Global remittances have always been much-needed financial lifelines for low-income countries, many of which are in Africa. Given the uncertainty that often characterizes foreign direct investment (FDI), remittances from Africans in the diaspora “essential source of international financing for developing countries”, said the World Bank.
In 2022, one of the main factors that should help maintain the momentum when it comes to remittances to Africa is the increased use of formal remittance channels. The background note on migration and development further noted that “the fundamentals remain positive for continued gains in remittance flows to the rest of Africa, as the influence of the ‘altruistic’ motivations that have been demonstrated in Africa and South Asia during the peak years of the pandemic will likely continue during the period of sharp increases in staple food prices.”
It should be noted that Nigeria has over the years continued to receive the largest portions of total remittances to Sub-Saharan Africa. This is because Nigeria, which is the most populous in Africa, also has a significantly large diaspora base.
Below are the top 10 recipients of remittances in Africa, based on available figures for 2021.
- Nigeria: $19.2 billion
- Ghana: $4.5 billion
- Kenya: $3.7 billion
- Senegal: $2.7 billion
- Zimbabwe: $2.0 billion
- Democratic Republic of Congo: $1.3 billion
- Uganda: $1.1 billion
- Mali: $1.1 billion
- South Africa: $900 million
- Go: $700 million