Published in February 2026 by the initiative The Seeds, in collaboration with several experts, the 2025 Barometer marks a major step forward in recognizing the economic role of African diasporas. It highlights financial contributions that, in many respects, surpass traditional development financing mechanisms.
Remittances sent by African diasporas exceeded $100 billion in 2024, according to the report’s authors. These flows have now become one of the main pillars of external financing for the continent. By comparison, official development assistance amounted to about $48 billion in 2023, while foreign direct investment (FDI) stands at comparable levels.
The 2025 Africa Finance Corporation report confirms this trend, estimating migrant remittances at more than $95 billion in 2024, a volume almost equivalent to FDI flows. These transfers stand out for their stability and resilience in the face of global economic shocks.
A growing role in local development
Long perceived as simple support for household consumption, remittances are now taking on a more structural role. They increasingly contribute to financing education, healthcare, and local entrepreneurship.
Countries such as Egypt, which received nearly $22.7 billion in 2024, and Nigeria, with about $19.8 billion, illustrate the strategic importance of these flows for macroeconomic stability and the management of foreign currency reserves.
In some states, the impact is even more significant: in The Gambia and Lesotho, remittances represent more than 20% of GDP, making the diaspora a genuine economic safety net for local communities.
Persistent challenges
Despite their growing weight, these flows still face high transfer costs and a high level of informality. Expensive fees and the frequent use of non-banking channels limit their potential impact on formal economic development.
This situation fuels debates on the need to reduce transfer costs, expand access to digital financial services, and design innovative financial instruments capable of channeling a larger share of diaspora savings into productive investments.
A strategic yet underutilized potential
Beyond the amounts involved, the 2025 Barometer calls for a rethink of the role of diasporas in national and regional development strategies. The African Development Bank report Remittances: Making Remittances Work for Africa also stresses that these flows are often more reliable than other external financing sources.
If better integrated into formal financial systems and supported by appropriate public policies, remittances could become a key driver of more inclusive and sustainable growth across the continent.
