Engagement of Non-resident Bangladeshis (NRBs) in National Development: Strategies, Challenges and Way Forward Final Report November, 2017 Dr. Mobasser Monem Professor Department of Public Administration University of Dhaka 1 | P a g e Contents ACRONYMS .................................................................................................................................. 5 EXECUTIVE SUMMARY .................................................................................................................. 6 CHAPTER ONE ............................................................................................................................ 12 Background, Rationale, Objectives and Methodology ................................................................... 12 Methodology Used and Sources of Information ............................................................................. 16 CHAPTER TWO ........................................................................................................................... 17 Diaspora and Diaspora Engagement: Theoretical Underpinnings .................................................. 17 Identify Goals and Capacities ........................................................................................................ 23 Understanding the Diaspora ......................................................................................................... 23 Building Trust ................................................................................................................................ 24 Mobilize the Diaspora for Development ....................................................................................... 24 Building Capacity for Effective Implementation ........................................................................... 25 CHAPTER THREE ......................................................................................................................... 27 An Overview of Bangladeshi Diaspora ............................................................................................ 27 A Brief History of Bangladeshi Diaspora.......................................................................................... 28 CHAPTER FOUR .......................................................................................................................... 31 Diaspora Engagement in Bangladesh: An Overview of the Current Status ................................... 31 Why is it Important for Bangladesh to Harness the Diaspora Potential? ...................................... 31 An Overview of Diaspora Engagement: Where does Bangladesh stand? ...................................... 32 Overseas Labour Wings ................................................................................................................. 34 Bureau of Manpower Employment and Training (BMET) ............................................................. 34 Bangladesh Overseas Employment and Services Limited (BOESL) ............................................... 35 Probashi Kallayan Bank (PKB) ....................................................................................................... 35 Wage Earners’ Welfare Board (WEWB) ........................................................................................ 35 Some Observations about the Activities of the Ministry and other Entities ................................. 37 Bangladesh Bank’ initiatives for NRBs ............................................................................................. 38 Tax Benefits Accorded to NRBs ........................................................................................................ 40 NRB investment through Capital Markets ...................................................................................... 40 Direct Investment by NRBs .............................................................................................................. 41 Private, Voluntary Initiatives for Engaging with NRBs on Knowledge Network ............................ 42 CHAPTER FIVE ............................................................................................................................ 47 Diaspora Engagement: International Experiences .......................................................................... 47 India .............................................................................................................................................. 47 Lebanon......................................................................................................................................... 50 China ............................................................................................................................................. 51 Sri Lanka ........................................................................................................................................ 52 Philippines ..................................................................................................................................... 52 Mexico ........................................................................................................................................... 52 2 | P a g e South Africa ................................................................................................................................... 52 Making Sense of the Findings of Different Countries: Developing the PIE Framework ................ 53 A. General Approach towards Trust-Building ........................................................................... 53 B. Philanthropic Approach for Community Development ........................................................ 54 C. Facilitating Investment .......................................................................................................... 54 D. Expert Engagement ............................................................................................................... 55 CHAPTER SIX .............................................................................................................................. 58 Institutional Design for Adopting the PIE Framework .................................................................... 58 The Short-Term Framework ............................................................................................................. 60 Alternative 1: Ensuring Diaspora Engagement with a Focus on PIE through a Project-based Approach Housed in the Economic Relations Division (ERD) ....................................................... 60 Alternative 2: Ensuring Diaspora Engagement with a Focus on PIE through Establishing a Central Coordinating Unit at the Prime Minister’s Office ......................................................................... 64 The Long-Term Framework .............................................................................................................. 66 National Level Steering Committee headed by the Prime Minister ............................................. 66 Specialized Unit- Diaspora Engagement Wing (DEW) ................................................................... 67 Three Sub-Units (Philanthropy, Investment, and Expert Engagement)........................................ 67 Monitoring and Evaluation ........................................................................................................... 67 CHAPTER SEVEN ......................................................................................................................... 68 NRB Engagement in Development of Bangladesh: An Overview of the Major Challenges........... 68 A. General Challenges ............................................................................................................... 68 B. Policy Level Challenges ......................................................................................................... 68 C. Institutional Level Challenges ............................................................................................... 69 CHAPTER EIGHT ......................................................................................................................... 71 Conclusion and Recommendations ................................................................................................. 71 Recommendations ........................................................................................................................ 72 REFERENCE ................................................................................................................................ 80 APPENDIX-1 ............................................................................................................................... 82 Name and other details of the Individuals Interviewed ................................................................. 82 APPENDIX-2 ............................................................................................................................... 83 Select list of the Bangladeshi Diaspora Associations ...................................................................... 83 3 | P a g e LIST OF TABLES Table 1: Methodology of the Study ...................................................................................................... 16 Table 2: Resources diaspora can offer .................................................................................................. 19 Table 3: Number of Bangladeshi Immigrant in Industrialized Countries .............................................