How does a return migrant worker contribute to the economic development of a nation?
Several different types of investments (short-term or long) can support regional economic growth.
In many cases they have obtained working skills (and experience), more advanced than their domestic industries-companies, and so they are an asset that could be utilized to support new branches of the economy.
a returned migrant worker with the money he saved directly improves the living standard of his family. He becomes aware of the high living standards which he also applies for his own. Here, comes the 'Demonstration effect' of economics. Further, for the employment in home town, he tries to use his skills and get some earning. If he succeeds, he moves ahead. But, when the returns are low, he again becomes a migrant worker and adds to the per capita income. This cycle goes on in his life. The external effects are seen in the improvement of his family members who enjoy good health and education throughout the life as a result of migrant worker.
There are two kinds of return migrant: the highly qualified and skilled workers who are able to bring knowledge, solutions and skills to their countries and this can be highly useful to the country if the country knows how to invest in that. These return migrant in many cases get disappointed by neglect, if we talk about less developed countries, or countries under conflict. Thus, they are likely to leave their home countries again. The other kind of return migrant are the average skilled workers who are up to date to the global changes but their input to their countries remains limited but they are more qualified than the domestic workers. In General, the return of skilled migrant workers to their countries can be a huge benefit if it is employed in the right way.
1. They add to taxes and social benefits
2. They help to increase the labour force
3. They help to improve the technology
The immigrant worker contributes to economic development as the simplest example of increasing incomes or purchasing power in an indirect way, and this improves the level of consumption on the one hand and the level of savings on the other hand, and by a mechanism that speeds up bank transfers between internal and external commercial banks and on the other hand, the introduction of foreign currencies, which facilitates the issuance of The local currency and the balance between supply and demand,
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