Central Bank of Kenya (CBK) reports, Diaspora remittances in June 2019, at Sh30.4 billion ($295.3 million). This averages to Kshs 1 billion a day in June 30 days.
In the next 2,000 days, to December 2024, if the Kshs 1 billion per day holds; Diaspora will remit Kshs 2 Trillion. CBK data shows the Diaspora remittances source as: 38% from North America (U.S and Canada), 32% from Europe and 30% from the Rest of World.
The Diaspora remittances resulted from the World GDP growth from $30 trillion in 1995 to $85 trillion in 2018. This $55 trillion growth created more than 1.5 billion new jobs in the World economy. About 3 million Kenyans became part of these Jobs as Diaspora Kenyans. By 2018 the Diaspora Kenyans had remitted a total of Kshs 2 trillion. They are on track to remit Kshs 2 trillion by 2024.
Diaspora remittances have mainly gone to: donations, buying plots, and individual housing projects. The money has not had a big impact on Kenya GDP growth. World Bank reported Kenya remittances in 2018 at $2.8 billion and those: Uganda, Tanzania, Rwanda, Burundi, South Sudan and Ethiopia combined at $2.4 billion. The Diaspora from Ethiopia are said to be investing in systems with higher GDP growth.
Diaspora University Town (DUT) Jobs creation plan traces its roots to research on how Diaspora remittances could grow Kenya GDP. The remittances were less than Kshs 30 billion a year when the concept started. Today the DUT jobs creation plan is ready to guide Diaspora remittances/money to GDP growth systems that create jobs, grow Kenya GDP and growth wealth for Diaspora.
Kenya workforce is made up of persons aged 18 years and above. Today, about 25 million persons or 50% of the estimated 50 million Kenya population (2019), are in their productive years. Based on KRA tax filling 2018; over 20 million persons in the workforce years did not file returns for they are unemployed or underemployed. 20 million person’s human resource calculated at an average of 2,000 hours per year and $5 (Kshs 500) pay per hour; is a resource of Kshs 20 trillion every year. This resource is lost if it is not applied to productive use.
The Diaspora money can make the Kenya human resource productive. The estimated 3 million Diaspora Kenyans who shall remit Kshs 2 trillion will do so because they have jobs. They will do so for their human resource will be made productive by the productive systems. They will not lose their resource.
The Kshs 2 trillion Diaspora Remittances can be part of 5 million new jobs creation in Kenya by December 2024 through DUT and Big 4 Plans. The remittances, through jobs creation, can be part of growing Kenya GDP from the current Kshs 10 trillion to Kshs 15 trillion by 2024. The remittances can lead to over Kshs 5 trillion new wealth creation through jobs created and GDP growth.
The Diaspora advancing DUT welcome Diaspora to join DUT to create jobs and grow Kenya GDP. Through DUT, the estimate is that every Kshs 1 invested can grow to Kshs 2 – 5 by 2024 when invested in DUT SMEs shares and property development plans.