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Africa Wants to Turn Diaspora Money into Investment

Can a New African Union Initiative Make It Work?

Africa Wants to Turn Diaspora Money into Investment
Felix Tihby Felix Tih
August 21, 2026
Reading Time: 2 mins read

Africa Wants to Turn Diaspora Money into Investment

Can a New African Union Initiative Make It Work?

Africa Wants to Turn Diaspora Money into Investment
Africa Wants to Turn Diaspora Money into Investment
Felix Tihby Felix Tih
August 23, 2026
Reading Time: 2 mins read

The African Union is working on a new framework to encourage Africans living abroad to invest more of their capital in projects and initiatives across the continent while also drawing on their expertise and professional networks.

The proposed African-Diaspora Investment Corridor, also known as the Coming Home to Invest initiative, would connect diaspora investors with African governments, financial institutions, verified projects and private-sector opportunities.

The plan emerged from a July 2026 dialogue convened by the African Union’s Economic, Social and Cultural Council, its Citizens and Diaspora Organizations Directorate and the INCLUDE Knowledge Platform.

The institutions say diaspora contributions remain fragmented despite their growing economic significance.

Under the proposal, participating countries could establish dedicated national diaspora investment desks that would act as one-stop points for investors seeking information on projects, regulations and investment procedures.

The corridor would also seek to establish common standards for project verification, due diligence, transparency, investor protection and dispute resolution, addressing some of the trust and institutional barriers that have discouraged diaspora investment.

The initiative comes as remittances remain one of Africa’s largest external financial flows. Sub-Saharan Africa received about $56 billion in remittances in 2024, according to World Bank estimates.

Sending money to the continent also remains expensive. Average costs reached 8.46% in the third quarter of 2025, the highest among the global regions tracked by the World Bank.

The AU’s ambition is to move part of that relationship beyond remittances used primarily for household consumption and toward productive investment in businesses, infrastructure, health, technology, energy and other sectors.

That transition may prove difficult.

“The diaspora is not a wallet,” said Amr Aljowaily, director of the Citizens and Diaspora Organizations Directorate. While remittances remain important, he emphasized the need for Africa to develop the institutional and financial systems necessary to shift from household support toward productive investment, infrastructure development and long-term economic transformation.

Diaspora investors often face the same problems confronting other investors in Africa, including regulatory uncertainty, weak investor protections and limited access to credible projects.

The AU-backed initiative is therefore betting that better coordination, verification and institutional safeguards can reduce some of those risks.

Former Nigerian Vice President Yemi Osinbajo, who provided strategic framing for the proposed corridor, described it as a “continental one-stop shop” designed to connect diaspora investors with governments, financial institutions and vetted projects.

“Our challenge is to build the system that can build that vision into reality,” he said.

That challenge will ultimately determine whether the initiative succeeds.

Creating investment desks and common standards may make it easier for diaspora investors to navigate African markets, but the corridor will still depend on participating countries providing credible projects, predictable regulations and meaningful investor protections.

If successful, the corridor could mark a shift in Africa’s relationship with its diaspora, moving beyond money sent home and toward a more structured source of long-term investment capital.

It could also advance Agenda 2063’s broader vision of inclusive growth and sustainable development.

Get the inside Story

Stay informed on the stories shaping Africa’s future. Get breaking news, in-depth analysis, opinions and exclusive insights from across the continent delivered to your inbox, free and unfiltered.


Get in touch for more:
Felix Tih
Editorial Director, Bantu Gazette
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Africa Wants to Turn Diaspora Money into Investment

Can a New African Union Initiative Make It Work?

Africa Wants to Turn Diaspora Money into Investment

The African Union is working on a new framework to encourage Africans living abroad to invest more of their capital in projects and initiatives across the continent while also drawing on their expertise and professional networks.

The proposed African-Diaspora Investment Corridor, also known as the Coming Home to Invest initiative, would connect diaspora investors with African governments, financial institutions, verified projects and private-sector opportunities.

The plan emerged from a July 2026 dialogue convened by the African Union’s Economic, Social and Cultural Council, its Citizens and Diaspora Organizations Directorate and the INCLUDE Knowledge Platform.

The institutions say diaspora contributions remain fragmented despite their growing economic significance.

Under the proposal, participating countries could establish dedicated national diaspora investment desks that would act as one-stop points for investors seeking information on projects, regulations and investment procedures.

The corridor would also seek to establish common standards for project verification, due diligence, transparency, investor protection and dispute resolution, addressing some of the trust and institutional barriers that have discouraged diaspora investment.

The initiative comes as remittances remain one of Africa’s largest external financial flows. Sub-Saharan Africa received about $56 billion in remittances in 2024, according to World Bank estimates.

Sending money to the continent also remains expensive. Average costs reached 8.46% in the third quarter of 2025, the highest among the global regions tracked by the World Bank.

The AU’s ambition is to move part of that relationship beyond remittances used primarily for household consumption and toward productive investment in businesses, infrastructure, health, technology, energy and other sectors.

That transition may prove difficult.

“The diaspora is not a wallet,” said Amr Aljowaily, director of the Citizens and Diaspora Organizations Directorate. While remittances remain important, he emphasized the need for Africa to develop the institutional and financial systems necessary to shift from household support toward productive investment, infrastructure development and long-term economic transformation.

Diaspora investors often face the same problems confronting other investors in Africa, including regulatory uncertainty, weak investor protections and limited access to credible projects.

The AU-backed initiative is therefore betting that better coordination, verification and institutional safeguards can reduce some of those risks.

Former Nigerian Vice President Yemi Osinbajo, who provided strategic framing for the proposed corridor, described it as a “continental one-stop shop” designed to connect diaspora investors with governments, financial institutions and vetted projects.

“Our challenge is to build the system that can build that vision into reality,” he said.

That challenge will ultimately determine whether the initiative succeeds.

Creating investment desks and common standards may make it easier for diaspora investors to navigate African markets, but the corridor will still depend on participating countries providing credible projects, predictable regulations and meaningful investor protections.

If successful, the corridor could mark a shift in Africa’s relationship with its diaspora, moving beyond money sent home and toward a more structured source of long-term investment capital.

It could also advance Agenda 2063’s broader vision of inclusive growth and sustainable development.

Africa Wants to Turn Diaspora Money into Investment

Can a New African Union Initiative Make It Work?

Africa Wants to Turn Diaspora Money into Investment
Felix Tihby Felix Tih
August 21, 2026

The African Union is working on a new framework to encourage Africans living abroad to invest more of their capital in projects and initiatives across the continent while also drawing on their expertise and professional networks.

The proposed African-Diaspora Investment Corridor, also known as the Coming Home to Invest initiative, would connect diaspora investors with African governments, financial institutions, verified projects and private-sector opportunities.

The plan emerged from a July 2026 dialogue convened by the African Union’s Economic, Social and Cultural Council, its Citizens and Diaspora Organizations Directorate and the INCLUDE Knowledge Platform.

The institutions say diaspora contributions remain fragmented despite their growing economic significance.

Under the proposal, participating countries could establish dedicated national diaspora investment desks that would act as one-stop points for investors seeking information on projects, regulations and investment procedures.

The corridor would also seek to establish common standards for project verification, due diligence, transparency, investor protection and dispute resolution, addressing some of the trust and institutional barriers that have discouraged diaspora investment.

The initiative comes as remittances remain one of Africa’s largest external financial flows. Sub-Saharan Africa received about $56 billion in remittances in 2024, according to World Bank estimates.

Sending money to the continent also remains expensive. Average costs reached 8.46% in the third quarter of 2025, the highest among the global regions tracked by the World Bank.

The AU’s ambition is to move part of that relationship beyond remittances used primarily for household consumption and toward productive investment in businesses, infrastructure, health, technology, energy and other sectors.

That transition may prove difficult.

“The diaspora is not a wallet,” said Amr Aljowaily, director of the Citizens and Diaspora Organizations Directorate. While remittances remain important, he emphasized the need for Africa to develop the institutional and financial systems necessary to shift from household support toward productive investment, infrastructure development and long-term economic transformation.

Diaspora investors often face the same problems confronting other investors in Africa, including regulatory uncertainty, weak investor protections and limited access to credible projects.

The AU-backed initiative is therefore betting that better coordination, verification and institutional safeguards can reduce some of those risks.

Former Nigerian Vice President Yemi Osinbajo, who provided strategic framing for the proposed corridor, described it as a “continental one-stop shop” designed to connect diaspora investors with governments, financial institutions and vetted projects.

“Our challenge is to build the system that can build that vision into reality,” he said.

That challenge will ultimately determine whether the initiative succeeds.

Creating investment desks and common standards may make it easier for diaspora investors to navigate African markets, but the corridor will still depend on participating countries providing credible projects, predictable regulations and meaningful investor protections.

If successful, the corridor could mark a shift in Africa’s relationship with its diaspora, moving beyond money sent home and toward a more structured source of long-term investment capital.

It could also advance Agenda 2063’s broader vision of inclusive growth and sustainable development.

Get the inside Story

Stay informed on the stories shaping Africa’s future. Get breaking news, in-depth analysis, opinions and exclusive insights from across the continent delivered to your inbox, free and unfiltered.


Get in touch for more:
Felix Tih
Editorial Director, Bantu Gazette
WhatsApp
LinkedIn
X (Twitter)
Instagram

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Bantu Gazette is a pioneering news platform that champions Africa's development, culture, and heritage. We spotlight the continent's successes, address its challenges, and provide insightful coverage of events that shape its future.

Bantu Gazette is a pioneering news platform that champions Africa's development, culture, and heritage. We spotlight the continent's successes, address its challenges, and provide insightful coverage of events that shape its future.

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  • Bantu Brief
  • Black Frame Studio

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Bantu Gazette is a pioneering news platform that champions Africa's development, culture, and heritage. We spotlight the continent's successes, address its challenges, and provide insightful coverage of events that shape its future.

Our Platforms

  • Bantu Magazine
  • Bantu Brief
  • Black Frame Studio

Our Services

  • Bantu Agency
  • Advertise
  • Partnerships

Our Services

  • Editorial Director
  • Opportunities
  • Contact
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