African Countries That Survive on Diaspora Remittances More Than Export Earnings
New data shows that in 2024, remittances from Africans working abroad exceeded export earnings in several countries, reshaping foreign income flows. The report identifies the top 10 African countries where diaspora remittances have become more vital than exports, underscoring their role in economic survival.
Figures compiled by Gil Analytics from RemitScope and the International Trade Centre’s Trade Map (ITC) reveal that in nations such as The Gambia, Comoros, Somalia, Egypt, and Cabo Verde, diaspora inflows were several times greater than revenues from their leading exports.
The trend reflects a wider reliance on remittances as a stabilising force in African economies, with implications for growth, policy, and long-term development.
Africa received more than $95 billion in remittances in 2024, marking a financial inflow that exceeded export revenues in a surprising number of countries. These transfers have become more than supplementary support; in some nations they are now the backbone of economic survival.
The pattern is particularly striking in smaller economies or those with significant migrant populations. In The Gambia, remittances of $575.8 million outweighed groundnut exports of just $15.9 million, a difference of more than thirty-six times.
In Comoros, cloves brought in $21.4 million, while remittances reached $282.4 million, more than thirteen times greater. Somalia recorded exports of live sheep and goats worth $269.9 million, but received $1.73 billion in remittances, over six times higher.
Egypt’s petroleum oils and related products earned $3.54 billion, while remittances amounted to $22.66 billion, showing the massive scale of its diaspora economy. In Cabo Verde, prepared fish exports totalled $57.6 million compared to $324 million in remittances, more than five times greater.
Rwanda, Kenya, Togo, and others also recorded remittance inflows that exceeded the value of their top exports, with ratios ranging from 1.2 in Zimbabwe to 4.5 in Rwanda, reflecting the weight of diverse diaspora contributions.
Remittances have emerged as an economic stabiliser, cushioning families against inflation, unemployment, and the volatility of global commodity markets. Unlike export earnings, which are subject to price swings, remittances tend to remain steady and even increase in times of crisis.
They also provide diversification of income for countries overly reliant on single commodities, while directly financing essential needs such as food, healthcare, and education. For millions of households, remittances are not only a lifeline but also a source of funds for small businesses and local investment.
Despite their importance, remittance flows into Africa are governed by a patchwork of policies and regulations that vary between regions and even neighbouring countries. Guidelines around personal identification, transaction limits, and licensing requirements for transfer operators make the formal remittance market cumbersome and expensive.
As a result, many families continue to rely on informal channels that may be faster but come with greater risks. According to the latest World Bank Migration and Development report, Sub-Saharan Africa received an estimated $49 billion in remittances in 2021.
Owing to its massive diaspora population, Nigeria regularly receives the greatest inflows, followed by Ghana, Kenya, and Senegal, while South Africa stands out as the largest sender of remittances to other African countries.
The dominance of remittances over exports carries important lessons for policymakers. By lowering transaction costs, formalising remittance systems, and creating viable investment opportunities for the diaspora, governments can maximise the impact of these inflows.
Beyond meeting household needs, remittances could be harnessed to finance infrastructure, housing, and entrepreneurship, turning diaspora contributions into long-term drivers of development.
The growing scale of remittances is reshaping Africa’s economic story. In countries as diverse as The Gambia, Egypt, and Rwanda, the financial lifeline provided by citizens working abroad has overtaken the earnings from traditional exports.
This shift highlights the indispensable role of diaspora communities in national survival and growth. For policymakers, strengthening diaspora engagement and building efficient remittance systems may prove just as vital as expanding commodity exports in the years ahead.
