Online Reporter
Butler Tambo
THE economic lifeline that has been the rescue canoe for most Zimbabwean families faces a major threat with the current anti-immigrant shocks that have gripped major destinations for the country’s diaspora community.
Gone are the days when diaspora remittances could just fall like manna from Heaven for most families. The uncertainty over most immigrants’ fate in countries like South Africa, Botswana, Namibia, the United Kingdom (UK) and United States of America (USA) has actually spurred even those who had no interest in investing back to scramble around to set up base back home in Zimbabwe as their adopted homes are no longer a safe and secure haven.
The rise in anti-immigrant sentiments that have been loud in South Africa with the Operation Dudula Movement and the growth in ire against immigrants in other countries has made most people to rethink their previous held norms of wanting to die where they have settled as their new homes. A longing for home as the best and safest destination for any Zimbabwean has led to a growth in construction in peri-urban areas, rural areas being turned into urban plush suburbs with sprawling mansions as people trek back home or at least build a safe haven to come back to if things deteriorate in the diaspora.
A quick look at the history of migration from Zimbabwe and following the remittances back into the country is the subject of this article as one explores the importance of this source of capital for the Zimbabwean economy.
Historical overview of migration patterns of Zimbabweans
There is a need for one to understand the historical perspective of regional and international migration trends as pertains to Zimbabwe first if one is to understand what can be done to harness the resources and potential of funds sent by the country’s sons and daughters who have made neighbouring and far flung countries their new homes. While out-migration became a flood from 2000, five overlapping phases of out-migration from Zimbabwe beginning in the 1960s were identified by Professor Daniel Makina in his 2008 article, “The Impact of Regional Migration and Remittances on Development: The Case of Zimbabwe.”
The first phase involved the migration of political exiles to neighbouring countries (Botswana, Mozambique, Tanzania and Zambia), and labour migration to South Africa to work in the gold mines (Wenela days as they have come to be known).
The exodus of refugees and exiles from Zimbabwe to Botswana, Zambia and Mozambique during the liberation war reached its peak in the period between 1977 and 1978, such that by 1979 it was estimated that there were over 210 000 Zimbabwean refugees in these countries.
The second phase involved white Zimbabweans fleeing military call-up resulting from the war of liberation, and those who feared retribution on attainment of independence. The white population of 232 000 in mid-1979 was estimated to have fallen to about 80 000 by 1990. The other phase of migration is said to have resulted from the negative effects of the IMF/ World Bank Economic Structural Adjustment Programme (ESAP) introduced in 1990. This programme led to widespread economic hardships that led many professionals, such as teachers, nurses and doctors, to leave the country in search of greener pastures abroad.
The other phase of migration is associated with the exodus that started in earnest in 2000, as the economic situation deteriorated because of sanctions, Zimbabweans responded by trekking out of the country in large numbers. The destinations have varied from nearby southern African countries to as far away as Canada, New Zealand, Australia, the United Kingdom and the USA (Makina, 2008).
Diaspora Remittances at a glance
The World Bank in 2020 predicted that the economic crisis induced by the Covid-19 pandemic and the pursuant shutdown policies would have led to a shocking 20 percent decline in global remittances to low- and middle-income countries.
Sub-Sahara Africa had been postulated to have a harsher decline in remittance flow as much as 23 percent. As if by some magic wand or the Hand of God, diaspora remittances to Zimbabwe have actually trebled growing from 2020 to 2024, from US$665 million to US$2,2 billion.
South Africa which amounts to the majority of where most Zimbabweans have set up base since the Wenela Days (Witwatersrand Native Labour Association (WNLA), a recruiting agency for migrant workers in South Africa, particularly for the gold mines) of the 1940 and 1950s led the pack accounting for one-third of total remittances, followed by the UK and USA. Diaspora remittances now equate to approximately 15–17% of all Zimbabwe’s foreign exchange receipts, demonstrating their vital role in propping up the economy amid limited access to international capital.
Diaspora Remittance Trends from 2020 to 2025
Annual remittances:
2020: approximately US$665 million
2021: surged to US$1,43 billion
2022: further rose to US$1,658 billion, accounting for 14% of foreign currency earnings
2023: reached US$1,8 billion, a 22% jump from the previous year
2024: broke records at US$2,2 billion, up 22 percent year-on-year
These figures show the remittances sent through formal channels but there are greater amounts that come through informal means like omalayitsha, physical pass on in envelopes amounts as people travel back to Zimbabwe among other channels.
What is now necessary is for the Government of Zimbabwe to put in place policies that support the use of more formal channels of remitting funds. More still needs to be done by the Government to harness these funds so that the diaspora can see the value of investing in industry and infrastructure development more than the current trend where monies are simply being put into building mansions and retirement homes.
As long as people realise that their investments are safe and they can get their return on investment, one believes that the number we see above can more than sky rocket for the development of the country that is starved of foreign direct investment (FDI).
Policy Recommendations
To fully capitalize on the diaspora’s economic potential, the Government of Zimbabwe must foster trust. This includes:
ν Facilitating safe, low-cost, and transparent remittance channels.
ν Avoiding policies that appear to confiscate or devalue hard-earned remittances.
ν Guaranteeing returns in the original remittance currency.
ν Encouraging investment beyond residential construction, especially in productive sectors like manufacturing, agriculture and infrastructure.
ν Butler Tambo is a Criminal Justice Expert and Policy Analyst who can be reached on [email protected] for further engagement.
