Skip to main content
European Week of Regions and Cities

Migration and development: Can new data cool a hot topic?

The pro/anti-migration debate has been taking up a generous amount of space in the EU’s media and political sphere, especially in the last ten years. But what effect is migration having on Europe? New data may shed light on this question.

By Jagoda Sadowska and Sarah Nassar Badwy (Edited by Vilde Skorpen Wikan)
 

Migration is a topic of fierce debate in Europe. And many member states are not seeing eye to eye on the value of opening their borders to refugees and immigrants. For example, anti-immigation sentiment is gaining traction in countries such as Poland and Hungary.

During the height of the 2015 wave of refugees to Europe, for example, Jarosław Kaczyński, the head of the right-wing national-conservative Law and Justice party in Poland, warned that migrants could bring “diseases” to the country, reported Al Jazeera.

The comments received public backlash, and many governments have been criticised for stigmatizing migrants and rousing public concern and anxiety.

Yet while migration poses challenges to countries, new data indicates that migration benefits countries in many ways.

During this year’s EU Week of Cities and Regions, taking place from 11th-15th October in Brussels, Belgium, Cem Ozguzel, an economist at The Organisation for Economic Co-operation and Development (OECD), put forth new evidence for more effective policies in a workshop on migration and regional development. Ozguzel presented new data on the effect and importance of migrants in the various sectors of the EU.

One in five doctors

Calculations by the OCED in fact shows that one fifth of medical doctors are migrants – meaning that without them, countries could be struggling in filling the employee gap in the medical sector.

Migrants also contributed to essential sectors during the COVID-19 pandemic lockdown. Belgium, for example, has reported 1,8 million cases of the virus, according to data from Johns Hopkins University of Medicine. Migrants thus played a crucial role in preventing the system from breaking down under the added strain of the virus.

Migrants are also driving innovation, indicated by how they raise the patenting activity in local areas that are already highly developed. Ozguzel pointed out that migrants especially contribute to innovation in municipalities that rank low on innovative creativity. 

A younger and more productive workforce

Overall, the benefits of migration outweigh the costs, according to the evidence Ozguzel presented in the workshop. The OECD economist said that according to economic data, migration boosts the income per capita.

The effect is a modest 0.002 percent in the so-called “EU-15 countries”, primarily the richer Western-European countries such as Luxembourg, the Netherlands, the UK and Sweden. In lower income countries, however, it accounts for 0.036 percent, as migrants help increase output and productivity in the short and long term. For new EU members it is 0.019 percent.

According to findings presented in a 2014 OECD report, migration also brings down the average age of the population, while introducing workers with new skills into the labour force. Both these elements are considered beneficial to the labour market and a country’s economic growth.

International ties and trade

But not only does migration lower the unemployment rates and the population’s average age, it also boosts imports and exports in the EU.

Ozguzel said that increased migration often corresponds to more bilateral trade between the host and home countries. Having diasporas in the host country also attracts tourism services.

A foundation for policy

For generations, countries in Europe have been split between those seeking to make migration to their countries attractive, and those that have made it their mission to make moving to a new country in Europe remain merely a dream for some. This was especially seen during the 2015 migration crisis. States such as Germany opened their borders for millions of refugees, while others, like Hungary, physically pushed people out and away from their borders.

Yet, as Ozguzel concluded in his workshop, it became clear that migration is a bigger benefit than problem to the EU. Migrants particularly have a positive contribution in the economic and healthcare sectors. And recent evidence from the UK shows a 1.4 percent jump in the unemployment rate since Brexit.

In light of this, governments may want to keep in mind the tangible benefits of allowing migration. In polarized societies where debates on immigration can run hot, politicians also need to devise policies that facilitate integration and help overcome the cultural barriers that both migrants and locals are facing.