Management of Diaspora Potential in the Function of Economic Development – The Case of North Macedonia

Bexheti, Gjilnaipe (2019) Management of Diaspora Potential in the Function of Economic Development – The Case of North Macedonia. ECONOMIC VISION International Scientific Journal in Economics, Finance, Business, Marketing, Management and Tourism, 6 (11-12). pp. 64-71. ISSN 2545-4544

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Abstract

Economic Diaspora, which reached its peak at the beginning of political and economic transition (the 90’s of the last century), is still the key factor in the local economy, not only in the case of North Macedonia but also for Balkans. According to the reports from the World Bank, the six countries of the Western Balkans (Albania, Kosovo, North Macedonia, Bosnia and Herzegovina, Montenegro and Serbia) that have active Diaspora in the world (EU, US, Canada and Australia) carry and transfer funds but also experience, knowledge and partnership in countries they live or in their homeland. In the last two decades, this potential varies between 10-20% of GDP, which represents a great economic potential for these countries but does not affect accordingly for their economic development. North Macedonia, among the six countries mentioned above has the most dynamic Diaspora and the transfers per capita are the highest after Kosovo. It varies between 12-15% (to 300,000) only in the official section of the population, but the financial effect at least statistically is more 'stable' with transfers and influxes into the country. The majority are ethnical Albanians that live mainly in Western Europe and United States. In the case of North Macedonia, the size of transfers from the Diaspora is 3-5 times more than FDI, and almost all are not treated or managed to channel directly economic development. A decade ago they were not even analyzed and studied to be identified formally and statistically. The purpose of this study will be looking for good management models of this potential, by exploring more successful models and practices in the world. If institutions spend so many resources on FDI (Foreign Direct Investment) and the effects are not extraordinary, than they should at least give more effort to DDI.

Item Type:	Article
Subjects:	H Social Sciences > HB Economic Theory
Divisions:	Faculty of Law, Arts and Social Sciences > School of Social Sciences
Depositing User:	Unnamed user with email zshi@unite.edu.mk
Date Deposited:	28 Jan 2020 12:04
Last Modified:	28 Jan 2020 12:04
URI:	http://eprints.unite.edu.mk/id/eprint/414

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