third most important recipient for the migrants in the UK is friends (11%), followed by children (9%) and other relatives (9%). Similarly, friends (14%) and grandparents (14%) are the University of Ghana http://ugspace.ug.edu.gh 137 third most prominent beneficiaries of remittances for Kenyan migrants in Canada. Kenyans in the US have the third most prominent recipient as other relatives (14%) and then friends (11%). Noticeably, in all the four countries, it is evident that most of the remittances are send to close family members. This is in line with Sriskandarajah‘s scholarship which suggests that migrants from developing countries mostly remit to their close relatives (Sriskandarajah, 2005). These findings are premised on the network theory which highlights the importance of social networks of family, friends and business partners in facilitating the flow of money, goods, ideas and information across the transnational space (Collinson, 2009; King, 2012). Contrary to all the other countries, the Kenyan migrants in Ghana consider business/investment as the third most eminent (13%) beneficiary of remittances. This is not surprising because as mentioned earlier, qualitative findings show that the majority of Kenyan migrants in Ghana intend to return to Kenya in a few years and therefore they are very much interested in investing at home as a cushion for a smooth reintegration upon return. 5.2.7 Intended Use of Remittances Literature shows that the main motivations for sending remittances are altruism, self- interest (Miotti et al, 2010) and investment (Ghosh, 2006; Lin, 2011). Altruism mainly aims at supporting the recipients‘ daily expenditure and remittances are therefore primarily used for consumption (Lin, 2011). This notwithstanding, some scholars argue that although remittances used for subsistence may not have a direct impact on the receiving economy, they usually generate multiplier effects on the broader economy (SSRC, 2009). Self-interest on the other hand motivates people to send remittances as a form of insurance against the uncertainties associated with migration (Amuedo- Dorantes et al, 2004). This study unveils various intended uses of remittances (see University of Ghana http://ugspace.ug.edu.gh 138 Figure 5.8). The most prominent purpose of sending remittances in all the four countries is business and investment (22%) followed by household consumption (20%). The prominence of business and investment as a leading intended use for remittances is quite remarkable. This finding is a contrast to the general perception that remittances are mainly intended for consumption and other individual or household needs (Sander & Maimbo, 2003; Miotti et al, 2010). Nonetheless, a study by World Bank shows that there is a significant portion of international remittances that are spent on investments in Africa (Ratha et al, 2011). Figure 5.8: Intended Use of Remittances for all Countries Source: Field work data, 2012-2013 The intended use of remittances for all the four countries varies from country to country. Kenyans in Ghana give the highest score to business and investment (29%), followed by Kenyans in US (20%). Kenyans in the UK and Canada give 15 and 9 percent to business and investment respectively. While the second most prominent purpose for the migrants in the UK is health (42%), followed by education (37%), the migrants in the US have education as their second most important (50%) purpose, followed by land/housing for family use (47%). On the other hand, the second most University of Ghana http://ugspace.ug.edu.gh 139 significant purpose for the migrants in Canada is investment (70%) and then land/housing for family use (50%). The migrants in Ghana have education and community development as the second (59%) and third (41%) most important reasons for sending remittances. Table 5.12: Intended Use of Remittances Purpose Country of Residence UK US Canada Ghana All Countries Household consumption 12(23%) 46(20%) 7(22%) 30 (19%) 95(20% Business/Investment 8(15%) 47(20%) 3(9%) 46(29%) 104(22%) Savings 6(12%) 14(6%) 1(3%) 15(9%) 36(8%) Land/Housing for family use 8(15%) 20(9%) 3(9%) 12(8%) 43(9%) Mortgage 1(2%) 1(0%) 0(0%) 5(3%) 7(1%) Health 1(2%) 20(9%) 6(19%) 11(7%) 38(8%) Education 6(12%) 31(13%) 4(13%) 15(9%) 56(12%) Community development 5(10%) 17(7%) 3(9%) 4(3%) 29(6%) Marriage 1(2%) 5(2%) 3(9%) 8(5%) 17(4%) Funeral 1(2%) 11(5%) 1(3%) 6(4%) 19(4%) Religious activities 2(4%) 17(7%) 1(3%) 5(3%) 25(5%) Other (please specify) 1(2%) 1(0%) 0(0%) 1(1%) 3(1%) Total 52(100%) 230(100%) 32(100%) 158(100%) 472(100%) Source: Fieldwork, 2012 – 13 6.2.8 Actual Utilization of Remittances The migrants were asked to state whether the remittances were used for the intended purpose. The general perception among the migrants was that the remittances sent were used properly (see Figure 5.9). Around half (51%) of the respondents think that the remittances are used properly most of the times and around a third (29%) of the migrants are confident that the remittances are always used for the right purpose. It is only 17 percent of the migrants who think the remittances are sometimes not used University of Ghana http://ugspace.ug.edu.gh 140 properly. Similarly those who felt that the remittances were either rarely or never utilized properly were negligible (4%). Figure 5.9: Actual Utilization of Remittances Source: Fieldwork, 2012-13 5.2.9 Frequency of Sending Remittances Close to half (47%) of the migrants send money to Kenya at least once a month. The following are some of the reasons given for sending money to Kenya every month: ―It is just convenient. I need to service a mortgage and make monthly contributions to a pension scheme‖ ―I have to send money monthly to settle liabilities at home e.g. fees and subsistence‖ ―The reason why I send money home every month is because I am paying school fees for three teenagers in high school and feel an obligation to help family members pay medical, funeral and other expenses on a case by case basis‖ ―I send money every month to support family and for investments‖ ―I remit money every month to support family, investment, monetary assistance to wider family and relatives and monetary gifts to others.‖ ―I have to pay for my investments back in Kenya- and there is the agreed principal that I need to send in every month.‖ Source: Open-ended Survey Questions (2012-13) The percentage of people who send remittances annually is remarkably high (see Table 5.13); almost every migrant in the UK (95%) send remittances at least once a year and close to 90 percent of the migrants in the US and Ghana also send remittances annually. Even the country with the least number of annual remitters, Canada, has a whopping 70 University of Ghana http://ugspace.ug.edu.gh 141 percent of migrants who send remittances annually. Similarly, close to 90 percent of the migrants in both the US and Ghana send remittances to Kenya at least once in a year. It is only an average of 11 percent of the migrants who send remittances when there was need. Table 5.13: Frequency and Season of Sending Financial Remittances Variables Country of Residence UK US Canada Ghana All Countries Frequency of sending money More than once a month 3(14%) 12(18%) 3(30%) 8(19%) 26(19%) Once a month 6(29%) 18(27%) 2(20%) 13(31%) 39(28%) Every two months 5(24%) 9(13%) 0(0%) 4(10%) 18(13%) Quarterly 2(10%) 13(19%) 2(20%) 6(14%) 23(16%) Twice a year 2(10%) 4(6%) 0(0%) 4(10%) 10(7%) Annually 2(10%) 2(3%) 0(0%) 1(2%) 5(4%) Every two Years 0(0%) 1(2%) 1(10%) 0(0%) 2(1%) Only when Need Arises 1(5%) 8(12%) 2(20%) 5(12%) 16(11%) Other 0(0%) 0(0%) 0(0%) 1(2%) 1(1%) Total Respondents 21(100%) 67(100%) 10(100%) 42(100%) 140(100%) Season most financial remittances are sent After Tax Returns 0(0%) 1(2%) 0(0%) 0(0%) 1(1%) Beginning of the Year 0(0%) 2(4%) 0(0%) 2(6%) 4(4%) End Month 2(13%) 3(5%) 0(0%) 5(16%) 10(9%) Festive Seasons like Christmas and Easter Holidays 4(25%) 18(32%) 0(0%) 5(16%) 27(24%) Mid-Year 0(0%) 4(7%) 0(0%) 3(9%) 7(6%) No Specific Period 5(31%) 13(23%) 1(17%) 7(22%) 26(23%) School Reopening Time 1(6%) 6(11%) 1(17%) 4(13%) 12(11%) Throughout the Year 0(0%) 9(16%) 2(33%) 5(16%) 16(14%) When Need Arises 5(31%) 5(9%) 2(33%) 5(16%) 17(15%) Total Respondents 16(100) 57(100) 6(100) 32(100) 111(100%) Source: Fieldwork Data, 2012-13 When it comes to the season when most of remittances are sent, more than a third (32%) of migrants in the US and a quarter (25%) the UK and Ghana send remittances during festive seasons like Christmas and Easter holidays. Some of the explanations given for this are as follows: University of Ghana http://ugspace.ug.edu.gh 142 ―I send money mostly during holidays (Easter and Christmas) because there is more money in my industry. I make more money in those months‖ ―I mostly send remittances during holidays (Easter and Christmas) because of family reunions celebrations. They spend extra cash.‖ ―I have to send money during holidays (Easter and Christmas) for family to have something to celebrate with‖ ―I send money to my family back home mostly during holidays because at Christmas they have guests to entertain while other months, all they need is to cater for their basic necessities‖ ―In Kenya people celebrate Christmas so it‘s a convenient time to send money and New Year students are joining school so money is needed the most.‖ ―I send money to my family during holidays in order to give all family members a treat.—or rather share the spirit with family members‖ Source: Open-ended Survey Questions (2012-13) School reopening time is also an important season of sending remittances; on average more than 10 percent of the respondents from all the countries send money around school reopening time. The following are some of the reasons given for sending remittances around this time: ―We pay school fees for one of my nieces and this is when schools reopen‖ ―Payment of school fees for children and related educational expenses. The dates coincide with the commencement of each new school term in Kenya.‖ ―Most people ask for money to take their children back to school‖ ―I pay school fees for a number of nieces‖ ―To help specific family members and pay school fees‖ Source: Open-ended Survey Questions (2012-13) Apart from the UK, some migrants in the other three countries send remittances throughout the year: Canada (33%), the US (16%) and Ghana (16%). Qualitative findings revealed that most of the migrants who send remittances to Kenya throughout the year have compelling commitments back home that necessitate high frequency of sending remittances. The following are some of the explanations given for sending remittances throughout the year: ―Support to family members at home is needed throughout the year.‖ ―My wife and children are in Kenya and I have to send family support‖ ―For medical care for family, school fees, uniform, supplies for my nieces‘ children, food for family and general maintenance‖ ―I have children I educate and parents to take care of.‖ ―Family needs never cease‖ University of Ghana http://ugspace.ug.edu.gh 143 ―Parental support, family and friends health care, school fees for family members and friends.‖ ―I send money January to March for school fees and December for Christmas and other times just for ordinary up-keep‖ Source: Open-ended Survey Questions (2012-13) Notably, the percentage of those who indicated that they do not have a particular season when they send most remittances is significantly high; slightly over a third (31%) of the migrants from the UK and approximately a fifth (21%) of the migrants from the other three countries. Similarly, there is a considerable percentage of migrants who only send remittances when there is need. This comprises of over a third of the migrants in the UK (31%) and Canada (33%), and 16 and 10 percent of the migrants in Ghana and the US respectively. 5.2.10 Remittance Channels There are diverse channels used by the migrants to send remittances to Kenya as demonstrated Table 5.14 Table 5.14: Channels of Sending Remittances Channels Country of Residence UK US Canada Ghana All Countries M-Pesa 5 (%) 13 (9%) 0 (0%) 3 (4%) 21 (7%) Poa Pay 0 (0%) 6 (4%) 0 (0%) 1 (1%) 7 (2%) Western Union 10 (17%) 30 (22%) 6 (35%) 2 (3%) 48 (17%) Money Gram 8 (14%) 36 (26%) 6 (35%) 5 (7%) 55 (19%) Bank Transfers 14 (24%) 19 (14%) 1 (6%) 31 (42%) 65 (23%) Friends 8 (14%) 12 (9%) 3 (18%) 16 (22%) 39 (14%) Relatives 2 (3%) 6 (4%) 0 (0%) 2 (3%) 10 (4%) Self 5 (9%) 7 (5%) 1 (6%) 10 (14%) 23 (8%) Shipment of non- monetary items 5 (9%) 5 (4%) 0 (0%) 2 (3%) 12 (4%) Other 1 (2%) 3 (2%) 0 (0%) 1 (1%) 5 (2%) Total 58(100%) 137(100%) 17 (100%) 73 (100%) 285(100%) Source: Fieldwork, 2012 - 13 University of Ghana http://ugspace.ug.edu.gh 144 The most prominent channels vary according to the country of residence. While the most commonly used channel in the UK (24%) and Ghana (42%) is bank transfers, the most important channel for migrants in the US is the Money Gram (26%). The migrants in Canada on the other hand use both the Money Gram (35%) and the Western Union (35%) as their main channels of sending money. M-Pesa (a mobile-phone based money transfer service), is also used by Kenyans in the UK (5%), the US (9%) and Ghana (4%). This corroborates the World Bank findings on the wide use of innovative mobile money transfer as an important channel of sending remittances to Kenya (Ratha et al, 2011). Poa-pay, which is a new money transfer service, was also mentioned during in- depth interviews, as a channel that is quickly gaining popularity among the Kenyan migrants. Although it is only 4 percent of migrants in the US and 1 percent in Ghana using it, in-depth interviews revealed that many who have not started using it admire how it works. This is how Derrick described the way Poa-Pay works: They (Poa-pay) forward money to the people or places you want it to go. You can even send money to them to buy shares for you and they send you an email showing the kind of transactions that have gone through… (Derrick, July 26, 2012; Massachusetts, US). Similarly, Nicholas expressed admiration on the efficiency of Poa-pay: I do not know how it works but they (Poa Pay people) are very good...... I don‘t know the details but the only thing I know is that they do the job. I know one person who sent money to Kenya and they made a mistake… instead of sending USD 1000 as the sender had instructed, they sent USD 2000 and charged his account here in the US. They are good guys….they refunded back the money they had taken from his account and told him ‗pay us when you get the money. It is not your fault that is why we are refunding you the money so that we do not disrupt your budget.‘ With a bank, that could be a long process (Nicholas, July 24, 2012; Massachusetts, US). Sending remittances through friends and relatives was also a common practice in all the four countries (18%). The highest is Ghana with 25 percent, followed by Canada with 18 percent, and then the UK and the US with 17 and 13 percent respectively. Another way through which migrants send money home is carrying it by hand during visits University of Ghana http://ugspace.ug.edu.gh 145 home. This is a common practice especially in Ghana (14%). Literature shows that the use of informal channels is more prevalent in Africa than in all the other developing regions of the world (Ratha et al, 2011). This is a consequence of high costs and limited access of the formal channels, as well as the seasonal character and informal nature of African migrants (Ghosh, 2006, Ratha et al, 2011). Remittance practice is not only circumscribed by migrants‘ intention to remit, but the practice can be predicated on other agencies with vested interests (Mahmud et al, 2009). Systems theory identifies structures and institutions as important pillars in enhancing transnational interactions (Collinson, 2009; King, 2012). 5.2.12 County Distribution of Remittances Migrants in all the four countries send remittances to the counties shown in Figure 5.11 below. All the 32 counties out of a total of the 47 counties of Kenya are located in the central and south west parts of the country. The north and eastern parts of the country from Turkana to Malindi do not benefit from remittances. Figure 5.10 shows 10 out of the 32 counties that receive most remittances. Naturally, Nairobi County, which is the capital city, receives the highest (54%) remittances. Nakuru County, a cosmopolitan county that hosts migrants from all over the country, is a distant second with 15 percent. The other leading recipient counties are Kiambu and Murang‘a with 7 and 6 percent respectively. Nyeri and Kakamega receive about 4 percent each, while Mombasa, Kisumu and Embu receive around 3 percent. The counties not shown in the graph receive around 1 percent of the remittances each. University of Ghana http://ugspace.ug.edu.gh 146 Figure 5.10: Counties that Receive most Remittances Source: Fieldwork, 2012 – 13 A comparison between Figure 4.6 and Figure 5.11 shows that there is a close association between the counties where the migrants come from and the counties they send their remittances to. University of Ghana http://ugspace.ug.edu.gh 147 Figure 5.11: Map Showing Counties that Receive Remittances University of Ghana http://ugspace.ug.edu.gh 148 5.3 SAVINGS AND INVESTMENT Savings and investment are important to the development of a country. Unfortunately, several foreign investors shy away from investing in many developing countries because they view them as high risk due to the instability of their currencies and lack of clear information on the investment procedures and bureaucracies. Diaspora investors can therefore help to fill the investment gap that exists in most developing countries (Terrazas, 2010). The diaspora have an advantage over other international investors since they have ties with their home countries. These ties give them access to political, economic and cultural information about the country thus lowering the business risks (Newland and Tanaka, 2010; Ratha et al, 2011; Terrazas, 2010). Consequently, they may accept lower interest rates on loans to their countries of origin and engage in high risk businesses or invest in emerging markets (Newland and Tanaka, 2010). The two many ways in which members of the diaspora can invest in their country of origin are: portfolio investments and in entrepreneurial investments (Terrazas, 2010). 5.3.1 Portfolio Investments Although remittances are an important source of financial flows due to their size and stability ―they only represent a fraction of the potential financial flows from the diaspora‖ (Terrazas, 2010:3). Most of the remittances come from migrants‘ current income. However, there are other untapped substantial private financial flows which migrants have such as savings, debt and equity, property and retirement accounts. Literature estimates that more than 80 percent of migrants save or invest their earnings in their destination countries. Such potential flows can be mobilized for home country development through capital markets. Deposit accounts and financial instruments are some of the vehicles that capital markets can use to mobilize these resources (Terrazas, 2010). University of Ghana http://ugspace.ug.edu.gh 149 5.3.1.1 Deposit Accounts Deposit accounts help in expanding bank capitalization which in turn assists participation in capital markets (Terrazas, 2010). Kenya is one of the developing countries which have liberalized their banking regulations to attract the diaspora. Consequently, some domestic banks like Equity Bank and Kenya Commercial Bank (as it emerged during in depth interviews) have tried to establish their branches in host countries to market their services directly to the diaspora (see Terrazas, 2010). In order to find out the extent to which Kenyans abroad have saved in deposit accounts in Kenya they were asked whether they have bank accounts in Kenya or not. A total of 169 respondents answered the question on whether they have bank accounts in Kenya or not. Figure 5.12 below shows that 68 percent of them had bank accounts in Kenya. It is only in Canada where those with accounts in Kenya were less than half (36%), the majority of the migrants in the other three countries had bank accounts in Kenya: UK (75%), US (67%) and Ghana (71%). Figure 5.12: Those with Bank Accounts in Kenya Source: Field Work data, 2012-13 Further scrutiny reveals that although a number of the people with accounts in Kenya have multiple accounts, the most popular account is the Kenya shillings savings account (46%) (as demonstrated in Table 5.15). The foreign currency account, which is University of Ghana http://ugspace.ug.edu.gh 150 mostly used for savings, has 23 percent and shilling current account has 31 percent of all responses. Findings from open-ended survey questions suggest that this type of accounts are mostly operated by migrants who have businesses in Kenya or investments like houses bought on mortgage that require frequent payments. ―I send money to Kenya every month. I have to pay for my investments back in Kenya- and there is the agreed principal that I need to send in every month.‖ ―I remit money to Kenya monthly. It is just convenient. I need to service a mortgage and make monthly contributions to a Pension Scheme.‖ Source: Open-ended Survey Questions (2012-13) Table 5.15: Type of Bank Account Account Country of Residence UK US Canada Ghana All Countries Kenya Shilling current account 7(28%) 21(36%) 1(20%) 25(30%) 54(31%) Kenya Shilling savings account 14 (56%) 27(46%) 3(60%) 35(42%) 79(46%) Foreign currency account 4(16%) 11(19%) 1(20%) 23(28%) 39(23%) Total 25(100%) 59(100%) 5(100%) 83(100%) 172(100%) Source: Fieldwork, 2012 – 13 Terrazas (2010) refers to loans given to the diaspora by domestic financial institutions, as transnational loans. According to him, transnational loans are one of investment vehicles of involving the diaspora in national development. 5.3.2 Financial Instruments Diaspora members have a great potential to contribute towards the development of financial and capital markets of their countries of origin; they can help to diversify the investor base, bring new financial products to the market, as well as offer a stable source of funding (Ratha et al, 2011). In an effort to tap into this investment potential, the Government of Kenya has included the diaspora as a flagship project in Kenya‘s Vision 2030 under financial services (Toboso, 2010). In line with this, the government introduced a diaspora infrastructure bond in 2011 (KBC News, 2011). In order to assess University of Ghana http://ugspace.ug.edu.gh 151 the involvement of the diaspora in financial services, the migrants were asked whether they have invested in financial instruments or not. Forty two (42%) of all the 163 respondents who responded to this question answered in the affirmative as seen in Figure 5.13. The UK migrants are the highest investors (50%), followed by their counterparts in Ghana, with more than two fifth (44%) and then the migrants in the US and Canada who have 39 and 30 percent respectively. Figure 5.13: Those who have invested in Financial Instruments Source: Fieldwork, 2012 - 13 Figure 5.14 indicates that the majority (58%) of all the responses are in the stock market. University of Ghana http://ugspace.ug.edu.gh 152 Figure 5.14: Type of Financial Instruments Source: Fieldwork 2012-13 data Unit trust and real estate trust had 10 percent each and mutual funds had 9 percent. Treasury bills and treasury bonds were six and four percent respectively. This is despite the hope of the Kenyan government to increase diaspora‘s investments in bonds through diaspora targeted infrastructural bond floated in 2010 (see Kinyanjui & Akinyoade, 2012). 5.3.2.1 Factors that influence Migrants’ decision to invest in Financial Instruments Table 5.16 below is a cross-tabulation of the dependent variable (investment in financial instruments) and the independent variables (sex, marital status, employment status, academic background, area of expertise, residence status, level of income, dependents at country of residence, frequency of return-visits, intention to return and knowledge of Kenya Vision 2030). The chi-square test of association between a migrant‘s academic background and the decision to invest in financial instruments shows a positive association (χ2 = 9.680, p= 0.008). Higher proportions (48%) of migrants who have a bachelor‘s degree have investments in financial instruments in University of Ghana http://ugspace.ug.edu.gh 153 Kenya as compared to those who have only Primary, High School or Technical School Certificates (19%). Again, higher proportions (49%) of migrants who have a Masters/PhD have investments in financial instruments as compared to those who have a bachelor‘s degree. There is also a relationship between a migrant‘s area of expertise and the decision to invest in financial instruments in Kenya (χ2 = 10.263, p = 0.017). Migrants‘ areas of expertise are categorized into Business, Health, Community Service and Education/IT. The cross-table shows that higher proportions (61%) of the migrants who are business experts invest in financial instruments as compared to the proportion (31%) of health professionals who invest in financial instruments. Also, higher proportions of migrants who work as Community/Social experts have invested in financial instruments as compared to the proportion of Education/IT experts (32%) who invest in financial instruments. Table 5.16: Test of Association between Independent variables and Investment in Financial Instruments Investment in Financial Instruments With no investments in Financial Instruments With investments in Financial instruments Total % Total N Sex Female 60.0 40.0 100.0 80 Male 56.6 43.4 100.0 83 Total N 95 68 - 163 χ2 = 0.191 p = 0.391 df = 1 Marital status Not married 71.4 28.6 100.0 70 Currently married 47.3 52.7 100.0 91 Total N 93 68 - 161 χ2 = 9.478 p = 0.002* df = 1 Employment status Student 96.2 3.8 100.0 26 Employed 50.4 49.6 100.0 131 University of Ghana http://ugspace.ug.edu.gh 154 Investment in Financial Instruments With no investments in Financial Instruments With investments in Financial instruments Total % Total N Total N 91 66 - 157 χ2 = 18.654 p = 0.000* df = 1 Academic Background Primary/High Sch./Tech. 80.6 19.4 100.0 36 Bachelors 52.4 47.6 100.0 63 Masters/PhD 50.8 49.2 100.0 63 Total N 94 68 - 162 χ2 = 9.680 p = 0.008* df = 2 Area of expertise Business 39.2 60.8 100.0 51 Health 69.2 30.8 100.0 39 Community service 53.3 46.7 100.0 30 Education and IT 67.9 32.1 100.0 28 Total N 82 66 - 148 χ2 = 10.263 p = 0.017* df = 3 Residence status Temporary residence 81.3 18.7 100.0 32 Permanent residence 50.0 50.0 100.0 118 Total N 85 65 - 150 χ2 = 10.011 p = 0.002* df = 1 Annual Income Less than $10000 57.9 42.1 100.0 19 $15000 and above 51.9 48.1 100.0 106 Total N 66 59 - 125 χ2 = 0.233 p = 0.629 df = 1 Dependents at destination No 69.0 31.0 100.0 71 Yes 46.3 53.7 100.0 80 Total N 86 65 - 151 χ2 = 7.951 p = 0.005* df = 1 Frequency of return-visits Once in at least two years 62.9 37.1 100.0 62 At least once a year 38.5 61.5 100.0 65 Total N 64 63 - 127 χ2 = 7.583 p = 0.006* df = 1 Intention to Return No 94.1 5.9 100.0 17 University of Ghana http://ugspace.ug.edu.gh 155 Investment in Financial Instruments With no investments in Financial Instruments With investments in Financial instruments Total % Total N Yes 51.5 48.5 100.0 130 Total 83 64 - 147 χ2 = 11.088 p = 0.001* df = 1 Knowledge of Vision 2030 No knowledge 65.9 34.1 100.0 44 Knowledgeable 62.9 37.1 100.0 70 Total N 73 41 - 114 χ2 = 0.109 p = 0.741 df = 1 Source: Computed from Fieldwork data, 2013 * Significant association p< 0.05 Higher proportions (50%) of migrants who have permanent residence status at the destination invest in financial instruments as compared to the proportion (19%) of those who have temporary residential status. Consequently, the chi-square analysis shows that there is a significant association between residence status and the decision to invest in financial instruments (χ2 = 10.011, p = 0.002). It is not counter-intuitive that migrants with irregular status are less likely to invest because of the problems that hamper their activities in the destination countries (Mazzucato, 2008). There is a positive association between having dependents at the destination and the decision to invest in financial instruments (χ2 = 7.951, p = 0.005). It can be seen from the cross-table that higher proportions (54%) of migrants who have dependents at the destination invest in financial instruments as compared to the proportion (31%) of migrants who do not have dependents. Comparatively, higher proportions (63%) of migrants who visit Kenya at least once a year invest in financial instruments relative to migrants who visit Kenya once in at least two years (38%) and invest in financial instruments in Kenya. The chi-square test University of Ghana http://ugspace.ug.edu.gh 156 of association revealed that there is a significant association between the frequency of migrants‘ visits and the decision to invest in financial instruments (χ2 = 7.583, p = 0.006). Nearly 49 percent of those who intend to return to Kenya permanently have investments in financial instruments in Kenya whereas nearly 6 percent of those who do not intend to return permanently have investments in financial instruments. The chi- square analysis shows that there is a significant association between a migrant‘s intention to return permanently and the decision to invest in financial instruments in Kenya (χ2 = 11.088, p = 0.001). These findings corroborates Portes et al (2007) study which shows that migrants who are better educated, better established and more wealthy are more likely to engage in transnational activities such as investing in their country of origin. Sex, annual income and knowledge of Kenya‘s Vision 2030 show no relationship with migrants‘ decision to invest in financial instruments. The results of chi-square test association between a migrant‘s sex and the decision to invest in Financial instruments in Kenya are (χ2 = 0.191, p = 0.391). The percentage (40%) of female respondents who have invested in financial instruments is almost at par with that of their male counterparts (43%). On the other hand, the annual income of the migrants was categorized into those who earn a yearly income less than USD10,000 and those who earn a yearly income of USD15,000 and more. The chi-square test results for the association between the annual income of a Kenyan migrant and the decision to invest in financial instruments are (χ2 = 0.233, p = 0.629). This means that the annual income of a Kenyan migrant does not influence the decision to invest in financial instruments. The cross-table shows that less than 50 percent of the migrants in each income category invest in financial instruments. As far as the knowledge of Kenya‘s Vision 2030 is University of Ghana http://ugspace.ug.edu.gh 157 concerned, it is categorized into those who have no idea about Kenya‘s Vision 2030 and those who have some minimum level of knowledge of the Kenya‘s Vision 2030. The cross-table shows that less than 40 percent of migrants in each of the categories invest in financial instruments in Kenya. Hence the chi-square analysis shows that there is no relationship between a migrant‘s knowledge of Kenya‘s Vision 2030 and the decision to invest in financial instruments in Kenya (χ2 = 0.109 p = 0.741). 5.3.2.2 Logistic Regression on the decision to Invest in financial instruments in Kenya A logistic regression analysis was performed through SPSS Binary logistic to assess the decision to invest in financial instruments (dependent variable) in the Kenyan economy as a function of the migrant‘s marital status, residence status, employment status, academic background, intention to return, dependents at destination, area of expertise, and frequency of return-visits. The choice of these independent variables was informed by the result of the chi-square test of association (Bursac et al, 2008, Ofori and Dampson, 2011) which showed that each of the independent variables has a significant association with migrants‘ decision to invest in the Kenyan economy. The binary logistic regression is premised on the following assumptions: 1. Logistic regression does not assume a linear relationship between the dependent and independent variables. 2. The dependent variable must be a dichotomy (Two categories). 3. The categories (groups) must be mutually exclusive and exhaustive; a case can only be in one group and every case must be a member of one of the groups. 4. Larger samples are needed than for linear regression because maximum likelihood coefficients are large sample estimates. A minimum of 50 cases per predictor is recommended. University of Ghana http://ugspace.ug.edu.gh 158 The logistic regression model: Let p be the probability that a Kenyan migrant will invest in the Kenyan economy rather than not investing, then logit (p) = log [p/1-p] where p/1-p is the odds ratio in respect of the dependent variable. The form of the logistic regression is thus given us: Logit [p(x)] = = β0 + β1X1 + β2X2 + β3X3 + β4X4 + ............ + βnXn for n independent variables. In the regression model, β0 is the regression constant whereas β1, β2, ......, βn are the partial regression coefficients in respect of the predictor variables X1, X2, X3 ....., Xn respectively. The hypothesis is as follows: H0: All the coefficients in the regression equation take the value zero which implies non-significance H1: The coefficients in the regression equation differ significantly from the null of zero Result of the logistics regression analysis: A test of the full model with the predictors against a constant only model was statistically significant ( 2 = 22.314, p = 0.022) indicating that the predictors as a set reliably distinguished between migrants who invest in financial instruments and those who do not. University of Ghana http://ugspace.ug.edu.gh 159 Table 5.17: Binary Logistic Regression Analysis of Socio-demographic Characteristics and Investing in Financial Instruments Independent Variables Coefficients Standard Error Df Significance Odd ratios Marital status Other (Base Category) Married 0.105 0.614 1 0.864 1.000 1.111 Residence status Temporary (Base Category) Permanent 0.082 0.887 1 0.926 1.000 1.086 Employment Status Student (Base Category) Employed 2.202 1.227 1 0.073 1.000 9.041 Level of education High school, Technical, Primary (Base Category) Bachelor Masters and Doctorate 0.278 0.744 0.710 0.709 1 0.696 0.294 1.000 1.320 2.105 Intention to Return No (Base Category) Yes 2.334 1.133 1 0.039* 1.000 10.317 Dependents at destination No (Base Category) Yes 0.463 0.640 1 0.470 1.000 1.588 Expertise Business (Base Category) Health Community service Education and IT -0.570 -0.152 -0.852 0.620 0.684 0.624 1 0.358 0.824 0.173 1.000 0.566 0.859 0.427 Frequency of visit Once at least twice a year (Base Category) At least once a year 0.666 0.500 1 0.183 1.000 1.947 Constant -4.964 1.814 1 0.006 0.007 Source: Author‘s Construct, 2013 * Significant association p< 0.05 However the Nagelkerke R Square of 0.263 shows that only about twenty six (26%) of the variation in the dependent variable is explained by the set of predictors. It can be inferred from the results that only intention to return significantly influences the decision to invest in financial instruments in Kenya at 95% confidence level. The positive regression coefficients imply that there is a positive relationship between the University of Ghana http://ugspace.ug.edu.gh 160 intention to return and the decision to invest in financial instruments. In other words, the intention to return to Kenya increases the likelihood that a Kenyan migrant in the diaspora will invest in financial instruments. The result also shows that migrants who have the intention to return to Kenya are 10 times as likely to invest in financial instruments in Kenya as compared to their counterparts who do not have the intention to return to Kenya. However, Kenyan migrants who have the intention of returning to Kenya are ten times as likely to invest in financial instruments in Kenya as compared to those who do not have the intention to return to Kenya. Furthermore, those who visit Kenya at least once in a year are about 95% more likely to invest in financial instruments in Kenya than their counterparts who visit Kenya once in at least two years. 5.3.3 Diaspora Entrepreneurship The importance of diaspora entrepreneurship cannot be overemphasized. Their entrepreneurial activities contribute towards job creation and economic growth in their countries of origin (Newland and Tanaka, 2010). Literature shows that the Kenyan diaspora has made a number of significant entrepreneurial investments in Kenya. One such investment is Africaonline which is a major Internet Service Provider not just in Kenya but on the continent (Okele et al, 2008). The number of diaspora entrepreneurs in Kenya is encouraging. Figure 5.15 reveals that the majority of migrants in the US (62%) and Ghana (63%) have enterprises in Kenya. Similarly, close to half of the migrants in the UK (48%) and 42 percent in Canada have invested in Kenya. University of Ghana http://ugspace.ug.edu.gh 161 Figure 5.15: Diaspora Entrepreneurship in Kenya Source: Fieldwork, 2012-13 The type of enterprises that the migrants are involved in at home are displayed in Table 5.18 below. Table 5.18: Type of Enterprise Enterprise Country of Residence UK US Canada Ghana All Countries Real Estate 9(47%) 28(57%) 2(50%) 27(47%) 66(51%) Transport business 2(11%) 2(4%) 1(25%) 2(3%) 7(5%) Construction 3(16%) 6(12%) 0(0%) 4(7%) 13(10%) Agricultural Projects 3(16%) 5(10%) 1(25%) 15(26%) 24(18%) Consultancy Services 1(5%) 3(6%) 0(0%) 3(5%) 7(5%) Manufacturing 0(0%) 1(2%) 0(0%) 0(0%) 1(1%) Trading (selling and buying of goods) 1(5%) 2(4%) 0(0%) 6(10%) 9(7%) Other 0(0%) 2(4%) 0(0%) 1(2%) 3(2%) Total 19(100%) 49(100%) 6(100%) 58(100%) 130(100%) Source: Fieldwork, 2012 - 13 Percentage by response shows that a significant percentage (51%) of these investments was in the real estate industry. The other important area of entrepreneurship is agriculture (18%) and construction (10%). It is important to note that, although manufacturing is an important area in terms of boosting economic growth, it only attracted 1 percent of the responses. From these findings, it is clear that there are many University of Ghana http://ugspace.ug.edu.gh 162 areas of investment with great potential that may have escaped the eye of diaspora investors. Besides the areas mentioned by the migrants, other potential areas of diaspora investment are in: tourism and nostalgic trade (Toboso, 2010). 5.3.3.1 The factors that influence Migrants’ Decision to invest in Entrepreneurship Table 5.19 is a cross-tabulation of dependent variable (entrepreneurship) and the independent variables. The table also shows the result of the chi-square analyses that were done to ascertain the significant associations between the dependent variable (entrepreneurship) and the independent variables (sex, marital status, employment status, academic background, area of expertise, residence status, annual income, dependents at destination, intention to return and knowledge of Kenya Vision 2030). Table 5.19: Test of Association between Independent variables and Entrepreneurial Investments Do you have entrepreneurial investments in Kenya? No Yes Total % Total N Sex Female 52.4 47.6 100.0 84 Male 29.8 70.2 100.0 84 Total N 69 99 - 168 χ2 = 8.878 p = 0.002* df = 1 Marital status Not married 56.8 43.2 100.0 74 Currently married 27.2 72.8 100.0 92 Total N 67 99 - 166 χ 2 = 14.911, p = 0.001* df = 1 Employment status Student 78.6 21.4 100.0 28 Employed 33.1 66.9 100.0 133 Total N 66 95 - 161 χ 2 = 19.787 p = 0.001* df = 1 Academic Background Primary/High Sch./Tech. 66.7 33.3 100.0 39 Bachelors 37.5 62.5 100.0 64 Masters/PhD 29.7 70.3 100.0 64 University of Ghana http://ugspace.ug.edu.gh 163 Do you have entrepreneurial investments in Kenya? No Yes Total % Total N Total N 69 98 - 167 χ 2 = 14.291, p = 0.001* df = 2 Area of expertise Business 31.9 68.1 100.0 47 Health 66.7 33.3 100.0 30 Community service 46.2 53.8 100.0 26 Education and IT 58.6 41.4 100.0 29 Total N 64 68 - 132 χ2 = 10.387 p = 0.016* df = 3 Residence status Temporary residence 65.7 34.3 100.0 35 Permanent residence 33.9 66.1 100.0 121 Total N 64 92 - 156 χ2 = 11.368 p = 0.001* df = 1 Annual Income Less than $10000 33.3 66.7 100.0 18 $15000 and above 30.5 69.5 100.0 105 Total N 38 85 - 123 χ2 = 0.059 p = 0.503 df = 1 Dependents at destination No 37.5 62.5 100.0 48 Yes 55.8 44.2 100.0 77 Total N 61 64 - 125 χ2 = 3.982 p = 0.046* df = 1 Intention to Return No 76.5 23.5 100.0 17 Yes 33.3 66.7 100.0 132 Total 57 92 - 149 χ2 = 11.865 p = 0.001* df = 1 Knowledge of Vision 2030 No knowledge 37.8 62.2 100.0 45 Knowledgeable 43.8 56.2 100.0 73 Total N 49 69 - 118 χ 2 = 0.421 p = 0.325 df = 1 Source: Computed from Fieldwork data, 2013 * Significant association p< 0.05 Chi-square results indicate that there is a significant association between sex and the decision to invest in Kenya (χ2 = 8.878, p = 0.002). The cross table also shows that more (70%) of males have entrepreneurial investments as compared to females (47%). University of Ghana http://ugspace.ug.edu.gh 164 The explanation for this difference can be drawn from the scholarship of Itzigsohn & Giorguli-Saucedo (2005) that men have a higher propensity to maintain ties with their home countries than women. This is because women tend to be better integrated in the host communities than men and therefore prefer participating in life at their host countries than their home countries. Similarly, higher proportions (72%) of married migrants have investments in Kenya as compared to 43 percent of those who are unmarried. Hence the Chi-square test of association shows that there is a significant association between the marital status of migrants and their decision to invest in Kenya (χ2 = 14.911, p = 0.001). There is also a positive association between employment status and migrants‘ decision to invest in Kenya (χ2 = 19.787, p = 0.001). The cross table shows that higher proportions (66%) of migrants who are employed at the destination have investments in Kenya as compared to 21 percent of their counterparts who are students or unemployed. Academic background also has a positive relationship with the decision to invest in Kenya (χ2 = 14.291, p = 0.001). Migrants with higher level of education are more likely to invest in Kenya than people with lower qualifications. Higher proportions (62%) of migrants with Bachelor‘s degree have investments in Kenya compared to their counterparts (33%) whose academic background is below that of a Bachelor‘s degree. Furthermore, 70 percent of migrants who have Masters/PhD degrees have investments in Kenya compared to those with Bachelor‘s degrees (62%). There is also a significant association between a Kenyan migrant‘s expertise and the decision to invest in Kenya (χ2 = 10.387, p = 0.016). It can be seen from the cross-table that about 68 percent of migrants with business expertise have investments in Kenya compared to their counterparts who are health professionals (33%). Similarly, higher University of Ghana http://ugspace.ug.edu.gh 165 proportions (54%) of migrants who are community service workers have investments in Kenya compared to 41 percent in the case of those who work as education or IT experts at the destination. The chi-square test of association also shows that there is a positive association between a migrant‘s residence status and investment decision (χ2 = 11.368, p = 0.001). 66 percent of migrants who have permanent residence have investments in Kenya whilst 41 percent of their counterparts who have temporary residence at the destination have investments in Kenya. This study also shows a significant association between a migrant‘s intention to return to Kenya permanently and the decision to invest in entrepreneurial ventures in Kenya (χ2 = 11.865, p = 0.001). Nearly 67 percent of migrants who have the intention of returning to Kenya have investments in Kenya compared to 23 percent in the case of those who do not intend to return in the next fifteen years. Literature suggests that the intention to return acts as a motivating factor for accumulation of investments back home and is used as an insurance for future reintegration upon return (Adepoju, 2010). Qualitative findings of the study confirm this view. This is what Joyce, a migrant in the US said in relation to the intention to return and investment decision: ―Most of us want to return home in the future, that is why we want to invest there.‖ In contrast to the aforementioned independent variables that have an association with the decision to invest in entrepreneurial ventures, migrants‘ annual income and knowledge of Kenya vision 2030 have no association with the decision to invest in Kenya. The chi-square test results for annual income are (χ2 = 0.059, p = 0.503). Similarly, the cross-tabulation shows that 68 percent of migrants who earn less than USD10,000 have entrepreneurial investments in Kenya compared to 70 percent of those who earn USD15000 with entrepreneurial investments in Kenya. It is possible that the migrants get their investment capital from other sources other than their current University of Ghana http://ugspace.ug.edu.gh 166 income. According to Terrazas (2010) members of the diaspora have other substantial financial assets beyond their current income. The chi-square test results of association between a migrant‘s knowledge of Kenya‘s Vision 2030 and the decision to invest in Kenya also show no association between the two variables (χ2 = 0.421, p = 0.325). This means that migrants‘ knowledge of Kenya Vision 2030 does not affect their decision to invest in entrepreneurship in Kenya. The positive association between financial and entrepreneurial investments on one hand, and academic background, area of expertise, residence status, and employment status on the other hand, can be explained by the systems model which says that transnational interactions are influenced by structures, policies, linkages and processes, as well as socio- cultural and economic conditions. Whereas the significant association between financial and entrepreneurial investments and frequency of return visits and intention to return to Kenya permanently can be explained by the transnational theory which talks about migrants maintaining socio-economic ties with their origin as well as cross border entrepreneurship (see Glick- Schiller, 2003; Faist, 2010; Vertovec, 2007). 5.3.3.2 Logistic Regression on Investment in Entrepreneurship A logistic regression analysis was performed through SPSS Binary logistic to assess prediction of whether a Kenyan migrant has investments in the Kenyan economy (dependent variable) as a function of the migrant‘s marital status, residence status, sex, employment status, level of education, area of expertise and intention to return. The choice of these independent variables was informed by the result of the chi-square test of association (Bursac et al, 2008, Ofori and Dampson, 2011) which showed that each of the independent variables has a significant association with whether a Kenyan migrant has investments in Kenya. The binary logistic regression is premised on the following assumptions: University of Ghana http://ugspace.ug.edu.gh 167 1. Logistic regression does not assume a linear relationship between the dependent and independent variables. 2. The dependent variable must be a dichotomy (Two categories). 3. The categories (groups) must be mutually exclusive and exhaustive; a case can only be in one group and every case must be a member of one of the groups. 4. Larger samples are needed than for linear regression because maximum likelihood coefficients are large sample estimates. A minimum of 50 cases per predictor is recommended. The logistic regression model: Let p be the probability that a Kenyan migrant has investments in Kenya rather than not having any investments, then logit (p) = log [p/1-p] where p/1-p is the odds ratio in respect of the dependent variable. The form of the logistic regression is thus given us: Logit [p(x)] = = β0 + β1X1 + β2X2 + β3X3 + β4X4 + ............ + βnXn for n independent variables. In the regression model, β0 is the regression constant whereas β1, β2, ......, βn are the partial regression coefficients in respect of the predictor variables X1, X2, X3 ....., Xn respectively. The hypothesis is as follows: H0: All the coefficients in the regression equation take the value zero which implies non-significance H1: The coefficients in the regression equation differ significantly from the null of zero The Result of the logistics regression analysis is presented in Table 5.20. University of Ghana http://ugspace.ug.edu.gh 168 Table 5.20: Binary Logistic regression analysis of Socio-demographic Characteristics versus Entrepreneurial Investment Independent Variables Coefficients Std Error Df Significance Odd ratios Marital status Other (Base Category) Married 1.196 0.459 1 0.009* 1.000 3.307 Residence status Temporary (Base Category) Permanent 0.077 0.691 1 0.912 1.000 1.080 Sex Female (Base Category) Male 1.344 0.470 1 0.004* 1.000 3.835 Employment Status Student (Base Category) Employed 1.660 0.784 1 0.034* 1.000 5.262 Level of education High school, Technical, Primary (Base Category) Bachelor Masters and Doctorate 0.823 1.246 0.639 0.665 1 0.197 0.061 1.000 2.278 3.477 Expertise Business (Base Category) Health Community service Education/IT 0.477 -0.222 -0.436 0.599 0.659 0.627 1 0.426 0.737 0.487 1.000 1.611 0.801 0.647 Intention to Return No (Base Category) Yes 1.590 0.727 1 0.029* 1.000 4.903 Constant -4.354 1.265 1 0.001 0.013 Source: Author‘s Construct, 2013 * Significant association p< 0.05 The Nagelkerke R square of 0.355 means that 35 percent of variation in the dependent variable was explained by the independent variables. It can be inferred from the results that marital status, sex, employment status and intention to return are significant predictors of whether a Kenyan migrant will have or not have investments in Kenya at 95 percent confidence level. The positive regression coefficients associated with these independent variables shows that the variables increase the likelihood that a Kenyan migrant living abroad will invest in Kenya. University of Ghana http://ugspace.ug.edu.gh 169 Furthermore, the odd ratios in respect of marital status indicate that Kenyan migrants who are currently married are about three times as likely to invest in Kenya as compared to their counterparts who are not currently married. Similarly, Kenyan migrants who are employed are five times as likely to invest in Kenya as compared to those who are students at the destination. In respect of sex, the odd ratios show that males are about three times as likely to invest in Kenya as compared to their female counterparts. In terms of level of education, Kenyan migrants who have Masters/PhD degrees are three times as likely to invest in the Kenyan economy as compared to their counterparts who have only High school, Technical School or Primary school education. Furthermore, migrants with first degree qualifications are about two times as likely to invest in Kenya as compared to those whose level of education is below first degree. Kuznetsov & Sabel (2006) explain that although the large numbers of university educated people from developing countries in developed countries is the most visible manifestation of brain drain, these migrants are a potent resource for foreign direct investment in their home countries. Kenyan migrants who have the intention of returning to Kenya are nearly five times as likely to invest in the Kenyan economy as compared to those who do not have the intention to return to Kenya. This is in line with Cassarino (2004)‘s work which indicate that migrants who intent to return to their country of origin accumulate more resources and invest more in their country of origin in preparation for their return. 5.3.3.3 Diaspora Entrepreneurship and Business Networks Around a third (31%) of the migrants in the four countries are members of business networks that aim at investing in Kenya (see Figure 5.16). Canada has the highest University of Ghana http://ugspace.ug.edu.gh 170 percentage of migrants (42%) who belong to business networks, followed by the US (38%); and then Ghana (26%). The UK has the lowest (17%) percentage of migrants who belong to business networks. Figure 5:16: Engagement in Business Networks Source: Fieldwork data, 2012-13 The business networks are interested in investing in various sectors of Kenya‘s economy ranging from service industry, health, education and education among others. A number of these business networks are either involved or interested in more than one sector. Figure 5.17: Sector(s) of Interest for the Business Networks Source: Fieldwork data, 2012 - 13 University of Ghana http://ugspace.ug.edu.gh 171 Close to a fifth (18%) of the business networks have invested/are interested in the service industry, while 16 percent are interested in education and health. Other popular sectors are energy which has 12 percent and tourism with 10 percent. Community development, water and sanitation and transport have 2 percent each. 5.3.5 Incentive(s) that would motivate the Diaspora to Invest in Kenya Table 5.21 shows the factors mentioned by the diaspora as incentives that can motivate them to invest/work in Kenya. Table 5.21: Incentive(s) that can Motivate the Diaspora to Invest in Kenya Incentives Country of Residence UK US Canada Ghana All Countries Fiscal advantages and tax concessions 12(24%) 26(20%) 3(17%) 18(18%) 59(20%) Access to credit 7(14%) 31(24%) 3(17%) 22(22%) 63(21%) Free transfer of benefits from abroad 10(20%) 27(21%) 5(28%) 19(19%) 61(21%) Access to land 9(18%) 21(16%) 3(17%) 20(20%) 53(18%) Reduced administrative formalities 11(22%) 25(19%) 4(22%) 18(18%) 58(20%) Other 0(0%) 0(0%) 0(0%) 2(2%) 2(1%) Total 49(100%) 130(100%) 18(100%) 99(100%) 296(100%) Source: Fieldwork, 2012 – 13 The most prominent incentives are free transfer of benefits from abroad and access to credit, with 21 percent each. These are closely followed by fiscal advantages and tax concessions (20%) and reduced administrative formalities (20%). Access to land was also an important incentive (18%). In spite of the general trend for all countries, migrants in each country had varying factors as their leading incentives. While the most eminent factor for the migrants in the UK is fiscal advantages and tax concessions (24%), migrants in the US (24%) and Ghana (22%) consider access to credit as the most attractive incentive for them. Migrants in Canada on the other hand mention free transfer of benefits from abroad as the most outstanding incentive (28%). University of Ghana http://ugspace.ug.edu.gh 172 5.4 INTENTION TO RETURN TO KENYA The intention to return can influence a migrant‘s participation in transnational activities. Literature shows that when migrants anticipate returning home, they are keen to invest in projects like real estate and trading businesses in preparation for their return (Adepoju, 2010). Findings from this study shown earlier in Tables 5.5, 5.15 and 5.18 show that: there is a positive association between a migrant‘s frequency of return visits and the intention to return and (χ2 = 7.290, p = 0.007); a migrant‘s intention to return and the decision to invest in financial instruments in Kenya (χ2 = 11.088, p = 0.001); and a migrant‘s intention to return and the decision to invest in entrepreneurial ventures Kenya (χ2 = 11.865, p = 0.001). 5.4.1 Intention to Return before Retirement The migrants were asked to indicate whether they intend to return to Kenya before retirement or not. A total of 176 respondents answered this question; 25 in the UK, 71 in the US, 12 in Canada and 68 in Ghana. Figure 5.18: Intention to Return to Kenya before Retirement Source: Fieldwork data, 2012-13 Most (89%) of the participants expressed their intention to return to Kenya. This percentage constitutes 92 percent of migrants in the UK and Canada, 87 percent of the migrants in US, and 88 percent of the migrants in Ghana. Those who indicated they are University of Ghana http://ugspace.ug.edu.gh 173 not planning to return to Kenya mention various factors that discourage them from returning back to Kenya (see Figure 5.19). Figure 5.19: Reasons for Unwillingness to Return to Kenya Source: Fieldwork, 2012 Close to half of them (47%) opine that there are better opportunities at their country of residence than what they would get in Kenya and therefore do not see any need to return to Kenya. Similarly, over a third (32%) of the migrants who are not interested in returning to Kenya point to high rates of insecurity in Kenya as the demotivating factor. The other reasons given are corruption, immigration, and citizenship issues (each with 5%). There are also 5 percent of the migrants who say that returning to work in Kenya is not part of their plan. This is probably because they are well integrated in the destination country and feel at home there. 5.4.1.1 Work Preference and Area of Expertise The work preferences upon return vary from country to country. Nonetheless it is important to note that half of all the migrants (50%) hope to return, not as job seekers but self-employed. This is very important given that lack of employment opportunities has been one of the major causes of out-migration in Kenya (Okoth, 2003). The country by country analysis shows that close to half (46%) of the migrants in the UK desire to work in the private sector, 36 percent want to be self-employed, 5 percent desire to University of Ghana http://ugspace.ug.edu.gh 174 work in the public service, whereas the other 14 percent wish to get involved in community development. This is very different from the migrants in the US where 57 percent of them would prefer to be self-employed, 28 percent wish to work in the private sector, while 12 percent prefer working in the civil service. Table 5.22: Work Preference and Area of Expertise Variables Country of Residence UK US Canada Ghana All Countries Where would you prefer to work? Self employed 8 (36%) 34(57%) 4 (36%) 31(51%) 77(50%) Private sector 10(46%) 17 (28%) 2 (18%) 21(34%) 50 (33%) Civil service 1 (5%) 7 (12%) 2 (18%) 2 (3%) 12 (8%) Community Development 3 (14%) 1 (2%) 1 (9%) 6 (10%) 11 (7%) Other 0 (0%) 1 (2%) 2 (18%) 1 (2%) 4 (3%) Total Responses 22(100%) 60(100%) 11(100%) 61(100%) 154(100%) Area of Expertise Agriculture 0 (0%) 2(3%) 1(9%) 4(6%) 7(4%) Entrepreneurship & Business Administration 8 (31%) 13(18%) 2(18%) 18(27%) 42(24%) Community Development & social services 4 (15%) 3(4%) 2(18%) 11(16%) 20 (11%) Construction & Real Estate 2(8%) 12(16%) 1(9%) 11(16%) 26(15%) Governance & Public Administration 0 (0%) 1(1%) 2(18%) 2(3%) 5(3%) Health 6(23%) 22(30%) 3(27%) 2(3%) 33(19%) Hospitality & Tourism 0 (0%) 2(3%) 0 (0%) 5(7%) 7(4%) Research & Education 3(12%) 12(16%) 0 (0%) 6 (9%) 21(12%) Science & Technology 2(8%) 4(5%) 0 (0%) 6 (9%) 12(7%) Transport & Communication 1(4%) 2(3%) 0 (0%) 2(3%) 5(3%) Total Responses 26(100%) 73(100%) 11(100%) 67(100%) 178(100%) Source: Fieldwork, 2012 – 13 Half (51%) of the migrants in Ghana hoped to be self-employed upon return, while about a third (34%) wanted to work in the private sector upon return. On the other University of Ghana http://ugspace.ug.edu.gh 175 hand, 36 percent of the migrants in Canada preferred being self-employed upon return and close to a quarter (18%) wanted to work in the private sector and the civil service respectively. The preferred areas of expertise upon return also differed from one country of residence to another. While the most preferred area of expertise by the migrants in the UK and Ghana is entrepreneurship and business administration with 31 and 21 percent of all responses respectively; the most preferred expertise among the migrants in the US and UK is health with 30 and 27 percent respectively. Health features prominently in the three developed countries (the UK, US and Canada). It is the most preferred area of expertise by migrants in the US (30%) and Canada (27%), and the second most (23%) preferred area of expertise in the UK. In contrast, it is among the least (3%) preferred areas of expertise among the migrants in Ghana. This is not surprising given that as shown in Table 4.4 in the Socio-Demographics chapter, a significant percentage of migrants in the three developed countries have expertise in health and medical services; UK (24%), US (40%) and Canada (27%), while it is only 5 percent of the migrants in Ghana who have expertise in health and medical services. 5.4.1.2 Desired Time of Return A total of 161 respondents answered the question on the desired time of return – 23 in the UK, 58 in the US, 12 in Canada, and 68 in Ghana. As demonstrated in Figure 5.20, the UK has the highest number of migrants who desire to return to Kenya within one year (26%), followed by Ghana (19%) and then the US (10%) and Canada (8%). Close to 60 percent of Kenyan migrants in the UK (56%), Canada (58%) and Ghana (59%) desire to return to Kenya within the next four years. This percentage is lower for the migrants in the US; only 36 percent of them desire to return to Kenya within this time. University of Ghana http://ugspace.ug.edu.gh 176 Figure 5.20: Desired Time of Return Source: Fieldwork, 2012-13 The US is the only country that has more than half (64%) of respondents who desire to return to Kenya after five or more years. This is probably because most of them would like to invest first before returning home as clearly stated by Rosalinda in one of the FGDs in the US: the majority of the people here want to go back, their dream is to go back but the thing is, they don‘t want to go empty handed, they want to invest, because they don‘t want to go back unemployed, they want to have an investment where they will be having x amount of money…., income every month, and…. (Rosalinda, July 27, 2012; Massachusetts, US). These findings indicate that most Kenyans in the diaspora desire to return to Kenya in the near future but the question is whether these good intentions of migrating back are usually translated into action. The two focus group discussions (FGDs) held in the US revealed that there is a possibility of having the desire to go home without ever actualizing it. This is what Jacob, one of the discussants in one of the FGDs in the US said during a focus group discussion: A hundred percent of people who come here want to go back but only one percent goes back… People get stuck here because when you come here, you get used to the American lifestyle. People keep saying they want to go back but there is not a time frame. Personally I don‘t think 99% of the people ever go back. I have been here for fifteen years and I have not met a person who has packed and left… but people are constantly telling me ―you know what, I want to go back home‖ Jacob, 27 July 2012; Massachusetts, US). University of Ghana http://ugspace.ug.edu.gh 177 5.4.1.3 Length of Stay upon Return Out of a total of 162 respondents who answered the question on expected length of stay upon return, 24 were in the UK, 63 in the US, 12 in Canada and another 63 in Ghana. Most of the migrants (66%) anticipate returning to Kenya permanently. The migrants in Ghana have the highest (76%) percentage of those who expect to return permanently, followed by the US (63%) and then the UK (54%) and Canada (50%). About a fifth (22%) of migrants from all the four countries plan to return for more than one year. This comprises more than two fifth (42%) of the migrants in the UK, a third of the migrants in Ghana (33%), and 17 percent in both the US and Canada. Figure 5.21: Anticipated Length of Stay upon Return Source: Fieldwork, 2012 – 13 5.4.1.4 Incentives that would motivate the Migrants to Return to Kenya When the migrants were asked to mention the incentives that would motivate them to return to Kenya, the respondents mentioned a number of factors ranging employment opportunities, availability of investment opportunities, rule of law and absence of corruption, among others. It is clear that availability of employment opportunities is a strong incentive (17%) for return-migration. It is the most prominent incentive for the migrants in the UK (23%) and Ghana (21%). It was also among the most conspicuous incentives in Canada with a percentage of close to a fifth of all the responses (19%). Similarly, around a tenth (11%) of the migrants in the US also considers employment University of Ghana http://ugspace.ug.edu.gh 178 opportunities as important. During an in-depth interview, Jocelyn, a middle aged woman living in the US clearly stated that she was ready to relocate to Kenya if she was able to get a job that would meet her basic needs: I would like to go back to Kenya if I get an opportunity…If I had a job in Kenya with an income and my own house, I would be very happy and would stay there (Jocelyn, July 25, Massachusetts, US). Table 5.23: Incentives that would Motivate the Migrants to Return to Kenya Motivation for Return Country of Residence UK US Canada Ghana All Countries Altruism 3(10%) 11(13%) 2(13%) 11(16%) 27(14%) Better Security 5(16%) 10(12%) 2(13%) 1(1%) 18(9%) Better Social Facilities 1(3%) 2(2%) 0(0%) 0(0%) 3(2%) Completion of Studies 0(0%) 1(1%) 0(0%) 3 (4%) 4(2%) Economic Development 4(13%) 2(2%) 0(0%) 6(9%) 12(6%) Employment Opportunities 7(23%) 9(11%) 3(19%) 14(21%) 33(17%) Family & Friends 3(10%) 12(14%) 3(19%) 11(16%) 29(15%) Financial security & availability 0(0%) 7(8%) 0(0%) 3(4%) 10 (5%) Good Infrastructure 0(0%) 1(1%) 0(0%) 2(3%) 3(2%) Investments 4(13%) 11(13%) 1(6%) 9(13%) 25(13%) Rule of Law/Absence of Corruption 2(6%) 13(16%) 3(19%) 2(3%) 20(10%) Political & Economic Stability 2(6%) 3(4%) 1(6%) 5(7%) 11(6%) Reduced Bureaucracies & Administrative Formalities 0(0%) 1(1%) 1(6%) 0(0%) 2(1%) Total Responses 22(100%) 58(100%) 11(100%) 54(100%) 197(100%) Source: Fieldwork, 2012 - 13 Fifteen percent of the migrants have said that the fact that they have family and friends in Kenya is enough incentive for them to return home. Pamela, one of the Kenyan migrants interviewed in the US expressed her desire to return home for the sake of her mother: I definitely must go back to Kenya when I become financially stable. I miss home a lot. Whenever I talk to my Mom I say a silent prayer that she does not ask me when I would be going home. She keeps asking when I will go back home and she wonders whether I do not have enough faith in the Lord (Pamela July 21, 2012; Massachusetts, US). University of Ghana http://ugspace.ug.edu.gh 179 Similarly, fourteen percent have indicated that the love for their country (altruism) is enough reason for them to return to Kenya. Jim, a Kenyan who has lived in the US for fifteen years, explained how the love for his country and desire to contribute in nation building motivate him to return to Kenya: Obviously Kenya is my home country so I have special thoughts for my country I am attached to my country. This is enough reason to make me want to go back home. I believe another thing that would motivate me is that, based on my experience outside the country and my knowledge about my country, I would probably have an edge in business. I also believe I have something to offer I can transfer my skills and the knowledge I have accumulated here (Jim July 20, 2012; Massachusetts, US). These words were echoed by Pearl, a Kenyan living in Ghana: ―I will definitely want to return home soon. First of all my heart is there, I have grown up there, so the cultural differences make me feel much more comfortable back home than here…‖ Having a favourable environment for investments has also been mentioned as a key incentive (13%) for return migration. Another non-negotiable incentive for return as far as the migrants are concerned is observance of the rule of law and the absence of corruption (10%). It is top (16%) in the list of the migrants in the US. Similarly, it has the highest score in Canada, co-sharing with availability of employment opportunities and family and friends, with having close to a fifth (19%) of the total responses. Apart from the migrants in Ghana, migrants in the developed countries considered insecurity a major disincentive for return migration; UK (16%), UK (12%) and Canada (13%). 5.4.2 Return upon Retirement The migrants were also asked whether they would like to return to Kenya when they retire or not. A total of 158 respondents answered the question on whether they would like to return to Kenya when they retire; 23 in the UK, 69 in the US, 12 in Canada and 54 in Ghana. The majority (88%) of the respondents expressed their willingness to return to Kenya when they retire; UK (83%), US (87%), Canada (92%), Ghana (91%). University of Ghana http://ugspace.ug.edu.gh 180 Rehab a Kenyan in the UK made the following statement in her answer as to whether she would like to return to Kenya upon retirement: ―Yes I would like to go home. I would not want to retire here. When one is old, home is better.‖ Figure 5.22: Desire to Return upon Retirement Source: Fieldwork, 2012 - 13 5.4.2.1 Nature of return The migrants were asked whether they would like to return to visit, permanently, as consultants, seasonally or permanently. This question was answered by 136 respondents; 18 in the UK, 58 in the US, 11 in Canada and 49 in Ghana. Most (62%) of the respondents said they would like to return permanently. This notwithstanding the migrants in Canada who wished to return to Kenya upon retirement were less than half (45%). About a fifth (22%) of the migrants would like to return as consultants and contribute to Kenya‘s development in various fields. John, a Kenyan in his mid-thirties based the US expressed the desire to be productive and to participate in national development after retirement: Personally I don‘t like the word retirement coz I don‘t want to feel like I am done with life, I would like to be useful throughout my life. I believe that based on my experiences outside Kenya, I will still have something to offer to my country even after the age of retirement (John, July 22, 2012; Massachusetts, US). University of Ghana http://ugspace.ug.edu.gh 181 Close to a fifth (18%) of the migrants in Canada, 11 percent in the UK, and 2 percent in the US would like to return to Kenya seasonally after retirement. However, there are no migrants in Ghana who would like to return to Kenya seasonally after they retire. Figure 5.23: Nature of Return Source: Fieldwork, 2012 - 13 Close to 70 percent of Kenyans said they would like to return home permanently. This corroborates qualitative research findings which show that, apart from the Kenyans with Ghanaian spouses, most of the other Kenyans in Ghana would like to return home even before they retire. Nicholas - a Kenyan in Ghana- felt that retirement was way too far for him and his family and expressed the desire to return even before he retires: ―Retirement is way too far I told you my age, I am still young and we are a young family. Returning has to be at an earlier stage rather than later.‖ There are also some migrants who would prefer visiting Kenya from time to time after they retire. These are 12 percent in the US, 8 percent in Ghana, and 6 percent in the UK. University of Ghana http://ugspace.ug.edu.gh 182 5.5 CHALLENGES ENCOUNTERED BY THE KENYAN DIASPORA IN TRANSNATIONAL ENGAGEMENT When the migrants were asked whether they encounter any challenges in the course of making return visits, remittance transfers, saving and investing in Kenya, they mentioned several challenges. 5.5.1 Hindrances to Return-Visits and Tourism in Kenya Figure 5.24 shows that 80 percent and above of Kenyans in the four countries under study encounter challenges in the course of participating in return-visits and tourism in Kenya. Figure 5.24 Whether Migrants Encounter Challenges in Return-visits Source: Fieldwork Data, 2012-13 In order of prominence, the challenges mentioned in Figure 5.25 are; high costs, insecurity, lack of time, poor infrastructure, immigration problems, corruption, careless driving, political instability and malaria. The high costs mentioned (slightly over 40 percent) in relation to return visits are mainly airfares and accommodation. As far as domestic tourism is concerned, the main challenges mentioned were accommodation and other tourism related expenses as expressed in the following views: University of Ghana http://ugspace.ug.edu.gh 183 ―Local tourism is expensive‖ ―Exorbitant rented accommodation and hotel room rates.‖ They charge my husband tourist fees since he is not a Kenyan citizen‖ ―Hotels are very expensive. Car Rentals are hard to come by and expensive. Most things in the country are expensive for a casual tourist.‖ Source: Open-ended Survey Questions (2012-13) Figure 5.25: Hindrances to Return-visits and Tourism (for all Countries) Source: Fieldwork Data, 2012 The respondents also lamented about the various kinds of insecurity (real or perceived) (21 percent) as one of the factors that discourage them from visiting Kenya. Some of the forms of insecurity are stipulated in the following responses given by some respondents in open-ended questionnaires and in-depth interviews: ―The security problems like tribal clashes and violence in Kenya hinder my travelling around Kenya.‖ ―Insecurity-car hijackings and burglary are a big challenge‖ ―I consider rising crime rates e.g. armed robbery and carjacking a major hindrance to travelling to Kenya‖ ―I love visiting my country. I only worry about armed robbery and corruption.‖ ―Hijacking which is ridiculous.‖ ―Crime rate is very high.‖ Source: Open-ended Survey Questions (2012-13) University of Ghana http://ugspace.ug.edu.gh 184 Equally important, is the challenge of lack of time. Most Kenyans indicated that they usually find themselves busy throughout the year with limited time to visit home as expressed in the following comments: ―When I was a house wife, I could afford to travel home more often but now I am much busier and I need to concentrate on my business.‖ ―Time is always limited‖ ―Work, school balancing children‘s holidays with spouse's and mine‖ ―Given how long it takes to travel to Kenya, length of vacation has to be at least 2 weeks. Difficult as I only get 3 weeks for vacation.‖ Source: Open-ended Survey Questions (2012-13) Apart from lack of time for return-visits, a number of the people who were able to visit Kenya found it hard to create time for domestic tourism since there visits are usually very busy. These are some of the responses given in response to the question why the migrants are unable to participate in domestic tourism: ―I find domestic tourism a waste of my precious time. I would rather be with family than tourism.‖ ―I have limited time available after attaining primary travel objectives of visiting family and reviewing business interests.‖ ―My family is often not interested in tourism, just spending time at home‖ Source: Open-ended Survey Questions (2012-13) Poor infrastructure featured also prominently as one of the hindrances of domestic tourism. This issue was mostly raised by Kenyans in the developed countries. Joyce in the US complained about poor roads: ―one huge challenge to tourism is poor road networks in Kenya.‖ This was reiterated by a migrant in Canada who raised the following concern: ―Means of transport to some areas is unpredictable. One may take a full day waiting for a bus or matatu (minibus). It's like people don't realize that time is money.‖ Another migrant in the UK also stated that: ―the transport system is unreliable.‖ It is also interesting to note that careless driving featured among the disincentives of return-visits and tourism. Danielle a Kenyan in the US explained that there are too many accidents in Kenya: ―I find it quite unsafe...too many fatal accidents‖. This was reiterated by another respondent in Canada who categorically University of Ghana http://ugspace.ug.edu.gh 185 declared that ―road traffic accidents are appalling - drivers are so reckless/careless‖. George in Ghana also complained about what he called ―unruly driving behaviours‖. Breaking down the challenges to individual countries as shown in Table 5.24, the eminence of issues mentioned by the migrants differed according to their country of residence. Table 5.24: Hindrances to Return-visits and Tourism (for individual Countries) Variables Country of Residence UK US Canada Ghana All Countries Careless Driving 2(8%) 1(2%) 0(0%) 0(0%) 3(2%) Corruption 1(4%) 4(6%) 1(8%) 0(0%) 6(4%) High Costs 5(20%) 15(23%) 3(25%) 25(50%) 48(31%) Immigration Problems 0(0%) 7(11%) 1(8%) 0(0%) 8(5%) Insecurity 10(53%) 15(23%) 2(17%) 4(8%) 31(20%) Lack of Time 2(8%) 8(12%) 2(17%) 10(20%) 22(14%) Malaria 0(0%) 1(2%) 0(0%) 0(0%) 1(1%) Political Instability 0(0%) 1(2%) 0(0%) 0(0%) 1(1%) Poor Infrastructure 1(4%) 5(8%) 1(8%) 0(0%) 11(7%) None 4(16%) 9(14%) 2(17%) 11(22%) 22(14%) Total 25(100%) 66(100%) 12(100%) 50(100%) 153(100%) Source: Fieldwork, 2012-13 For the Kenyans in the UK, the most prominent challenge is insecurity, which scores 53 percent of total responses, followed by high costs incurred during return-visits (20 percent), lack of time (8%) and careless driving (8%). This came out strongly in the open-ended survey questions: ―The thought of visiting home terrifies me when I remember the murders of my two brothers at two different times, yet investigations into their killings have not been conclusive and no one has been brought to book for these heinous crimes. I feel like my family is a target of some unknown assailants, and I therefore feel very unsafe visiting Kenya let alone getting involved in domestic tourism‖. ―I love visiting home but traveling to Kenya involves too much planning to keep safe, to avoid being mugged, and fear of losing essential items to crime related incidents‖ (Source: Open-ended survey question by respondents in the UK) Kenyans in the US also mentioned insecurity (23%) and high costs (23%) as the most conspicuous challenges that they experience. They also talked about lack of time (12%) University of Ghana http://ugspace.ug.edu.gh 186 and immigration challenges (11%). The following responses were given by Kenyans in the US to explain how immigration problems hinder them from vising Kenya: ―I haven‘t been able to visit because I have had issues with immigration, which has been sorted, as soon I get my passport I will be in Kenya within 2 months.‖ ―I do not have a green card and when you do not have one it is very difficult to travel home. If you travel, you will not be allowed to come back.‖ ―For me I came as an international student, waiting to get my green card I need to get papers so that I can be able to travel without any problem.‖ ―Without a resident permit, it is very risky for me to travel home because I may not be allowed to come back and yet this has now become my new home- all my life is here. After living in this country for 14 years I have developed roots and ties here. If I had papers today I would be in Kenya tomorrow. I miss home a lot.‖ ―I cannot be able to travel home because of papers. I am praying for a miracle. Although I have never applied for a residence permit I have strong faith that God will open a way that I may be able to travel home and back.‖ ―The primary difficulty is being able to travel back to the US without visas which has become extremely hard to get.‖ (Source: Open-ended survey question by respondents in the US) Kenyans in Canada mentioned high costs as their most important problem (25%), followed by insecurity and lack of time both at 17 percent. Although Kenyans living in Canada did not experience many immigration problems at destination, those who had acquired Canadian citizenship struggled to get visas to visit Kenya. This is best captured in the words of one of the survey respondents who had acquired Canadian citizenship: ―Kenyan High Commission in Canada provides conflicting information on visa application, length of stay of visa and they overcharge Kenyans living abroad for visa.‖ On the other hand, Kenyans in Ghana cited high costs (50%) as the main hindrance to return-visits to Kenya. This was reiterated during in-depth interviews and in the open- ended survey questions, where most Kenyans in Ghana complained about high airfares between the two countries: University of Ghana http://ugspace.ug.edu.gh 187 ―The main challenge hindering me is the air ticket back home.‖ ―You could say that flight fares are high, so if they were a bit lower we would probably go more often.‖ ―I would like to travel at least twice a year but I cannot be able to travel more than once a year since that is what we agreed with my employers from the very beginning and the fare to Kenya is very high.‖ ―The fare is expensive from here. East African fares are unfairly high. If you had to do it on your own I guess you would have to cough a lot of money.‖ ―Airfares from Accra to Nairobi are over-rated due to monopoly on the route.‖ ―KQ (Kenya Airways) airfares are high and there is no competing airline for direct flights. I could travel more often if costs were lower.‖ ―The airfare to Kenya from Ghana is very high. We need more carriers to fly between Ghana and Kenya at lower rates.‖ ―Airfare is on the higher side for a within Africa travel.‖ ―Cost of travel - airfare from Ghana is prohibitive and there are no options.‖ (Source: Open-ended survey question by respondents in the UK) 5.5.2 Challenges Encountered in the Course of Sending Remittances The migrants were asked to mention the challenges they encounter in their effort to send remittances to Kenya. As shown in Figure 5.26, the greatest impediments that cut across all the four countries are high transfer costs (27%) unfavourable exchange rates (26%), and high bank charges (18%). Figure 5.26: Challenges of Sending Remittances (for all Countries) Source: Fieldwork data, 2012 University of Ghana http://ugspace.ug.edu.gh 188 A country by country analysis shows the order of prominence of various challenges varies according to the country of residence (see Table 5.24). The utmost challenge for the Kenyans in the UK for instance is unfavourable exchange rate (35%), followed by high transfer costs (23%) and high bank charges (18%). By the same token, unfavourable exchange rate (27%), high transfer costs (26%) and high bank charges (18%) are the leading challenges for the migrants in the US. Kenyan migrants in Canada also encounter, high transfer costs (32%) and unfavourable exchange charges (21%). Similarly, the foremost challenges for the migrants in Ghana are high transfer costs (25%), unfavourable exchange rate (21%) and high bank charges (19%). These three challenges were also mentioned during interviews in both the US and Ghana. Peter, a Kenyan in the US patiently explained how he loses money whenever he sends money through bank transfers: When I wire money into my account, I pay more. If I send USD 10,000 dollars through formal means it will not get there as USD 10,000. Out of that USD 10,000, there is a chunk like Kes 43,000 (USD 500) to Kes 50,000 (USD 580) which they say goes to treasury, to taxes etc. But if I send through the informal sector it gets there with a very good rate and it gets there with my full amount (Peter, July 17, 2012; Massachusetts, US). These findings confirm World Bank surveys which show that the formal means of sending remittances are associated with high costs as well as limited access of formal channels (Ratha et al, 2011). Ghosh (2006), also talks about high costs as a major hindrance to sending of remittances. According to him, the funds transfer market is dominated by money changers and transfer agents who charge high costs that are disproportionate to the true cost of transfer. In addition to high costs of sending remittances, another challenge is lack of convenient modes of funds transfer (13%). State control over transfer of funds is also one of the challenges that migrants face in their efforts to send money home. This was most noticeable in Ghana (6%). During in- University of Ghana http://ugspace.ug.edu.gh 189 depth interviews a number of Kenyans in Ghana complained about the state limitation on how much money one can send to Kenya in a year. This is what Craig was trying to explain when he said: ―I would like to send money home every month but the limit is USD 10,000 per year‖. Table 5.25: Challenges of Sending Remittances (for individual countries) Challenge Country of Residence UK US Canada Ghana All Countries Lack of convenient modes of transfer 4(10%) 9(8%) 3(11%) 21(18%) 37(13%) High transfer costs 9(23%) 31(26%) 9(32%) 29(25%) 78(27%) Unfavorable exchange rates 14(35%) 32(27%) 6(21%) 24(21%) 76(26%) High bank charges 7(18%) 21(18%) 3(11%) 22(19%) 53(18%) State control over monetary transfers 0(0%) 4(3%) 1(4%) 13(11%) 18(6%) Transaction security 3(8%) 7(6%) 2(7%) 2(2%) 14(5%) Distance of transfer services from recipient 1(3%) 3(3%) 2(7%) 0(0%) 6(2%) Privacy 1(3%) 5(4%) 1(4%) 3(3%) 10(3%) Total 39(100%) 112(100%) 27(100%) 114(100%) 292(100%) Source: Fieldwork, 2012 - 13 The problem of state control over transfer of funds was not limited to Ghana. When asked about the greatest challenge that he encounters, this is what Jerome, a Kenyan living in the US, had to say: Red tape is my greatest challenge. If I want to send more than USD 3,000, they want a lot on my financial information. If I send too many times, the government here may want to know my income. Why? They are careful about money laundering, so you find many Kenyans don‘t want to send a lot of money with Western Union. May be you are working hard here, but you don‘t want to be investigated…. Kenyans work hard but the government, here when they see you are sending a lot of money somewhere, they come after you. Why they come after you is because they want to know where you are getting the money from. And then they come after you with somebody called Uncle Sam. Uncle Sam comes to find out... Did you pay taxes worth that money? Now you see the problem it has created? Why? Because our systems in Kenya don‘t work. If they were good, people wouldn‘t go to some of these extents. You comfortably send money to your account... that is it. (Jerome, July 27, 2012; Massachusetts, US). University of Ghana http://ugspace.ug.edu.gh 190 Apart from the aforementioned challenges demonstrated in Table 5.25 above, which are structural in nature, there are also social behavioural factors that discourage people from sending remittances. This is highlighted in a survey response from the UK as follows: I think people from the other side think we have a lot of money in the UK, the little that you send they misuse .They don‘t appreciate any help, we live in separate worlds we are in another level, yes, some people in Kenya are much well than those out here (source: Open-ended survey question). Many migrants also complained about unrealistic expectations from friends and relatives, as clearly put by Benson, a Kenyan in the US: ―high expectations from people at home is a demotivating factor – they believe once you embark on a flight you will be blowing a lot of money‖. 5.5.2 Challenges of Saving and Investing in Kenya The migrants mentioned several impediments to investing in Kenya. One of the main challenges is a constant fear of being conned by fraudsters (21%). The migrants complained that it was difficult to find a trustworthy person who can help them invest or run their businesses. This is what Princess, a Kenyan migrant in the US, had to say about this challenge: I guess the main challenge is the management of your investment. Once you put money somewhere then you want to be sure that whoever is managing is a straight person… those now become personal issues so it is not easy for you to control… that is why I think people are a bit sceptical investing when you are far away (Princess, July 28; Massachusetts, US). The list of ‗fraudsters‘ include friends and relatives who are out to exploit the migrants. Greg, also a migrant in the US, said that he has been conned before and is therefore fearful about investing in Kenya: ―I have suffered loss of investment capital to con-men and unreliable family members and I therefore fear losing investment through fraudulent means.‖ Rashid, a Kenyan in Ghana, also mentioned fraud as the main factor University of Ghana http://ugspace.ug.edu.gh 191 hindering diaspora investment in Kenya: ―The leading obstacle is insecure investment system and lack of trust/ or fraudulent persons‖ These sentiments were also shared by Maria (a Kenyan living in the US): ―the greatest impediment to investing in Kenya is fraudulent ventures by relatives & friends entrusted with investments.‖ During a focus group discussion in the US, Pauline went further to explain how such problems can be addressed: I have heard cases where people have sent money to their family members but the money does not accomplish what it was meant to accomplish. People should do what they are supposed to do…being genuine. We should be able to trust one another - I can trust you and you can trust me. I think we will be far ahead if we deal with these things right from our families, churches and schools. We are always blaming the government, there is no structure called the government. The government is part us, is our families… (Pauline, FGD Interview, July 20, 2012; Massachusetts, US) Table 5.26: Challenges of Investing/Doing Business in Kenya Challenges Country of Residence UK US Canada Ghana All Countries Risk of being conned by fraudulent property dealers 11(26%) 32(22%) 5(19%) 19 (18%) 67(21%) Poor management by the workers 4(9%) 20(14%) 3(11%) 21(20%) 48(15%) Difficulties accessing credit 5(12%) 17(12%) 5(19%) 10(10%) 37(12%) Information Asymmetries 4(9%) 25(17%) 3(11%) 18(17%) 50(16%) Bureaucratic administrative formalities 9(21%) 22(15%) 4(15%) 13(13%) 48(15%) Prohibitive costs 3(7%) 14(10%) 2(7%) 7(7%) 26(8%) Inadequate infrastructure 7(16%) 15(10%) 5(19%) 11(11%) 38(12%) Other 0(0%) 2(1%) 0(0%) 4(4%) 6(2%) Total 43(100%) 147(100%) 27(100%) 103(100%) 320(100%) Source: Fieldwork, 2012 - 13 The second most important challenge is information asymmetries (16%). This corroborates Ghosh‘s view that one of the main hindrances to diaspora investment in their home country is lack of familiarity with investment instruments in the corporate sector (Ghosh, 2006). During an in-depth interview, Bernard complained about lack of information that can help migrants to make informed decisions on investments: ―There is no information shared with Kenyans in diaspora‖. The other impediments mentioned University of Ghana http://ugspace.ug.edu.gh 192 are poor management of investments by workers (15%) and bureaucratic and administrative formalities (15%). David, a migrant in the US complained about the bureaucracy encountered by diaspora investors in their efforts to invest in Kenya: ―… we are discouraged from investing at home due to the bureaucracies encountered when applying for simple things such as permits and IDs (Identity Cards)‖ This was the same concern raised by Belinda: ―the administrative formalities by the government are too many.‖ Difficulties in accessing credit (12%) and Poor infrastructure (12%) also featured prominently among the challenges encountered by transnational migrants in the process of investing at home. This confirms the findings of Newland and Tanaka (2010), which mention bureaucratic and administration bottle necks as a major hindrance to diaspora entrepreneurship. Apart from the challenges mentioned above, during interviews and FDGs, the migrants also mentioned insecurity, political instability and the double standards by the leaders as key challenges faced by diaspora investors. The migrants expressed dissatisfaction with the recent demolition of houses by law enforcing authorities. To them, it is unfair on the part of government to demolish properties which the same government granted permit to put up. This is what Pete, one of the discussants in a FGD in the US said about this issue: … Why in the first place, should the government allow such structures to be put up when they know it very well… because I‘m sure they were not blind, they saw it happen, why do you have to punish your own people in that kind of way, that shows there is something very wrong somewhere, whether it was intentionally done or accidental or whatever the case may be. What do you think it means to people who perhaps are in the Diaspora and had invested in those kinds of houses? (Pete, FGD Interview, July 27; Massachusetts, US) Similar views were expressed by the migrants in Ghana as seen in the words of Esmeralda: University of Ghana http://ugspace.ug.edu.gh 193 Right now we have a problem with the title deeds for land in Kenya. Although most of us would like to buy land in Kenya we are reluctant because we are not sure whether if we construct on the land, the buildings will be demolished in 5 years and we are kicked out. So if we can have land security we can be able to do more (Esmeralda, FGD January 13, 2013; Accra, Ghana). There were also some complaints about how the financial institutions handled the diaspora customers. Joshua, a Kenyan in the US, expressed his dissatisfaction in the following words: The banks themselves are very inefficient. For instance, I bought some shares through a bank but the bank hasn‘t sent statements to me for the past one and a half years, and therefore I don‘t know if they sold my shares or not. Banks should update the customers on the transactions. Apart from not sending statements regularly, they charge too much money for phone communication! Even when you call them you find them saying that you have to pay charges… international call charges! (John, July 22; Massachusetts, US) Despite the many challenges mentioned by the diaspora, John, a migrant in US, expressed optimism: ― Investors should not look at investing in Kenya as full of hurdles everywhere if anything I think that our government is quite much more flexier than the government here Kenya is much more friendlier to the investor.‖ 5.6 SUMMARY This chapter has assessed how the involvement of Kenyan transnational migrants in home visits, remittance transfers and savings and investments can be leveraged towards Kenya‘s development and achievement of Vision 2030. In the discussion, the chapter has also explicated the challenges encountered by the transnational migrants in the transnational activities. Finally, the chapter has discussed how migrants‘ intention to return to Kenya influences their participation in transnational activities. The next chapter evaluates how the participation of the diaspora in Kenya‘s development can be enhanced in order to contribute towards the achievement of Kenya Vision 2030. University of Ghana http://ugspace.ug.edu.gh 194 CHAPTER SIX DIASPORA’S POTENTIAL ENGAGEMENT IN KV-2030 6.0 INTRODUCTION This chapter evaluates how the development potential of Kenyan diaspora can be enhanced and leveraged towards national development and realization of Kenya‘s Vision 2030. The chapter begins by gauging what the members of the diaspora consider as the priority areas in Kenya‘s development. In addition, the chapter discusses the factors that discourage the diaspora from participating in Kenya‘s development. The chapter also assesses whether the Kenyan transnational migrants understand what Kenya Vision 2030 is all about, before evaluating the factors that can enhance migrants‘ participation in the realization of KV-2030. 6.1 DIASPORA PRIORITY AREAS IN KENYA’S DEVELOPMENT In order to find out the diaspora‘s perception on what should be given priority in Kenya‘s development; they were asked to state their priority areas in Kenya‘s development. A total of 154 people responded to this question. The areas that the diaspora consider as top priority are; community development (22%); business and investment (22%); infrastructure (19%) and employment (18%) (see Figure 6.1). Tourism, which is an important sector in the economic development of Kenya has less than a tenth (9%) of the responses. Community development in this context means provision of social amenities like sinking of boreholes and social infrastructure. Similarly, health and education have only 1 percent each. It is possible that the selection of the areas mentioned by the diaspora may have been informed by the information they are exposed to through contact with family and friends, internet, media and other channels of information. University of Ghana http://ugspace.ug.edu.gh 195 Figure 6.1: Diaspora Development Priority Areas Source: Fieldwork, 2012-13 6.2 FACTORS THAT HINDER DIASPORA PARTICIPATION IN KENYA’S DEVELOPMENT Migrants in all the four countries surveyed listed factors that hinder them from participating in development in Kenya ranging from corruption to lack of patriotism (see Figure 6.2 below). Corruption was the most prominent obstacle with 16 percent of the responses. These findings were corroborated by findings from interviews. John- Brown, a Kenyan living in the US mentioned corruption as one of the factors that discourage the diaspora from investing in Kenya: ―what discourages me and many other people from investing in Kenya is Corruption - buying of properties is not guaranteed‖. These sentiments are shared by Christine, a Kenyan living in Ghana: ―It is hard to trust the land deeds and this erodes our confidence in the systems‖. Apart from impeding investments, corruption is also a hindrance to those who want to return to Kenya and look for employment opportunities. Collins, a Kenyan student in the diaspora sounded very pessimistic as far as getting a job in Kenya after completion of studies abroad is concerned: ―one of the factors that hinder Diaspora‘s participation in development at home is corruption -having to buy their way through bribe as opposed University of Ghana http://ugspace.ug.edu.gh 196 to being rewarded for skills and qualifications‖. Johnston, a Kenyan in Ghana also concurs with the above views but also goes on to state that the corruption could either be real or perceived: ―One of the obstacles is lack of trust in the Kenyan Government due to perceived or actual corruption‖. Figure 6.2: Factors that hinder Diaspora’s Participation in Development in Kenya Source: Fieldwork, 2012 - 13 Another prominent obstacle mentioned by the migrants is lack of information about what is going on in Kenya (14%). The following is a sample of some of the responses that cited lack of information as an obstacle to participation in development: ―Lack of reliable information about available opportunities in Kenya is a big obstacle to diaspora participation in development at home‖ ―The Kenyan Diaspora who have not been in touch with Kenya for several years lack the knowledge on where to invest and how to start a business. Hence they require the guidance in the investment sector.‖ ―Lack of information… people need to know what investment opportunities are there.‖ ―Lack of reliable information is a big obstacle. For example, no one can explain why property prices in mid-level areas of Nairobi are as high as in parts of London‖ University of Ghana http://ugspace.ug.edu.gh 197 ―Inadequate information…Some of the few people who come to promote investments don't tell the truth, or the deal looks too good to be true.‖ ―One obstacle is lack of comprehensive, data-rich information and easy-to-assimilate quantitative indicators‖ ―Lack of knowledge about opportunities available is an obstacle especially to those without documents to travel‖ ―People cannot participate in development at home if they lack knowledge on what is happening in Kenya.‖ Source: Open-ended Survey Questions (2012-13) Insecurity (12%) also emerged as an important impediment to the participation of the Kenyan diaspora in development at home. The types of insecurity identified by the respondents include; armed robbery, rape, kidnapping, carjacking and terrorist attacks by Al Shabab and their sympathizers. The respondents expressed the fear of being maimed or even losing lives and property. The following are some of the sentiments expressed about insecurity: ―Insecurity and violence rates in the country scare away diaspora, tourists and foreign investors.‖ ―The Al Shabab issue in Kenya now has made the cost of living go higher and also investment now is a challenge.‖ ―Security in the country is appalling.‖ ―There is high insecurity both of people and finances‖ Source: Open-ended Survey Questions (2012-13) The migrants also complained about tedious bureaucratic and administrative processes (11%) as an impediment to diaspora participation in development. Derrick in US for instance, gave an example of how his friend had faced such bottlenecks in his efforts to donate equipment to a university in Kenya: I will tell you of a case in record of a friend of mine …he was trying to get certain equipment to go to a leading public institution. He contacted the director there to see how he can work with the institution to send out these equipment worth a lot of millions of Kenya shillings. However, either the director was not interested, or he did not know what was going on... I don‘t even understand. The director didn‘t need to pay for anything. The only thing he needed to do was to make arrangements to have these equipment cleared from the port which could have been done by the concerned ministry but that was never to be. (Derrick, July 26, 2012; Massachusetts, US). University of Ghana http://ugspace.ug.edu.gh 198 Fraud and lack of trust was also a largely mentioned (5%). Some members of the diaspora complained that the finances they send home are misappropriated by the very people they thought they could trust. As a result, they feel discouraged about sending more finances. This is how Kennedy, a Kenyan in the US puts it: ― many people who do not want to save, invest or send money to Kenya is because they have been swindled before, they have been down that road and they are very sceptical that they will not encounter the same problem.‖ Interestingly, most of the said ‗conmen‘ and ‗fraudsters‘ are people who are well known to the migrants like relatives and friends and this makes the migrants feel very vulnerable and helpless. They attribute these incidences to the general perception in Kenya that people living outside the country have a lot of money and therefore the people misusing the money feel justified to do so. In open-ended survey questions a Kenyan in the UK complained about the perception of recipients of remittances: I think people from the other side think we have a lot of money in the UK, the little that you send, they misuse. They don‘t appreciate any help, they think we live in separate worlds or we are in another level. Yet some people in Kenya are much better than those out here. Source: Open-ended Survey Questions (2012-13) This was not limited to Kenyans in the developed countries another migrant in Ghana had similar complaints in the open-ended survey questions: ―People at home believe that once you embark on a flight you will be blowing a lot of money‖. The diaspora also complained that the Kenyan government policy on the diaspora was defective (1%) and does not serve their interest. They explained that this includes lack of diplomatic representation and inadequate consular services. There is a general feeling that the existing government policies are unfavourable and/or inadequate to address diaspora issues. The diaspora also complained about what they called ‗superficial government interest‘ in the diaspora which they said was clearly demonstrated by the exclusion of University of Ghana http://ugspace.ug.edu.gh 199 the diaspora from important processes in Kenya like the electioneering process. The following are a few of the sentiments expressed by the diaspora: ―We have been neglected by government policy.‖ ―There is lack of a government strategy on diaspora issues.‖ ―We are not included in critical discussions/brainstorming about Kenya's issues.‖ ―There is lack of the government initiative to attract the diaspora and invite them to part of the development.‖ ―There is lack of creative ideas to engage the diaspora, both among each other and with respective countries.‖ Source: Open-ended Survey Questions (2012-13) Apart from the feeling of being left out of the political processes in Kenya, the diaspora also complained that they were not properly consulted in the drafting of the previous diaspora policy. These sentiments are best captured in the words of Jerome, a Kenyan living in Massachusetts, USA: I think one thing I want to recognize is that the Diaspora all over the world has not been served right by the successive governments in Kenya. This could probably be because of what I would call defective foreign policy. The Diaspora is usually left out of all the consultation processes… For instance, in the drafting of the diaspora policy which is yet to be released, I don‘t remember of any forum where people were actually asked to contribute when they were collating and collecting information to work out the new document (Jerome, July 18, 2012, Massachusetts, US). Kenyans in Ghana also complained about lack of diplomatic representation in Ghana. This issue was mentioned by every person who participated in the in depth interviews and also elicited heated debates in all the focus group discussions held in Ghana. Bernard for instance stated that: ―Lack of embassy in Ghana reduces business opportunities and connections between the two countries and we are therefore not able to participate in development at home as we would love to.‖ Peter took the discussion further by saying: ―we are completely cut off from official information about opportunities that exist in Kenya since there is no Kenyan embassy in Accra. How can we then participate in development at home?‖ In spite of the feeling among the migrants in Ghana that the government should set up an embassy there, it is important University of Ghana http://ugspace.ug.edu.gh 200 to note that it is practically impossible for any government to have embassies in every country. Although there is some unconfirmed information that the government may be planning to set up a High commission in Ghana by the beginning of 2014, this may not have been its priority in the past. Other impediments mentioned include: political and economic instability (4%); poor governance (3%); poor infrastructure (4%); and credit inaccessibility (4%). These findings are not at variance with findings from similar studies elsewhere. For instance, the findings of the Ghanaian diaspora in Germany showed that corruption, high import taxes, mismanagement, bureaucracies, and land insecurity among others were some of the biggest bottlenecks to migrants‘ investment in Ghana (Schmelz, 2009). 6.3 DIASPORA CONTRIBUTION TO KV-2030 (KENYA’S VISION 2030) From its inception; KV-2030 underscored the importance of the diaspora in achieving economic development in Kenya. This is why the diaspora was placed under the Economic Pillar of KV-2030 as a flagship project under the financial services sector (GOK, 2007a; 2007b; 2007c). Since the launch of KV-2030 in 2008, the Government of Kenya has been keen to popularize the Vision among Kenyans, both within and outside the country. Consequently, the government, in collaboration with the private sector has organized various KV-2030 awareness forums in different countries with the aim of encouraging the diaspora to invest in Kenya (see Toboso, 2010). 6.3.1 Diaspora Knowledge of KV-2030 by Country of Residence In order to be able to gauge the diaspora‘s knowledge of KV-2030, the migrants were asked to state what they knew about KV-2030. Those who stated the objectives of the Vision were categorized as very informed; those who said something about the Vision but did not state the objectives were rated as having basic knowledge about the Vision; University of Ghana http://ugspace.ug.edu.gh 201 while those who said they did not know anything about the Vision were categorized as not informed. A total of 146 respondents answered this question; 20 in the UK, 62 in the US, 10 in Canada and 54 in Ghana. Surprisingly, only 23 percent of the respondents were very informed; close to a third (28%) only had basic knowledge, and about half (49%) of the respondents were not informed about KV-2030. Also surprising is the fact that migrants from the three developed countries had the highest percentage of those who did not know anything about the Vision; UK (55%), US (61%) and Canada (60%). Ghana had the highest percentage of people who were very informed about KV-2030 (31%), followed by Canada with 30 percent. The US (16%) and the UK (19%) had the lowest percentage of people who were highly informed about the Vision. Figure 6.3: Diaspora Knowledge of KV-2030 by Country of Residence Source: Fieldwork, 2012 - 13 6.3.2 Gender Dimension in the Knowledge of KV-2030 Out of the 146 respondents who answered the question on the knowledge of KV-2030, 74 (51%) were male and 72 (49%) were female. Both Figure 6.4(a) and 6.4(b) demonstrate that there is a gendered dimension as far as the knowledge of KV-2030 is concerned. University of Ghana http://ugspace.ug.edu.gh 202 Figure 6.4(b): Diaspora Knowledge of KV-2030 by Sex Source: Fieldwork, 2012 – 13 While about a third (31%) of the men were highly informed; the percentage of women who are very informed is about half that percentage (14%). Conversely, more than half (60%) of the women did not know anything about the Vision, while only 39 percent of the men are not informed. A similar trend is observed when the males are compared against females in the same category. The majority (70%) of those who are very informed are males (see Figure 6.4b), while only a third (30%) of females are very informed. Similarly, more men (54%) have basic knowledge than women (46%). However, when it comes to those who are not informed about the Vision, a whopping 60 percent are women while men are 40 percent. These findings corroborate the findings of in-depth interviews and focus group discussions, which show that most of the men who participated in the interviews both in the US and Ghana, irrespective of age or level of education demonstrated immense knowledge of KV-2030 and other economic development issues in Kenya. On the contrary, most women in both countries irrespective of age or level of education had scanty knowledge on economic development issues and a majority of them did not know what KV-2030 is all about. The explanation for this remarkable difference can be drawn from literature that shows that there is a distinctive difference between how men and women University of Ghana http://ugspace.ug.edu.gh 203 participate in transnational social spaces. While men are keen to maintain public and institutionalized ties with their country of origin, women are more committed in participating in life at destination (Itzigsohn & Giorguli-Saucedo, 2005). Figure 6.4(b): Diaspora Knowledge of KV-2030 between Males and Females Source: Fieldwork, 2012 - 13 63.3 The Relevance of Vision 2030 to the Kenyan Diaspora The question on whether KV-2030 is appealing to the diaspora was answered by 104 respondents: UK (11), US (27), Canada (5) and Ghana (32). The majority of the respondents (72%) said that the Vision is relevant to the members of the diaspora. Figure 6.5: Relevance of KV-2030 to the Diaspora 65% 66% 71% 82% 72% 35% 34% 29% 18% 28% 0% 20% 40% 60% 80% 100% UK US Canada Ghana All Countries Yes No Source: Fieldwork, 2012 - 13 Migrants in Ghana had the highest percentage of those who thought the Vision is appealing (82%), while migrants in the UK had the lowest percentage (65%), but still quite significant. The fact that most of the transnational migrants believe that KV-2030 University of Ghana http://ugspace.ug.edu.gh 204 is appealing is a good indication that the diaspora is willing to contribute towards its realization. 6.4 FACTORS THAT CAN ENHANCE PARTICIPATION OF TNMs IN KV- 2030 Since KV-2030 is the long term development plan for Kenya, any participation in national development directly contributes to the achievement of KV-2030. The respondents mentioned many factors as important in enhancing their participation in development in Kenya ranging from information dissemination to respect for rule of law (see Figure 6.6). Figure 6.6: Factors that can Enhance Diaspora’s Participation in Kenya’s Development Source: Fieldwork, 2012 – 13 University of Ghana http://ugspace.ug.edu.gh 205 These same factors can enhance the contribution of the diaspora in the achievement of KV-2030. In order of prominence, the most important factor (12%) mentioned by the migrants was improved dissemination of information on Kenya. The fact that only less than a third (23%) of the respondents were sufficiently informed about KV-2030 (see Figure 6.3) is a pointer that information dissemination about the Vision is inadequate. Since many Kenyans living in foreign countries do not know about KV-2030, it is possible that most of them do not consciously participate in the achievement of its goals. Qualitative findings reveal that most of them are eager to participate in national development but they do not relate national development to KV 2030. This means that they still contribute to the achievement of KV 2030 albeit unconsciously as they participate in development-oriented transnational activities like return-visits, remittance transfers and savings and investments. Nonetheless, it is important to ensure deliberate participation of the diaspora in the implementation of the Vision by enhancing information dissemination about KV-2030 among the diaspora. Castrol in the US suggested the use of technology in improving information dissemination: In the age of technology, there is no reason why information is not made available to the diaspora. In addition, this information must be transparent. Being away from home makes it difficult to do the necessary groundwork that would enable one to make wise investment decisions or even make the decision to move back home. It would be great if there could be access to such services, without fear that we are being ripped off (Castrol, FGD, July 20, 2012; Massachusetts, US). Transparency and accountability also scored highly (11%) in the list of important factors mentioned by the diaspora. During interviews the migrants suggested that transparency and accountability at Government level are important in boosting the confidence of the diaspora to invest in Kenya and participate in other types of development. Their definition of transparency and accountability is zero tolerance to University of Ghana http://ugspace.ug.edu.gh 206 corruption and elimination of negative ethnicity in the system. Here is a sample of their views: ―For the diaspora to effectively contribute to development in Kenya, corruption has to stop. That is the biggest thing.‖ ―If the issue of corruption is tackled, then the diaspora can be able to invest and do other things easily.‖ ―We must get rid of corruption in Kenya and this cannot be eradicated if the elected leaders are knee deep into corruption. Corruption in Kenya is one of the reason most of us in diaspora are reluctant in investing back home.‖ ―Kenya should ensure that any Kenyan preaching tribalism is arrested and dethroned of all their titles and positions.‖ Source: Open-ended Survey Questions (2012-13) Increased engagement of the diaspora (11%) by the government was mentioned as an important factor. The diaspora suggested that the government should go beyond financial expectations in engaging the diaspora. They explained that there is much untapped potential among the members of the diaspora that can be leveraged towards Kenya‘s development if only the government and other agencies are willing to engage the diaspora in various development initiatives. A Kenyan based in Canada for instance, in an open-ended survey question stated that: ―the government needs to recognize that the diaspora is a rich information and idea resource-not just financial.‖ Similar views were expressed by Peter in the US during an in-depth interview as follows We have expertise here and we have a lot to take home even without necessarily going home permanently. The Diaspora can offer services apart from in financial help. We have doctors and teachers here at Massachusetts who can go home for like one month or so and impact knowledge to people. The government should link with the Diaspora and know what kind of expertise we have out here (Peter, July 17, 2012; Massachusetts, US). Similar views were echoed by Princess in the US: The government should provide opportunities for people in the diaspora to bring their expertise that has been acquired and perfected in foreign countries and be part of nation building… (Princess, July 28, 2012; Massachusetts, US). University of Ghana http://ugspace.ug.edu.gh 207 Another important factor to the diaspora is accessibility of financial services and credit (7%) to the diaspora. The migrants mentioned a few banks in Kenya which offer financial services to Kenyans abroad such as Equity Bank and Chase Bank but added that much more need to be done in this area to allow increased flexibility to Kenyans who want to save and/ or invest in Kenya. Creation of more jobs and investments opportunities (6%) was also seen as important in encouraging Kenyans living abroad to get involved in nation building. The migrants explained that this can create optimism among the diaspora and create a desire to get involved either physically or virtually in what is happening at home. During a FGD Prudence, a Kenyan living in Ghana suggested that: ―when you know there are jobs and/ or investments opportunities in Kenya, you will have more reason to go back because you know that it‘s either you could go and invest or get employed.‖ A similar view was expressed by Ken, a businessman living in the US during a FGD: ―Jobs with competitive pay and investment opportunities could act as incentives to attract and retain the brains to manage KV-2030 projects.‖ Improved security is also an important (5%) factor in encouraging the diaspora to get involved in development back home. Insecurity was cited as the major cause of apprehension for the migrants who had the intention of returning back or investing in Kenya. Even those who expressed optimism about the future of Kenya mentioned the need to curb the high levels of insecurity in the country, as seen in the following statements: ―It is possible for Kenya to have a 24/7 economy but they have to improve on security coz you cannot go to work at night and you are afraid for your life.‖ ―The government should create a safer Kenya by recruiting more safety personnel and laws to protect the Kenyan people in order to create peace in the country. This would also attract more tourists and investors to Kenya.‖ ―More people would be willing to invest in Kenya if there is good security‖ University of Ghana http://ugspace.ug.edu.gh 208 ―The government should get the issue of security sorted out. Low crime levels, absence of terrorism or tribal animosity are good for business. This would encourage more diaspora investors to bring their money to Kenya and keep it there.‖ Source: Open-ended Survey Questions (2012-13) The migrants also underscored the need for closer interactions between Kenyan missions and the diaspora (5%). This issue also came up strongly during focus group discussions and in-depth interviews in Kenya and the US. The migrants articulated the need for the Kenyan embassies and missions across the globe to connect and interact with Kenyans abroad. This will enable the government to keep in touch with the diaspora, know who they are, find out their needs, and be able to know their areas of expertise. In addition, these offices should relay information on jobs, investments and other opportunities available in Kenya. Such interactions would enable the government to tap into the human capital and other resources in the diaspora for national development. Sonia, a Kenyan living in the UK suggested the use of diplomatic offices to educate Kenyans abroad on how they can be involved in development at home: ―Better use of the foreign offices in the countries to educate diaspora on opportunities and ways to get involved would help.‖ Danielle in the US also suggested frequent communication between diplomatic offices and the diaspora: The Kenyan embassy should be communicating with Kenyans directly through emails and conferences regarding opportunities in Kenya. Also if there are dignitaries, investors, etc. visiting, an email should be sent to each person who has registered with the embassy. Embassy need to reach Kenyans and encourage them to invest in Kenya or return to Kenya as consultants etc.( Danielle, July 23; Massachusetts, US). In addition to meeting the diaspora often, George suggested change of attitude by government officials: ―Meet the diaspora often; stop the old colonial mentality of master slave found in government offices, where you find a pathetic attitude towards the diaspora by the master behind the desk.‖ University of Ghana http://ugspace.ug.edu.gh 209 Good governance and political stability (5%) was also identified as a necessary ingredient for encouraging investments and other diaspora driven initiatives with development consequences. Peter in the US, stipulated this in the following statement: I think the first step towards encouraging diaspora involvement in national development is to make the political situation much more friendlier… Once there is stability, then we can think of investing back home for long-term. I think what happened in the last elections have made a lot of people jittery… they don‘t want to buy land because you may buy in the wrong area. I mean they are not confident (Peter, July 17, 2012; Massachusetts, US). The diaspora also talked about the need for a favourable environment for Diaspora investment (4%). The migrants explained that the responsibility of creating a favourable environment lies with the government and its agents; as well as private sector institutions like banks. Another factor that the migrants identified, which is closely linked to creating a favourable investment environment, is the need to reduce bureaucracies and administrative bottle-necks (4%). Benjamin, a Kenyan in Ghana explained how this should be done: The government should reduce the bureaucracies of registering and starting a business in Kenya… Reducing some of the requirements would make is easier to do business in Kenya (Benjamin, November 20, 2012; Accra Ghana). These sentiments were reiterated by Crispin, a Kenyan resident in the US in a FGD: There is too much red tape in Kenya especially in the financial industry. Although I travel to Kenya every year, I am always shocked at how slow things move especially in the financial industry. It takes at least 4 hours to transact business with banks. The cost of transacting business is very expensive if you consider the man hours lost in every transaction (Crispin, July 27, 2012; Massachusetts, US). The protection of diaspora investors from fraudsters was also listed (4%) among the factors that can enhance diaspora participation in Kenya‘s development. The migrants stated that they were willing to invest more in Kenya if only the fear of losing their investments to fraudsters is minimized. A respondent in the US was strongly convinced that investor confidence can be boosted by solving the challenge of fraud: University of Ghana http://ugspace.ug.edu.gh 210 To the best of my knowledge if Kenyans in the diaspora realize that if they invest in Kenya there is clear information, trustworthy and honest people or a system that can protect individuals and investments they are ready to invest. Open-ended Survey Questionnaire The migrants also proposed that the government should give incentives to the diaspora as a way of encouraging them to invest or send remittances (money and goods) to Kenya. They advocated for incentives like tax concessions, lowering of import duties, and the involvement of the government in the transfer of funds and goods that are meant for social purposes like stationary for schools and scanners for hospitals. In addition, they suggested that the government should give credit access to those who want to invest in Kenya; as well as offer assistance to those who want to resettle back home. Apart from giving incentives to the diaspora, the other proposal is that the government should facilitate the sending of remittances (money and goods) to Kenya and reduce the transactional costs involved. For instance, Pauline, who works in the education sector in the US longed for a time when she will be able to send textbooks to Kenya with ease. If there is a way we could be able to send text books to Kenyan universities, this would be awesome. We have very many books in the US institutions that are not used after they have been used for just a few years. These are thrown away, but it is too expensive to ship them, if only there was way out (Pauline, July 24, 2012; Massachusetts, US). Kenyans in Ghana were particularly concerned about the financial limitations they experience when they want to repatriate funds to Kenya. They suggested bilateral agreements between Kenya and the host countries, where possible, to allow Kenyans to transfer funds more easily: ―The government should make it easier for us to send remittances without the kind of limitations we experience in Ghana.‖ This was said by Esmeralda, a Kenyan working in Ghana who wished she could be able to send more money home than she was able to send. The migrants also suggested that the University of Ghana http://ugspace.ug.edu.gh 211 government of Kenya should negotiate for favourable immigration laws with the host countries. This factor was particularly important to Kenyans living in the developed countries who felt that the immigration laws at the destination countries were too rigid and this limited their ability to engage in development in Kenya. The involvement of the diaspora in political processes like voting was also mentioned as a factor that can boost their moral to participate in development. In addition, they advocated for the maintenance of a diaspora database with details of the members of the diaspora in the various countries. This was tied together with the proposal that the government should set up an agency dedicated to diaspora affairs. During a FGD Bruce, a Kenyan in the US was very categorical about this proposal: …my personal projection is that we are about 3 million Kenyan migrants spread all over and most of the people are gainfully employed wherever they are. Kenya needs to consider creating a full ministry or an empowered department within the Ministry of Foreign Affairs to look after diasporas and diasporan affairs (Bruce, July 20, 2012; Massachusetts, US). The work of such an agency would be among other things to encourage more patriotism and altruism among the Kenyan diaspora. The migrants opined that operationalization of dual citizenship is one way of stirring the sense of belonging and hence encouraging the diaspora to participate in development at home. The migrants also proposed partnerships between Kenyans in the diaspora and those in Kenya in ventures like buying of shares, formation of cooperative unions and involvement in chamas (informal social and investment groups). This is what a Kenyan in the US suggested about such partnerships: Partnerships between Kenyans in Kenya and those in the diaspora would be of great help. Companies in Kenya should allow members of the diaspora to buy shares through representatives abroad and not get bogged down with details of managing a business on a daily basis. Source: Open-ended Survey Questions (2012-13) University of Ghana http://ugspace.ug.edu.gh 212 The migrants also highlighted the importance of improved infrastructure. They explained that improved infrastructure can open up all the 47 counties in Kenya for diaspora investment. The importance of rule of law was also in the list of important factors that can encourage the diaspora to participate in development. The need for rule of law is clearly demonstrated by one of the survey respondents: The government needs to ensure a fair and just legal system- This assures investors that contracts will be honoured and that property rights, including intellectual property rights will be respected and honoured. Source: Open-ended Survey Questions (2012-13) These findings are in line with the explanation given in the systems theory about the importance of structures, institutions, and socio-economic and political conditions in influencing transnational interactions (Collinson, 2009; King, 2012). Portes et al (2007) underscores the need for favourable national policies that would create an enabling environment that would encourage migrants to participate in the development of their countries of origin. 6.5 SUMMARY This chapter has examined how the development potential Kenyan migrants can be tapped towards national development and the achievement of Kenya‘s Vision 2030. The chapter began by assessing migrants‘ development priorities and factors that hinder them from participating in development. The chapter also assessed the diaspora‘s knowledge of Kenya‘s Vision 2030, as well as factors that can encourage them to participate in the implementation of KV-2030. The next chapter will present the summary, recommendations and conclusions of the study. University of Ghana http://ugspace.ug.edu.gh 213 CHAPTER SEVEN SUMMARY, CONCLUSION AND RECOMMENDATIONS 7.0 INTRODUCTION This chapter starts with a summary of the key findings of the study which are based on the objectives of the study. The chapter then outlines the conclusions as well as the recommendations of the study. The last part of the chapter suggests areas for further research. The study used concurrent mixed methods, where both qualitative and quantitative methods were converged to provide a comprehensive analysis of the research problem. The study looked at the Kenyan diaspora in the UK, US, Canada and Ghana. A survey of 212 respondents, 21 in-depth interviews, and 5 focus group discussions formed the basis for the study. 7.1 SUMMARY The main aim of the study was to examine how the development potential of the Kenyan diaspora can be leveraged towards the implementation of Kenya‘s long term development plan - Kenya Vision 2030. Overall, this study revealed that most members of the Kenyan diaspora in the four countries were actively involved in return visits, remittance transfers, savings and investments. However, this development potential has not been fully utilized due to the myriad of impediments that the migrants face in their transnational transactions. Effective mobilization of diaspora resources therefore requires looking for effective ways of addressing these challenges. The study also sought to investigate the socio-demographic and economic activities of Kenyan transnational migrants. Findings from the study revealed that the number of University of Ghana http://ugspace.ug.edu.gh 214 women was almost at par with that of the men although there were disparities between countries studied. The majority of the migrants in this the study (92%), were 47 years old and below, most (76%) of who were highly skilled professionals, with a minimum of a bachelor‘s degree. Similarly, most of the respondents were employed at the time of the study although there were also some students and job seekers. Nonetheless, a good number of the migrants had difficulties finding jobs that matched their training and were therefore not necessarily working in their areas of expertise. As far as annual income is concerned, it is only 5 percent of the migrants who earned less than USD 10,000 per annum, 33 percent earned between USD 50,000 and 89,000 per year whereas 19 percent earned USD 130,000 and above. The Kenyans earning high incomes in Ghana are mostly in executive and other top management positions in multinational companies and other organizations. The second objective of the study was to assess the involvement of the Kenyan diaspora in development-oriented transnational activities namely; return-visits, remittance transfers and savings and investment. Findings from the study revealed that most of the migrants who participated in the study were involved in all of the four transnational activities. As far as return visits were concerned, 72 percent the migrants had visited Kenya since they migrated and 53 percent visited Kenya at least once every year. Eighty five percent (85%) and 70 percent of Kenyans in Ghana and the UK who visit Kenya do so at least once a year. The main motivations for return-visits were visiting friends and relatives (VFR) (45%), business engagement (19%) and recreation/leisure/ecotourism (18%). Most migrants (81%) sent remittances to Kenya and the main beneficiaries of these remittances were close family members. The intended uses of these remittances were business/investment (22%), household consumption (20%) and education (12%). Half of the migrants remitted more than USD University of Ghana http://ugspace.ug.edu.gh 215 5,000 per annum. Close to a third of the remittances were sent using informal means (self, friends and relatives) while a quarter was sent through bank transfers. The study also revealed that most of the migrants had bank accounts (68%) and investments/businesses (59%) in Kenya. The migrants mostly invested in real estate (42%), capital markets (17%) and agriculture (15%). Over half (58%) of the migrants who had investments in the capital market had invested in the stock market. In addition, around a third (31%) of the migrants were members of business networks that were investing in Kenya. The top priority areas of investments for these business networks were service industry, health and education. Factors that would motivate the diaspora to invest in Kenya included easy transfer of benefits from abroad, access to credit, incentives like tax concessions and reduced administrative formalities. One of the major intervening variables that influenced migrants‘ participation in transnational activities was intention to return to Kenya permanently. Those with the intention to return were trying to accumulate enough investments in Kenya to enable them reintegrate smoothly upon return. Those who had the intention of returning to Kenya were nearly five times as likely to invest in Kenya as compared to those who did not have the intention of returning to Kenya. Most (89%) of the participants expressed their intention to return to Kenya before retirement and most of them would like to return as self-employed (50%) or to work in the private sector (33%). However, difficulty in finding well-paying employment, reintegration uncertainties and inadequate health and educational facilities in Kenya were seen as obstacles to return. The other objective of the study was to unveil the challenges encountered by Kenyan transnational migrants as they take part in transnational activities. Findings from the study reveal that corruption in Kenya was the most prominent obstacle to the University of Ghana http://ugspace.ug.edu.gh 216 participation of migrants in development at home. The second most prominent hindrance is lack of information about what is going on in Kenya followed by insecurity and bureaucratic and administrative processes. Fraud and lack of trust was also an important impediment. Lack of a diaspora policy was also mentioned as one of the hindrances. When it comes to specific challenges for each transnational activity, the leading hindrance to return visits was high costs (41%), followed by insecurity (26%). Another important hindrance especially for migrants in the US was immigration challenges (7%). The leading impediments to investing in Kenya were the risk of being conned by fraudulent persons (21%), information asymmetries (16%), poor management by workers (15%) and bureaucratic formalities (15%). As far as remittance transfers are concerned, unfavourable exchange rates, high transfer costs and high bank charges were the key challenges. The study also wanted to identify factors that can enhance the participation of Kenyan transnational migrants in national development. Based on findings from the study, the leading factors that can encourage the diaspora to participate in development in Kenya are improved dissemination of information on Kenya, better transparency and accountability, increased engagement of the diaspora by the government, accessibility of financial services and credit to the diaspora, creation of more job and investments opportunities, better security and closer interactions between Kenyan missions and the diaspora. The last objective of the study was to propose measures that can facilitate improved involvement of Kenyan transnational migrants in the achievement of the country‘s development plan – Vision 2030. The fact that four years after the unveiling of KV 2030, only a few members of the diaspora had sufficient knowledge on KV 2030, University of Ghana http://ugspace.ug.edu.gh 217 shows that the feedback mechanism between migrants and Kenyan policymakers is lacking. Migration systems theory considers feedback as a fundamental component that guides the dynamic relationships between origin and destination (see Bakewell, 2013; Collinson, 2009). This indicates the need to re-evaluate KV-2030 strategies of engaging the diaspora. The other important measure is the use modern technology to engage TNMs. Technological advancement in information technology has opened up new possibilities for communication which can be utilized to reach all Kenyans in the globe. Apart from the traditional modes of communication; the diaspora can be reached through social network platforms like Facebook, Twitter, among others. There is also need for a more inclusive approach. The achievement of KV 2030 needs the input of every Kenyan no matter the location and it is therefore paramount to incorporate all the stakeholders in handling matters that pertains to its implementation. In order to overcome the challenges that emanate from institutional and government frameworks, bilateral negotiations are very necessary. Issues like repatriation of funds from residence countries to Kenya for instance, could be made easier by bilateral agreements between Kenya and the destination countries. It is also necessary to identify diaspora development priority areas in order to know the areas that TNMs consider as important. This could also help to identify any information gaps as far available opportunities in Kenya are concerned. Another key measure is to bridge the existing information gaps. This necessitates the provision of reliable, adequate and prompt information on KV 2030. 7.2 CONCLUSION This study gives empirical support to the growing recognition of migrants‘ potential to contribute to the development of their home countries. The study shows that the benefits that Kenya derives from its diaspora are just a fraction of the development University of Ghana http://ugspace.ug.edu.gh 218 potential that the diaspora possess. This corroborates Terrazas (2010)‘s observation that migrants have immense untapped potential that is yet to be mobilized. There is still so much that Kenya can tap from the diaspora if proper mechanisms and measures are put in place (see Laczko, 2005). Another important conclusion drawn from this study is that interactions between the social, political & economic factors both in Kenya and at the destination countries affect TNMs participation in development and KV-2030. National states for instance, play an important role in regulating flows within the transnational social spaces (see Koopmans & Statham, 2001; Adamson, 2007). Some migrants in the US said they feared sending huge amounts of money using formal means for fear of government surveillance. Similarly, migrants in Ghana said that they are not allowed to send out more than USD 10,000 per annum. Such government policies, legal frameworks and other strategies fall under what the systems theory classify as structures, institutions, policies, linkages and processes that influence transnational interactions between migrants and their home country (Bakewell, 2013; De Haas, 2010; Collinson, 2009; King, 2012). The other conclusion is that even though during the formulation of KV 2030, the diaspora was placed as a flagship project under financial services of the economic pillar, their potential transcends financial services. Placing the diaspora under financial services only focuses on the remittance flows from the diaspora incomes. More needs to be done to adequately mobilize remittance flows from other sources like diaspora savings abroad (see Newland, 2010 and Terrazas, 2010). Apart from the potential financial flows, Kenyan migrants can be an important source of FDI as demonstrated by their entrepreneurial activities and business networks (see Laczko, 2005, Newland, University of Ghana http://ugspace.ug.edu.gh 219 2013). The Kenyan migrants can also link the country to new technologies, knowledge and ideas as well as new markets at destination through their transnational links like return visits (see Laczko, 2005: 175; Newland, 2013; Ratha et al, 2011). Migrants‘ potential to contribute to various sectors of the economy of their country of origin can be explained by the transnational and network theories. The transnational theory explains how migrants maintain social, political and economic ties with their countries of origin by engaging in transnational activities across geographic, cultural, and political borders (see Glick- Schiller, 2003; Glick-Schiller et al, 1995; Faist, 2010; Foner, 1997; Portes, 2001; Vertovec, 2007). On the other hand, the network theory explains that these ties are maintained through social networks of friends, relatives and business partners, which facilitate the flow of funds, goods and information from destination countries to countries of origin and vice versa (Collinson, 2009; King, 2012). In addition, although Kenyan migrants, just like many other migrants in the world, are motivated to participate in development in Kenya by self-interest, a sense of nationalism and altruism are important motivating factors for their involvement in development in Kenya (see Bollard et al, 2009; De Haas, 2007; Kinyanjui & Akinyoade, 2012 & Miotti et al, 2010). This sense of nationalism and altruism should be kept alive through constant interactions between the diaspora and government agencies like embassies and consular offices. This necessitates the maintenance of an updated database of Kenyans in various countries. In addition, information on investment and employment opportunities in Kenya should be made more available to the diaspora. The maintenance of constant interactions between the diaspora and government agencies can be enhanced by social networks identified by network theory University of Ghana http://ugspace.ug.edu.gh 220 as crucial ingredients in maintaining links between the diaspora and their country of origin (Collinson, 2009; King, 2012). Intention to return to Kenya permanently is a key driver of diaspora‘s participation in return-visits, remittance transfers, savings and investments. This is because most migrants view their migration as temporary and hope to return to Kenya within a few years or after retirement. Consequently, they try to accumulate enough investments in Kenya to enable them reintegrate smoothly upon return. This is in line with Cassarino (2004)‘s scholarship which shows that migrants usually mobilize their resources and invest in their country of origin in preparation for their return. Kenyan migrants in the developed countries consider having the citizenship of their country of residence very important and most of them either have already been given or are actively looking for the citizenship of their destination country. One of the main reasons why countries of origin allow dual citizenship is in order to stimulate a continued flow of resources from their diaspora (Koopsman, 2001). This is because as suggested by Faist (2008), dual citizenship enhances transnationalism. Although Kenya allows dual citizenship according to Kenyan Citizenship and Immigration Act (2011), most of the migrants who participated in this study do not have any information about the process of applying for dual citizenship. Kenya has to operationalize dual citizenship by disseminating information about the application process. Information dissemination to the diaspora can be done through social networks, which as clearly elaborated in the network theory help to link between the diaspora and their home country. Feedback, an important component of the systems theory, can help to enhance communication between migrants and the government of Kenya (see Bakewell, 2013; De Haas, 2010; Collinson, 2009; King, 2012). University of Ghana http://ugspace.ug.edu.gh 221 7.3 RECOMMENDATIONS The study provides useful insights on how the development potential of Kenya‘s diaspora can be mobilized. TNMs should come up with their own initiatives of addressing their challenges. For example, they should form strong associations that can negotiate with governments and other institutions. All the migrants interviewed admitted that they did not belong to any diaspora-based association. Members of the diaspora themselves should find it urgent to form associations so that they can be able to engage the Kenyan government, host governments and other non-state actors collectively. Instead of just relying on information dissemination from the government, Kenyan migrants should also strive to find out more about the available opportunities in Kenyan. The private sector and other stakeholders can also play an important role in enhancing diaspora participation in Kenya‘s development. Private institutions like financial institutions and investment firms should seize the opportunities presented by the TNMs like remittance transfers, investments and find ways of collaborating with the TNMs for the benefit of both parties. They should for instance, look for means of enhancing credit accessibility for diaspora investors as well reducing the cost of sending money to Kenya. M-Pesa and Poa Pay are commendable innovative ways of sending remittances to Kenya. However, the efficiency and accessibility of such services should be enhanced to facilitate funds transfers from Kenyan diaspora all over the world. The exchange rates, transfer costs and bank charges should also be moderated in order to encourage migrants to send more financial flows as well as use formal ways of sending remittances. University of Ghana http://ugspace.ug.edu.gh 222 The study shows that there are numerous challenges that impede full participation of Kenyan migrants in transnational engagement. In order, to effectively mobilize the diaspora potential, it is paramount to deal with these challenges. Most of these challenges are related to the economic or political environment in Kenya. The first step towards effective mobilization of diaspora potential is therefore to ensure a favourable political and economic environment in Kenya. There should be political will to deal with corruption and to uphold transparency and accountability as well as the rule of law. This will restore confidence among the diaspora investors and allay their fears about issues like irregular allocation of land that has seen some investors lose their properties in the past. The government should also reduce the cost of doing business in Kenya. This will require the elimination of tedious bureaucracies and administrative formalities that make processes like acquiring a licence lengthy and cumbersome. The government of Kenya should also pay keen attention to the security of persons, finances and property to minimize recurrent cases of armed robberies, kidnappings, Al Shabab terror attacks and other forms of insecurity that deter members of the diaspora from visiting Kenya or getting involved in other transnational activities. Fraud and misuse of diaspora remittances should also be given more attention. There should be public awareness about the realities of living in a foreign country (especially in the developed countries) to dispel the false notions that earning money abroad is effortless. Fraud cases should be dealt with like any other criminal cases, even when the aggressors are close family members or friends. Another key recommendation of this study is the improvement of information dissemination to the diaspora. The diaspora should be made aware of the government‘s development plans and whether there are any projects or programmes where their input is needed. They should also be informed about available opportunities in Kenya. University of Ghana http://ugspace.ug.edu.gh 223 Transport and communication infrastructure should also be improved to promote diaspora tourism and investment in all the counties. In addition, the government should encourage more airlines to fly to Kenya. The Ghana – Kenya route in particular needs more competition, which may lower the airfare costs. The recent introduction of Rwanda Air on that route is a good development that may result in reduced airfare costs. Another way of encouraging the diaspora to engage in transnational participation is to give incentives like tax concessions and free transfer of funds and goods. The Government of Kenya should also consider having bilateral negotiations with the migrants‘ host countries for reciprocal arrangements in areas like repatriation of funds by migrants and immigration exemptions in residence and work permit applications. However, this would require meticulous scrutiny to avoid opening a loophole for money laundering and funding of terrorism. Policymakers should re-evaluate the involvement of TNMs in KV-2030. They should look beyond the financial flows that come from the TNMs. They should not just look at diaspora‘s potential to contribute to the economic pillar, but they should include the diaspora in all the three pillars of the Vision, since they have the potential to contribute to all the pillars. 7.4 EMERGING ISSUES FOR FURTHER RESEARCH This study examines the role of diaspora‘s contribution to Kenya‘s development from the migrants‘ perspective. One possible area for further research is to examine the role of diaspora‘s contribution to Kenya‘s development from the perspective of the other stakeholders: the Government of Kenya, the host governments, the private sector and international development organizations and agencies like IOM. University of Ghana http://ugspace.ug.edu.gh 224 Second, apart from the four transnational activities examined in this study: remittance transfers, return-visits, savings and investment; future research can look at the other transnational activities not considered in this study especially the use of the internet platforms like the social media in sharing information between Kenya and the diaspora and the impact it can have on Kenya‘s development. Third, this study only sampled Kenyans in the diaspora without carrying out a simultaneous matched sample in Kenya. It would be interesting to study not only the Kenyan‘s in the diaspora, but also the recipients/beneficiaries of the remittances sent to Kenya, those who oversee/ manage the investments of the diaspora or even the banks where they send their savings, among others; to be able to ascertain the extent of their transnational involvement. Fourth, the unit of analysis in this study was individual migrants. 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Paper presented at the conference on ‗Transnationalisation and Development(s): Towards a North-South Perspective‘. Center for Interdisciplinary Research, Bielefeld, Germany, May 31 - June 01, 2007 Zoomers, A., Adepoju, A., & van Naerssen, T. (2008). International migration and national Development: An Introduction to Policies in sub-Saharan Africa. In Adepoju, A., van Naerssen, T. & Zoomers, A. International migration and national development in sub-Saharan Africa. Viewpoints and policy initiatives in the countries of origin. Leiden: Brill, Afrika-Studiecentrum Series. University of Ghana http://ugspace.ug.edu.gh 247 APPENDIX A: SURVEY QUESTIONNAIRE Jane Njeri Mwangi is a PhD candidate at the University of Ghana pursuing Migration Studies. As part of her PhD, she is currently researching on the Role of Transnational Migrants in Achieving Kenya’s Vision 2030. This questionnaire is part of survey questionnaire designed to help in assessing the involvement of the Kenyan Diaspora living in the UK, US, Canada and Ghana in development oriented transnational activities like transfer of skills and technology, tourism, sending remittances to Kenya, and savings and investments; with the key objective of determining how this transnational engagement can contribute towards achieving Kenya’s Vision 2030. This questionnaire is part of Jane’s data collection towards the completion of her PhD. The outcomes of the survey are intended to assist both the Kenyan Diaspora and the Government of Kenya improve Diaspora participation in national development and especially in the achievement of Kenya’s Vision 2030 with mutual benefits to both the Diaspora and the Government. Please note that participation in answering this questionnaire is voluntary and if for any reason you are uncomfortable answering any question, you are free to leave it unanswered. This research will maintain anonymity and confidentiality and at no point will you be individually identified. Thank you for your time and your participation. For more information please contact Jane Mwangi on njerim2001@gmail.com; Facebook- Jane Mwai Mwangi and Telephone +233-244754788. Completed questionnaires can be returned by email to: njerim2001@gmail.com Socio-demographic Information 1. How old are you? -------------------- 2. What is your sex? [ ] Female [ ] Male 3. What is your marital status? [ ] Single [ ] Married [ ] Separated [ ] Divorced [ ] Widowed [ ] Cohabiting [ ] Other (Please specify) ------------------------------------------------------------------------ 4. What is your highest level of education and area of study? [ ] High School Area of study---------------------------------------- [ ] Technical Area of study----------------------------------------- [ ] Bachelors Area of study------------------------------------------ [ ] Master Area of study-------------------------------------------- University of Ghana http://ugspace.ug.edu.gh 248 [ ] Doctorate Area of study------------------------------------------- [ ] Other (Please Specify) -------------------------------------------------------------- 5. What is your current employment status? [ ] Employed [ ] Self Employed [ ] Seeking Employment [ ] Student [ ] Retired [ ] Other (Please Specify) ------------------------------------------------------------ 6. What is your area of expertise? E.g. Health and Medical Services, Housing and Real estate etc ------------------------------------------------------------------------------------------------------------ 7. What is your current occupation? --------------------------------------------------- 8. How many years have you been engaged in the above occupation? [ ] Less than 1 year [ ] 1-4 years [ ] 5-9 years [ ] 10-15 years [ ] More than 15 years 9. What is your country of residence? [ ] UK [ ] US [ ] Canada [ ] Ghana 10. In which State/City/Region are you based? ------------------------------------------------------- 11. Do you have dependents in your country of residence? [ ] Yes [ ] No If you have answered ‘YES’ to the above, how many are living with you? (a) Number of adults (18 years and above) -------------- (b) Number of children (less than 18 years old) ---------------- 12. At what age did you arrive in your country of residence? ------------------------------------------------------------------ 13. How long have you lived in your country of residence? [ ] Less than 1 year [ ] 1-4 years [ ] 5-9 years [ ] 10-15 years [ ] More than 15 years 14. What is your current nationality? ------------------------------------------------------- 15. Have you acquired Dual citizenship? [ ] Yes [ ] No If you answered ‘YES’ to the above, you are a dual citizen of which countries? -------------- 16. What is your current residence status in your country of residence? [ ] Citizen [ ] Permanent resident [ ] Work permit [ ] Student [ ] Other (Please Specify) -------------------------------------------------------------------- University of Ghana http://ugspace.ug.edu.gh 249 17. What were your reasons for migrating to your current destination? (Multiple answers allowed) [ ] Search for job opportunities [ ] Employment [ ] Studies (self/children/spouse) [ ] Family reunification [ ] Medical treatment [ ] Conflict at home [ ] Other (Please Specify) ----------------------------------------------- 18. Do you think you have so far achieved your objectives of migrating? [ ] Yes [ ] No Please explain your answer -------------------------------------------------------------------------- -------------------------------------------------------------------------------------------------------------- 19. What is your home county (district) in Kenya? -------------------------------------------- Involvement in Development Oriented Transnational Activities a) Tourism 20. Have you ever travelled to Kenya since you migrated? [ ] Yes [ ] No If your answer is ‘YES’, how often do you travel to Kenya? [ ] Three or more times a year [ ] Twice a year [ ] Once a year [ ] Once every two years [ ] Once every three years [ ] Very rarely 21. Which counties (district) do you visit when you go to Kenya, starting from where you stay most of the time and why? County e.g. Nakuru -------------------------- -------------------------- -------------------------- Reason 1.e.g.visiting family ------------------------- ------------------------- ------------------------- Reason 2.e.g. investment ------------------------------ ------------------------------ --------------------------- Reason 3..e.g. tourism --------------------------- --------------------------- -------------------------- 22. What motivates you to travel to Kenya? (Multiple responses allowed) [ ] Recreation/leisure/ ecotourism [ ] Visiting family and friends [ ] Business engagement [ ] Political reasons [ ] Funerals [ ] Visiting a sick relative [ ] Philanthropic reasons e.g. offering medical services to the underprivileged, religious reasons etc[ ] Other (Please Specify) ------------------------------------------- 23. How long do you stay on average when you visit Kenya? [ ] Less than a week [ ] Less than three weeks [ ] Less than two months [ ] More than two months [ ] Other (Please Specify) ---------------------------------------------------------- University of Ghana http://ugspace.ug.edu.gh 250 24. How many people do you usually travel with to Kenya? [ ] Alone [ ] One [ ] Two to four [ ] More than four 25. When was your last visit to Kenya? --------------------------------------------------- 26. How much did you spend on your last visit to Kenya on the following items? (a) Airfares -------------------- (b) Domestic travels -------------------- (c) Rented accommodation/hotels ------------------(d) Meals and drinks -------------------- (e) Buying of souvenirs/handicraft -------------------(f) Monetary gifts to people ----------------- 27. If there any challenges that hinder you from visiting Kenya or participating in tourism when you visit Kenya, kindly indicate them ------------------------------------------------ ------------------------------------------------------------------------------------------------------------------- ------------------------------------------------------------------------------------------------------------------- Could you suggest ways for overcoming these challenges? ----------------------------------------- ------------------------------------------------------------------------------------------------------------------- ------------------------------------------------------------------------------------------------------------------- b) Return Migration 28. Given the opportunity, would you consider working in Kenya? [ ] Yes [ ] No If your answer is ‘YES’, where would you prefer to work? Tick only one [ ] Self-employed [ ] Private sector [ ] Civil service [ ] Other (Please Specify) ----------------------------------------------------------------------------- If your answer is ‘NO’, please specify the reasons --------------------------------------------------- ------------------------------------------------------------------------------------------------------------------- 29. What area of expertise would you like to participate in upon your return? E.g. Healthcare, Real Estate and housing, tourism, etc. -------------------------------------------------------------------------------------------------------- 30. For how long would you like to return to work in Kenya? [ ] Permanently [ ] For six months or- less [ ] For one year [ ] More than one year 31. When would you like to return to Kenya? [ ] Within a year [ ] Within 2-4 years [ ] After 5 or more years 32. What would motivate you to return back home either permanently or temporarily? ----------------------------------------------------------------------------------------------------- 33. Would you like to return to Kenya when you retire? [ ] Yes [ ] No University of Ghana http://ugspace.ug.edu.gh 251 If your answer is ‘YES’, would you like to return: [ ] Permanently [ ] As a consultant [ ] To visit [ ] Other (Please Specify) ----------------------------------------------------------------------------- c) Income and Remittances 34. What is your average household income per year in your country of residence (in UK£ /USD/Canadian Dollars/ Ghana Cedis)? --------------------------------------------------- 35. Do you send money to Kenya from where you are based? [ ] Yes [ ] No If your answer is ‘NO’ to the above question, what is your reason for not sending money? [ ] Transfer costs [ ] Not enough money to transfer [ ] Lack of information on methods of transfer [ ] Other (Please specify) ------------------------------------------- If your answer is ‘YES’ to the above question, how often do you send money in a typical year? [ ] More than once a month [ ] Once a monthly [ ] Every two months [ ] Quarterly [ ] Twice a year [ ] Annually [ ] Less than once a year [ ] Other (Please Specify) ---------------------------------------------------------- 36. What period do you send the most remittances and what period do you send the least e.g. Christmas time ------------------------------------------------------------------------------------------- Please give your reasons ----------------------------------------------------------------------------------- ------------------------------------------------------------------------------------------------------------------- ------------------------------------------------------------------------------------------------------------------- 37. How much do you send on average per year in UK£ /USD/ Canadian Dollars/ Ghana Cedis? ------------------------------------------ 38. Do you remit goods to Kenya? [ ] Yes [ ] No University of Ghana http://ugspace.ug.edu.gh 252 If your answer is ‘YES’ to the above question, list the type of goods and the estimated value of the goods you send in a typical year if sold today? Goods e.g. fridge, computers etc Estimated value e.g. US$ 5,000 39. What is your primary purpose of sending money/goods? (Multiple responses allowed) [ ] Household consumption [ ] Business [ ] Investment [ ] Savings [ ] Land/Housing for family use [ ] Mortgage [ ] Health [ ] Education [ ] Community development [ ] Marriage [ ] Funeral [ ] Religious activities [ ] Other (Please specify) ------------------------------------------ 40. Do you think these money/goods are utilized for the purposes for which they are sent? [ ] Always [ ] Most of the times [ ] Sometimes [ ] Rarely [ ] Never 41. Who is/are the principal beneficiary/beneficiaries of your money and/ or goods? (Multiple responses allowed) [ ] Spouse [ ] Parent(s) [ ] Children [ ] Siblings [ ] Grandparents [ ] Other relatives [ ] Friends [ ] Business [ ] Other (Please Specify) ------------------------------------------------------------- 42. What is the destination county (district) of most of your money/goods? -------------------- 43. How do you usually send money/goods to Kenya? (Please tick all applicable means) [ ] M-Pesa [ ] Western Union [ ] Money Gram [ ] Bank Transfers [ ] Friends [ ] Relatives [ ] Self [ ] Shipment of non-monetary items (vehicles, machinery, etc.) [ ] Other (Please Specify) ----------------------------------------------------- 44. What challenges do you encounter in sending remittances (money/goods) to Kenya? (Multiple responses allowed) [ ] Lack of convenient modes of transfer [ ] High transfer costs [ ] Transaction security [ ] Unfavourable exchange rates [ ] High bank charges [ ] Privacy [ ] State control over monetary transfers [ ] Distance of transfer services from recipient (s) [ ] Other (Please Specify) ---------------------------------------------------------------- Any suggestions on how to overcome these challenges? -------------------------------------------- ------------------------------------------------------------------------------------------------------------------- ------------------------------------------------------------------------------------------------------------------- University of Ghana http://ugspace.ug.edu.gh 253 d) Savings and Investments 45. Do you have a bank account in Kenya? [ ] Yes [ ] No If your answer is ‘YES’ to the above question, what type of bank account do you have? (multiple responses allowed) [ ] Kenya Shilling current account [ ] Kenya Shilling savings account [ ] Foreign currency account [ ] None [ ] Other (Please Specify) ---------------------------------------------------------------------- 46. Do you have knowledge about investment opportunities in Kenya available to her Diaspora? [ ] Yes [ ] No 47. Do you have knowledge about employment opportunities in Kenya available to her Diaspora? [ ] Yes [ ] No If you have answered ‘YES’ questions to 46 and/or 47 above, how did you learn about these opportunities? [ ] Print media (Please specify) e.g. Daily Nation----------------------------------------- [ ] TV (Please specify) -------------------------------------------------------------- [ ] Radio (Please specify) -------------------------------------------------------------- [ ] Internet (Please specify) -------------------------------------------------------------- [ ] Other (Please specify) --------------------------------------------------------------- 48. Do you consider these opportunities sufficiently attractive for the Kenyan Diaspora? [ ] Yes [ ] No 49. Do you have any investment or business in Kenya? [ ] Yes [ ] No If your answer is ‘YES’ to the above question what kind of investment /business? (Multiple responses allowed) [ ] Real Estate [ ] Transport business [ ] Construction [ ] Capital Markets [ ] Agricultural Projects [ ] Consultancy Services [ ] Manufacturing [ ] Trading (selling and buying of goods) [ ] Other (Please Specify) --------------------------------------------------------------------- University of Ghana http://ugspace.ug.edu.gh 254 50. What challenges do you encounter in the course of investing/ running a business in Kenya? (Multiple responses allowed) [ ] Risk of being conned by fraudulent property dealers [ ] Poor management by the workers [ ] Difficulties accessing credit [ ] Insufficient information [ ] Bureaucratic administrative formalities [ ] Prohibitive costs [ ] Inadequate infrastructure [ ] Other [ ] (Please specify) ---------------------------------------------------------- 51. Are you part of Business networks which would be interested in investing in Kenya? [ ] Yes [ ] No If you have answered ‘YES’ to the above question, which sector(s) are you interested in? [ ] Tourism [ ] Education [ ] Health [ ] Infrastructure [ ] Export promotion [ ] Service industry [ ] Energy [ ] Water & Sanitation [ ] Other (Please specify) ------------------------------------------------ 52. Have you invested in any financial instruments in Kenya? [ ] Yes [ ] No If you have answered ‘YES’ to the above, what financial instruments have you invested in? [ ] Stock market [ ] Mutual funds [ ] Unit trust [ ] Real estate trust [ ] Treasury bills [ ] Treasury bonds [ ] Other (Please Specify) ----------------------------------------------------------------- Diaspora Participation in Vision 2030 53. What do you know about Kenya’s Vision 2030? ------------------------------------------------- ------------------------------------------------------------------------------------------------------------------- ------------------------------------------------------------------------------------------------------------------- 54. What investment or employment opportunities do you think Kenya’s Vision 2030 presents for the Kenyan Diaspora? --------------------------------------------------------------------- ------------------------------------------------------------------------------------------------------------------- ------------------------------------------------------------------------------------------------------------------- 55. Do you think these opportunities are attractive to the Kenyan Diaspora? [ ] Yes [ ] No Please explain your answer ------------------------------------------------------------------------------- ------------------------------------------------------------------------------------------------------------------- University of Ghana http://ugspace.ug.edu.gh 255 56. Which incentive(s) would motivate you to invest or work in Kenya? [ ] Fiscal advantages and tax concessions [ ] Access to credit [ ] Free transfer of benefits from abroad [ ] Access to land [ ] Reduced administrative formalities [ ] Salary [ ] Other (Please Specify) ---------------------------------------------------------------------- 57. What are your priority interests in the development of Kenya? (Multiple answers allowed) [ ] Employment [ ] Business & investment [ ] Community development [ ] Information on Kenya [ ] Infrastructure [ ] Tourism [ ] Other [ ] (Please Specify) ------------------------------------------------------------- 58. What would you consider as the greatest obstacles to Diaspora’s involvement in Kenya’s development? -------------------------------------------------------------------------------- -------------------------------------------------------------------------------------------------------------- -------------------------------------------------------------------------------------------------------------- -59. Could you suggest ways towards the enhancement of deeper Diaspora involvement in Kenya’s Development --------------------------------------------------------------------------------- -------------------------------------------------------------------------------------------------------------- -------------------------------------------------------------------------------------------------------------- University of Ghana http://ugspace.ug.edu.gh 256 APPENDIX B: IN-DEPTH INTERVIEW GUIDE The aim of this interview guide is to have an interaction that is as close as possible to a ―naturally occurring‖ conversation, lasting approximately one hour. I am more interested in occurrences and experiences rather than in general statements/responses. Therefore, as much as possible, I will probe respondents for specific details. My name is Jane Njeri Mwangi and I am a PhD candidate at the University of Ghana pursuing Migration Studies. As part of my PhD, I am currently researching on the Role of Transnational Migrants in Achieving Kenya’s Vision 2030. The study aims to investigate the role played by the Kenyan Transnational Migrants (diaspora) in national development and thus the achievement of Kenya’s Vision 2030. I humbly request you to grant me an interview lasting about one hour. Your participation is very important for the success of this project. If at any point in the interview, you need clarification, please let me know. This interview will be treated confidentially; none of the information you give will be passed on to a third party, and the information will be used only for purposes of this research. Socio-demographic Information 1. How old are you? 2. What is your sex? 3. What is your marital status? 4. What is your highest level of education and area of study? 5. What is your current employment status? E.g. Employed, Self Employed, Seeking Employment, Student etc. 6. What is your area of expertise? E.g. Health and Medical Services, Housing and Real estate, etc. 8. In which State/City/Region are you based? -------------------------------------------------- 9. What is your current nationality? 10. Have you acquired Dual citizenship? If you answered ‗YES‘ to the above, you are a dual citizen of which countries? ----- 11. What is your home county (district) in Kenya? Socio - Economic Characteristics 12. What was your occupation prior to your migration? 13. What is your current occupation? 14. How long have you been in that occupation? 15. Do you have other sources of income? University of Ghana http://ugspace.ug.edu.gh 257 Pull, Push and Stick Factors 16. Why did you migrate from Kenya to your current destination? 17. How long have you lived in your country of residence? 18. Do you think you have so far achieved your objectives of migrating? Transnational Engagement a) Tourism 19. How often do you travel to Kenya? 20. Which counties (district) do you visit when you go to Kenya? 21. What motivates you to travel to Kenya? 22. How long do you stay on average when you visit Kenya? 23. How many people do you usually travel with to Kenya? 24. When was your last visit to Kenya? 25. On average, how much do you spend when you visit Kenya? 26. Are there any challenges that hinder you from visiting Kenya or participating in tourism when you visit Kenya? 27. Could you suggest ways for overcoming these challenges? b) Return Migration 28. Given the opportunity, would you consider working in Kenya? If ‗YES‘, where would you prefer to work? If your answer is ‗NO‘, please specify the reasons 29. What area of expertise would you like to participate in upon your return? E.g. Healthcare, Real Estate and housing, tourism, etc. 30. For how long would you like to return to work in Kenya? E.g. Permanently, for six months etc 31. When would you like to return to Kenya? E.g. Within a year 32. What would motivate you to return home either permanently or temporarily? 33. Would you like to return to Kenya when you retire? If your answer is ‗YES‘, would you like to return permanently, as a consultant, to visit etc or in what capacity University of Ghana http://ugspace.ug.edu.gh 258 c) Income and Remittances 34. What is your average household income per year in your country of residence? 35. Do you send money to Kenya from where you are based? If your answer is ‗NO‘ to the above question, what is your reason for not sending money? If your answer is ‗YES‘ to the above question, how often do you send money in a typical year? 36. What period do you send the most remittances and what period do you send the least e.g. Christmas time  Please give your reasons 37. How much do you send to Kenya on average per year? 38. Do you remit goods to Kenya? 39. What type of goods and how much in monetary terms per annum? 40. What is your primary purpose of sending money/goods? 41. Do you think these money/goods are utilized for the purposes for which they are sent? 42. Who is/are the principal beneficiary/beneficiaries of your money and/ or goods? 43. What is the destination county (district) of most of your money/goods? 44. How do you usually send money/goods to Kenya? 45. What challenges do you encounter when sending remittances (money/goods) to Kenya? 46. Any suggestions on how to overcome these challenges? d) Savings and Investments 47. Do you have a bank account(s) in Kenya? If your answer is ‗YES‘ to the above question, what type of bank account do you have? 48. Do you have knowledge about investment opportunities in Kenya available to her diaspora? 49. Do you have knowledge about employment opportunities in Kenya available to her Diaspora? If you have answered ‗YES‘ questions to the above, how did you learn about these opportunities? 50. Do you consider these opportunities sufficiently attractive for the Kenyan diaspora? What about to you as a person? 51. Do you have any investment or business in Kenya? University of Ghana http://ugspace.ug.edu.gh 259 If your answer is ‗YES‘ to the above question what kind of investment /business? (Multiple responses allowed) 52. What challenges do you encounter in the course of investing/ running a business in Kenya? (Multiple responses allowed) 53. Are you part of Business networks which would be interested in investing in Kenya? If you have answered ‗YES‘ to the above question, which sector(s) are you interested in? 54. Have you invested in any financial instruments in Kenya? If you have answered ‗YES‘ to the above, what financial instruments have you invested in? Diaspora Participation in Vision 2030 55. What do you know about Kenya‘s Vision 2030? 56. What investment or employment opportunities do you think Kenya‘s Vision 2030 presents for the Kenyan diaspora? 57. Do you think these opportunities are attractive to the Kenyan diaspora? -Please explain your answer 58. Which incentive(s) would motivate you to invest or work in Kenya? 59. What are your priority interests in the development of Kenya? 60. What would you consider as the greatest obstacles to diaspora‘s involvement in Kenya‘s development? 61. Could you suggest ways towards the enhancement of deeper Diaspora involvement in Kenya‘s development? Others 62. Is there anything you will want to add? 63. Do you have any questions to ask? Thank you very much for your time and patience! University of Ghana http://ugspace.ug.edu.gh 260 APPENDIX C: FOCUS GROUP DISCUSSION GUIDE Introduction The aim of this interview guide is to have an interaction that is as close as possible to a ―naturally occurring‖ conversation, lasting approximately one hour. I am more interested with occurrences and experiences rather than in general statements/responses. Therefore, as much as possible, I will probe respondents for specific details. My name is Jane Njeri Mwangi and I am a PhD candidate at the University of Ghana pursuing Migration Studies. As part of her PhD, she is currently researching on the Role of Transnational Migrants in Achieving Kenya’s Vision 2030. The study aims to investigate the role played by the Kenyan Transnational Migrants (Diaspora) in national development and thus the achievement of Kenya’s Vision 2030. I humbly request you to grant me an interview lasting between 30 minutes and one hour. Your participation is very important for the success of this project. If at any point in the interview, you need clarifications, please let me know. This interview will be treated confidentially; none of the information you give will be passed on to a third party, and the information will be used only for purposes of this research. Section A Variables 1 2 3 4 5 6 7 8 Socio-Demo Characteristics Age Marital Status Place of Birth County Level of Education Current occupation Citizenship Socio-Economic Background Occupation prior to your migration Current occupation Other Employment or occupation Push, Pull and Stick factors Migration trajectory Motivating factor for migration How long have you lived here? How much longer do you anticipate living here? What would motivate you to return home? University of Ghana http://ugspace.ug.edu.gh 261 Section B Variables 1 2 3 4 5 6 7 8 Contribution to Development in Kenya What is your opinion on diaspora‘s contribution to Kenya‘s development? In what ways do Kenyans in the diaspora participate in development at home? How can this participation be enhanced? Do you think the diaspora contribution to Kenya‘s development trickles down to their local communities? What would motivate Kenyans to contribute to Kenya‘s Vision 2030? Problems and Benefits Do Kenyans in the Diaspora benefit from participating in development at home? What are the challenges that Kenyans face in their efforts to participate in development at home? Are there any policies that the Government of Kenya needs to change to encourage diaspora participation in national development? Thank you all for your participation. University of Ghana http://ugspace.ug.edu.gh