Report: Field Visit Bangladesh May 2011 Project: Remittances for Community Development (RfCD)

6 June 2011

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REPORT

In May 2011, BASUG and Triple L (TNU) travelled to Bangladesh to conduct three

workshops on “Remittances for Community Development” (RfCD) with development

stakeholders in Bangladesh. In between workshops, the partners had the opportunity to

speak to numerous organizations active in the field of migration & development, visit several

projects related to remittances and were able to speak to a number of migrant families. The

partners were able to (re-)establish interesting contacts for possible partnerships, extract

new information from relevant stakeholders and render newly gathered data for the purpose

of the RfCD research project. The field visit offered the partners the opportunity to share their

findings on RfCD so far, and exchange information on the possibilities for the widespread

practice of RfCD initiatives in Bangladesh.

Overall, the participants of the workshops, as well as the local organizations and individuals

active in the field of Migration & Development, received the findings with great enthusiasm. It

soon became clear that many representatives and organizations see the potential of

remittances as more than serving individuals, but as having the potential of serving the wider

community in Bangladesh through RfCD initiatives. While the realization exists that

remittances can have a greater impact on development in Bangladesh, most stakeholders

still struggled with finding suitable means for the practical implication of such potential.

This report will present the findings of our field visit to Bangladesh. It will describe the “hot

topics” discussed during the workshops, present remarkable RfCD projects already in

existence in Bangladesh, and as well provide an insight into the lessons learned by the

project partners.

Our thanks goes out to all those who have assisted us in the organization and conducting of

the workshops. Thanks to BASUG partners in Bangladesh, INAFI Asia, Endeavour, National

Dialogue Foundation, CDC, Everbright Foundation, BASUG Bangladesh Chapter and many

individuals. Our special thanks to the Governor of Bangladesh Bank, Dr. Atiur Rahman and

Director General of NGO Bureau, Mr. Nurun Nabi Talukder for their contribution to the

conference organized in connection with the project.

(Members who visited Bangladesh included: Dr. Ahmed Ziauddin, Advisor & Director Projects,

BASUG, Bikash Chowdhury Barua. Chairman, BASUG and Danielle de Winter, Project Coordinator,

Triple L/ TNU, Amsterdam.)

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Contents: 1. Workshops 2. Projects 3. Organizations visited 4. Lessons learned 5. Photos

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Workshop 1: Chittagong (4 May 2011)

1 Workshops

In the course of two weeks, three workshops were organized in three cities in Bangladesh

(Dhaka, Hobiganj, Chittagong) concerning “Remittances for Community Development: Past

Experience and New Practices”. The participants were invited to join in the meeting to share

their experiences of activities concerning migrant remittances and/or local community

development that they are developing or implementing.

The participants were offered the chance to learn from inspiring practices of Remittances for

Community Development worldwide. Triple L (TNU) offered a short presentation of practical

examples of different RfCD schemes from around the world that have been executed in the

past and their key characteristics were shared. The objective of the workshops was – among

others – to share amongst the stakeholders some practical options for Diaspora engagement

in community development practices. The presentation of (local) research institutes and

suggested discussion points triggered a lively debate in every workshop among the

stakeholders, in which their opinions on the examples and personal experiences were

shared. At the end of every workshop, the stakeholders were able to take home examples of

inspiring practices worldwide (see annex), learned from experiences of their local

counterparts in Bangladesh and possibly laid the basis for new RfCD partnerships in the

future.

Location: Chittagong

Venue: Hotel Tower Inn

No. participants: 46

There were two presentations given at the Chittagong workshop. One presentation focused

on inspiring global practices of RfCD schemes by Ms. Daniëlle de Winter, while the second

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presentation was given by Mr. Mohammad Abul Bashar, an assistant professor at the

University of Chittagong. The second presentation focused on the presentation of his paper

on the use of remittances in two areas of Chittagong district. Over 20 recommendations were

suggested, of which most focused on encouraging the government to create an enabling

environment for sending, investing and formalizing remittances.

The two presentations brought about a lively discussion among the participants. The key

topics of discussion were the “informal-formal remittance” debate, the necessity of

strengthening government support for migrant investments, and Bangladeshi migrant

remittance sending behaviour. The participants, such as the Central Bank officials,

emphasized the importance of formalizing remittance transfers to be able to streamline the

funds more to investment opportunities such as government bonds. They also emphasized

the current activities of the government and the central bank to “bring the bank to the people,

and not the people to the bank” to reinforce their efforts in formalizing remittance transfers.

The general consensus among the participants was

construed around the necessity of an enabling

environment that would entice migrants to invest

(more) in development activities in Bangladesh.

While participants realized that migrants should not

be expected to be involved in large-scale projects,

they could support development projects and

economic ventures at the community level. Active

involvement by the government was crucial

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according to the participants to enable a positive policy environment for investment, for

increased information sharing of opportunities with migrants, and for creating pre-departure

programmes to strengthen the capacities of migrants at an early stage.

Another key issue raised during the workshop, was the difference of remittance sending

behaviour between short-term migrants to the Middle East and long-term/permanent

migrants to Europe and the United States. According to the participants, short-term migrants

send more remittances in a short time but will be less enticed to support additional

development projects. Long-term migrants however, while sending fewer remittances, could

be encouraged to leverage their remittances for additional purposes. It was recommended

that more awareness should be created of the benefits of supporting RfCD schemes, for both

long-term as short-term migrants.

Location: Dhaka

Venue: BRAC Centre Inn

No. participants: 121

The workshop was attended by 121 participants, which constituted a major success for the

organizers of the workshop. As the workshop was held in the capital, Dhaka, the partners

were able to reach out to a wide-range of media to cover the event. Following the event,

most national and local newspapers and television networks published and broadcast on the

content of the workshop. This publicity indirectly offered the project partners a (cost free)

national campaign on the importance of Remittances for Community Development. The 10

Workshop 2: Dhaka (10 May 2011)

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May conference at BRAC Inn centre got such wide print and electronic media coverage that

the following day one of the leading TV Channel (NTV) of Dhaka approached BASUG for a

talk show on the subject “Remittances for Community Development”. It was a 30 minute long

‘talk show’ which was participated by BASUG chairman, Triple L Project Coordinator and

INAFI Asia Manager, Remittances. The talk show was telecast simultaneously from Dhaka

and London and was watched by millions of Bangladeshi diasporas in Europe, America,

Canada as well as Bangladeshis in Bangladesh.

Prominent guests who attended the conference were among others Governor of Bangladesh

Bank, Dr. Atiur Rahman, Director General of NGO Affairs Bureau of Bangladesh

Government, Mr. Nurun Nabi Talukder, representatives from leading NGOs such as BRAC,

WARBE, Manusher Jonno Foundation, ASA, Ghasful, GUK, PBK, Proshika, RMMRU etc.

In his welcome speech Mr. Bikash Chowdhury Barua, President, BASUG introduced BASUG

to participants and described its various activities in Netherlands, UK, and Italy and in other

places. He said, though BASUG started as an organization to support Bangladesh and its

migrants, but it now has reached out to Sri Lankan community in Europe, and intends to work

with other communities as well. He also mentioned setting up of Bangladesh Chapter of

BASUG to facilitate its activities in Bangladesh. BASUG Bangladesh is in the process to

complete all legal and other formalities to begin its activities soon. It already has its own

office in Dhaka. Terming the project unique, BASUG Chair said that the project would find

out, by studying selected countries, alternative remittances schemes, such as collective

remittances and others, benefiting the community as whole, and to understand and identify

the best examples and practices, as well as positive and negative effects of such schemes.

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Mr. Atiqun Nabi, Executive Director, INAFI Asia and Bangladesh apprised the audience

about INAFI, its global and regional works, and especially in its activities of remittances and

on migrants. He narrated history of long involvement of INAFI with BASUG.

BASUG Advisor Dr. Ahmed Ziauddin then provided the background of the conference. He

said that the conference was part of a research project initiated by Oxfam-Novib with a

working hypothesis that perhaps the better or even best approach to utilize remittance is

when remitters join together and collectively use remittances to benefit the communities

concerned, and that the objective of this exercise is to find out whether that is the case or

not.

He said, to explore it, the project has taken up four countries, coming from three different

continents of the world; Mexico, Ghana, India and Bangladesh. Bangladesh has been

selected for on-site research of the hypothesis to identify which initiatives exist where

remittances benefit broader community, and then to assess and evaluate these schemes, to

identify conditions of success or failures, and to examine what measures, if any, have been

taken by the Government of Bangladesh along with other actors like NGOs, civil society,

private sectors including business. The project also likes to understand, whether migrants

are willing to remit to community and collective initiatives, and if so, under which conditions.

In this regard, he said, a virtual platform would be developed for interactions specifically for

and with migrants to share and discuss among themselves and others, including experts,

professionals, and policy makers etc. Social media would also be used to bring in as many

numbers as possible for their inputs.

He stated that Bangladeshi Diaspora in Netherlands, United Kingdom and Italy, would be

involved through BASUG chapters in these respective countries to see whether and how

community centric alternative remittance programs operates and that whether such initiatives

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should be considered as a new way forward in practice and discourse on remittance and

development.

Ms. Danielle de Winter, Project Coordinator, Triple L/ TNU presented her research findings

and provisional conclusions on her research on remittances for community development.

She referred to trends of international migration in past several decades and its importance.

She said, civil societies and multilateral institutions all have migration and remittance, and its

impacts on individual, family, community and the country. She identified number of positive

impacts of remittances, but few negative consequences too. She maintained that meeting the

basic need of the migrant family, steady cash flow, social security, opportunity to save and

invest are some of the advantages of remittance, while risking creation of dependency and

lack of initiatives to improve lot, declining productivity, increasing inequality and generally

contributing to inflation are some of negatives of remittances.

She suggested that if remittances are used for community development, the above negative

impacts could be addressed, and instead, such approach could reduce poverty at community

level. In addition, she found, at community level, remittance could improve local

infrastructure, commodity and capital markets, create employment opportunities as well as

new institutions and practices and thereby reduce inequality between households.

She identified a number of examples from around the world where remittances have

contributed for the purpose of the community in an organized way. The first example came

from Mexico, the “Quatro por Uno” (Four for one). Under this program started in 1970s, when

Mexican migrants in US, started to remit to Home Town Associations (HTAs) for small-scale

projects, which got noticed by the local government of State of Zacatecas and impressed, the

State, to stimulate Diaspora sending more money, matched one dollar for every dollar sent to

HTAs and One-for-One program started.

By 1992, the program was expanded further when federal and state governments both

decided to match the amount of dollars migrants contributed and the program then was

known as Two-for-One (Dos por Uno). In 1998, with the inclusion of the municipal

government, the program turned to Three-for-One (Tres por Uno).

The Western Union then entered partnership with the Mexican migrants thus elevating the

program to Cuatro por Uno (Four-for-One). The HTAs invested millions of dollars in hundreds

of projects.

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She then gave another example from Morocco, where a migrant organization in partnership

with local producer, European fair traders and government marketed saffron produced by

local farmers. It explored market in Europe, and developed trading relationship. The farmers

were provided with seed capital, orienting them on regulations and provided other business

support. Here, migrant organization contributed in transnational business relations.

The third example, the Family & Friend Fund, is a Dutch initiative to support migrants who

startup business in their own country. IntEnt is a business for businesses, which support

migrants in the Netherlands who wish to start up a business in their country of origin, and are

currently helping with projects in Ghana, Surinam, Turkey, Morocco, Curacao, Ethiopia and

Afghanistan.

The basic principle behind IntEnt is that migrants, once they have settled in the Netherlands,

can be catalysts for the development of their country of origin. Activities include financial

literacy, business support, loan guarantee, feasibility assessment etc.

From Philippines came the example of ‘Maria goes to Town’ an initiative of Damayan where

local government, local NGO, local women associations and women from rural areas are

involved. The purpose is to boost economic empowerment, construct market place, capacity

building, encourage people to participate in own municipality development, empower women,

create women’s association etc.

In attracting remittance for community development, she identified number of challenges.

The key one is trust or rather lack of it between government and migrant communities. She

also found enabling environment and availability of investment opportunity including

adequate infrastructure impact on migrants’ decision to invest for community. In this regard,

she emphasized on providing and sharing of information. Here she provided another

example from Philippines, LINKAPIL-the Link for Philippine Development that seeks a

broader and deeper partnership between overseas Pilipino and those at home. There are

similar examples in Cape Verde.

Governor of Bangladesh Bank

The Chief Guest of the Conference Dr. Atiur Rahman, Governor, Bangladesh Bank, which is

the Central Bank of Bangladesh, said that remittance has been key driver of Bangladesh

economy constituting about 10% of the GDP, which was merely 2% in 2000. He said, in past

five years, remittance grew at a phenomenal rate of 23%, taking Bangladesh to 7th highest

remittance recipient country. He said, remittance has kept a positive balance for Bangladesh,

despite global depression.

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He acknowledged that NRBs- Non Resident Bangladeshis find difficult to channel to send

remittance, though they are showing interest to investment in large-scale projects. He then

outlined number of areas where migrants can invest such as energy, service, tourism and

others. He accepted that there are lots of challenges in such ventures but he urged to turn

challenges to opportunities.

(Bangladesh Bank Governor, Dr. Atiur Rahman (middle) speaking at the conference. From left Dr.

Ziauddin Ahmed of BASUG, Atiqun Nabi of Inafi Asia, Governor, Bikash Chowdhury Barua of

BASUG and Danielle de Winter of Triple L/TNU)

He referred to newly launched NRB Bank intended to provide pre-departure funds, and

Mobile Banking, which will ease to remit. He also referred to E-Payment, which is being

worked out. Referring to 7 million currently in abroad, he said this volume could increase.

He said, the main problem is lack of confidence on Bangladesh, which, he claimed as an

unsung hero considering its various successes.

In Business Session of the Conference, Mr. Rashed Al Hasan, Project Manager

(Microfinance & Remittances), INAFI Bangladesh presented research finding on Bangladesh

experience of remittance for community development. He identified number of initiatives by

Bangladeshi migrants under the BASUG-Triple-L-Oxfam Novib research, which aimed at

finding out RfCD schemes in Bangladesh, reasons for undertaking these initiatives, analysis

of socio-economic cost benefits of such schemes, as well as sustainability and possibility of

successful replication of such endeavors in other countries.

He found, so far, Bangladeshi migrants have already invested in Financial and Capital

Market Investment Schemes (Stock market, bond market, financial products, capital fund

etc), Fixed Asset investment schemes (Real estate), Large scale infrastructure schemes

( large industry, power plant, roads and bridges), Transport sector ( airlines, bus),Hospitality

sector ( hotel, restaurant, catering, tourism), Entertainment sector (amusement park),Small

scale infrastructure ( small industry, small bridge, embankment), Philanthropic initiatives

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(hospital, school, college, Mosque, community centre, scholarship scheme) and Business

investment (family business etc).

He provided examples of these initiatives and raised number of questions for the participants

to ponder. The questions are noted below:

1. How to encourage NRBs to invest in RfCD schemes?

2. How Government could encourage RfCD initiatives?

3. What role local government should play to encourage RfCD initiatives?

4. What role should community play to encourage RfCD initiatives?

5. What role should NGOs play to encourage RfCD initiatives?

6. What role the different stakeholders like civil society, researchers and academics

could play to encourage RfCD initiatives?

7. How donors could help RfCD initiatives?

8. How to link RfCD with Corporate Social Responsibilities (CSR) of the business

organisations?

9. How to link RfCD schemes with Social Enterprise Concept / Social Business

Concept?

10. How to make RfCD schemes sustainable?

In his comments, Mr. Saiful Islam, Chairman, WARBE Development Foundation, a leading

migrants’ rights organization insisted in keeping interests of migrants’ rights in mind. He gave

narrated sad situation of returnee migrants, especially from instable Middle East, returning in

thousands. He suggested setting up fund, one dollar from each trance of remittance, for the

welfare of the migrants, and the government to provide matching amount.

He commended the government for ratifying the UN Convention on Rights of Migrants, but

said there has to be corresponding legal regime in place for migrants to avail benefits of this

instrument. Mentioning high cost of migration, he reminded responsibility of BAIRA, the

organization manpower exporters. He also assailed that the government does not encourage

migrants’ to invest and in this regard, he suggested providing cash incentives and subsidy to

such initiatives.

Ms. Rina Roy, Director (Rights), Manusher Jonno, a leading local donor organization said

that her organization supports initiatives on safe migration and returnee migrants as well as

in campaign and advocacy. She said, it’s the government who has to create an enabling

environment and identify obstacles. He shared an idea of a leading economist of the country,

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to undertake a pilot project setting up of migrant’s organization by migrant workers to do

everything from searching markets, bringing job offers, selecting suitable candidates,

providing support to departing migrant including return and resettlement. The project should

have a fixed percentage to invest of incoming remittance.

She reminded participants to keep in mind access of poor to initiatives of migrants. She said,

hospitals so far set up by migrants only cater for very rich, and poor are excluded. She

suggested NGO and private initiatives to work together building skills, especially, that of

women.

The floor was then opened for participants to comment and question by the moderator of the

session Mr. Muhammad Jahangir.

Mr. E. H. Chowdhury of Uddipan, a partner of BASUG, questioned what the government is

doing to encourage migrants to invest for community. To do, he suggested setting up of a

comprehensive data base by the local government. He touched on undeclared money of the

migrants in different countries of the world, where a migrant work hard beyond contract hour

and accumulate money more than contracted amount. He suggested that the government of

Bangladesh should engage with these governments to extend some kind of amnesty for this

undeclared money if invested for development.

He also compared rights of non-resident Indians and NRBs and said, they should be involved

in development of local areas. He also critiqued role of Bangladesh embassies in caring for

migrants.

Mr. Abdul Hay, a teacher in New York in US pointed out why migrants are reluctant to invest

such as absence of rule of law, rampant corruption and accountability. Another participant

Mr. Aminul Islam Bhuiyan reminded participants about deaths of migrants abroad. He said,

no one keeps count of number of dead migrants, and causes of their deaths. He questioned

why young migrants are dying disproportionately more than similar age groups in

Bangladesh.

Ms. Marina Sultana of RAMMRU said how her organization honors those involved in

migration including recruitment agents. She said Banks should be more migrant friendly.

Another participant Mr. Reza asked why only one mobile company has permitted to send

remittance, and questioned, do we have enough confidence on the government. GTZ

representative Mr. Parvez said it’s important to find out in using of remittances for community

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development where to invest and in this regard, he suggested development of a data base.

He said, it’s very important to involve local government in these initiatives. A representative

of Women’s Enterprise Association Ms. Selina Quader emphasized on giving loans to

women entrepreneurs. Mohar Ali reminded climate change and migration. Another

participant sited example of a project run with remittance to fatten cows that fetch good

amount of money.

(Photo-DG of NGO Bureau Mr Nurun Nabi Talukder (3rd from right) speaking at the 2nd session.

From left: Atiqun Nabi of INAFI Asia, Saiful Islam of WARBE, media expert Muhammad Jahangir,

DG of NGOB, Emran H. Chowdhury of Uddipan and Bikash Chowdhury of BASUG)

There were number of other participants who raised different issues. Finally, Mr. Nurun Nabi

Talukdar, the Director General, NGO Affair Bureau of Prime Minister’s Office, in his

concluding speech said remittance are main actor of change and urged not to waste

remittance. He reminded responsibility of state and also of the Ngos to act transparently. He

suggested, in all their activities, should be visible to their stakeholders.

Mr. Nasirul Haque, Project Coordinator, BASUG Bangladesh Chapter and a senior journalist,

thanked all guests, participants and specially Oxfam-Novib for supporting such an important

research and initiative to understand remittance for community development.

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Location: Hobiganj

Venue: Local restaurant

No. participants: 35

The meeting was held at a local restaurant in Hobiganj. Representatives form different

stakeholders such as teachers, lawyers, journalists, local council members, bankers,

members of migrant families, repatriates and also government officials took part in the

meeting.

The meeting was addressed among others by former Principal of Brindaban College and

President of Endeavour, Prof Iqramul Wadud and Hobiganj Upazilla Vice Chairman, Md.

Abidur Rahman as special guests. From the Netherlands BASUG chairman Bikash

Chowdhury Barua, Advisor & Project Director of BASUG, Dr Ahmed Ziauddin and Project

Coordinator of Triple L, Ms. Danielle De Winter also addressed the meeting. Mr. Nasirul

Haque, Project Coordinator of BASUG Bangladesh chapter gave the vote of thanks. Earlier,

Executive Director of Endeavour, Mr. Khalilur Rahman welcomed the participants and gave a

short description of BASUG-Endeavour partnership experiences.

(Photo: Dr. Ahmed Ziauddin of BASUG speaking at Hobiganj stakeholders meeting)

Workshop 3: Hobiganj (12 May 2011)

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Media expert of Bangladesh Mr. Muhammad Jahangir from Dhaka was the moderator of the

stakeholders meeting. He divided the meeting into three parts: 1) introduction, 2) discussion

on remittances for community development and 3) questions and answers session.

(Photo-Delegates from the Netherlands visit a joint initiative by the migrants in Hobiganj district)

1st Part:

Moderator Muhammad Jahangir requested all the participants to introduce themselves and

requested them to be precise to the subject.

2nd Part:

Moderator started the discussion giving thanks to all. At the start he requested BASUG

Chairman to give a brief description of the project. BASUG Chairman in his speech threw

light on the on-going project on Remittances for Community Development (RfCD) and

described the background and objectives of the project. He also thanked all for their

presence.

Professor Iqramul Wadud, President of Endeavour (partner of BASUG) in his speech

underscored the need for better utilization of remittances for the welfare of the community.

This he said, is not being done properly and more focus should be given on this point.

Hobiganj Upazilla Chairman, Mr. Abidur Rahman lauded such initiative of BASUG and

assured that the local government administration would provide all possible support to

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initiatives for community development with the hard-earned money of the migrants. He

thanked the organizers of the project for such initiative.

Dr. Ahmed Ziauddin in his presentation gave the participants a view of the efforts/initiatives

being taken by the migrants or their family members, which contribute to community

development in many countries across the world.

Ms. Danielle de Winter in her presentation cited a number of best practices by the migrants,

not only of Bangladesh but also of other countries such as Mexico and the Philippines. In the

presentation, Ms. De Winter highlighted the importance of two key features for potential

successful RfCD initiatives: sound partnerships among development stakeholders and

migrant remitters, and strong information sharing and transparency.

(Photo-A fishery project, an initiative by migrant family members in Hobiganj)

3rd Part:

From the floor there were number of questions and the speakers, mainly Dr. Ahmed

Ziauddin, Bikash Chowdhury Barua and Muhammad Jahangir replied. There were also

answers given by the local district Vice Chairman.

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Questions and Answers:

1. If there is any data on remittances sent to Sylhet division and Hobiganj district since 1970

to 2010?

2. How can the gap between the local and central government be bridged?

3. How can the migrants who are living abroad be informed of the community development

initiatives in their country of origin?

4. For community development initiatives, political decision has to be taken and how political

hindrances on way to such development process be removed?

5. How can the migrants be assured that their investment at home would remain safe?

6. Migrants are cheated by their friends and relatives at home. In many cases the relatives or

friends with whom they start business at home, are found to have been cheated/deprived of

their money or deprived of the ownership. There is a gap in trust, even among the family

members at home. How this can be stopped? Or how this trust can be improved?

7. How to attract the second generation of migrants who are living abroad to invest back at

home?

8. How the migrants who want to invest can be protected from deception or deprivation at

home?

9. How to get the people who look after the household things (buildings, houses by migrants)

of the migrants, could be involved in community development initiatives?

10. How we can inspire the successful migrants businessmen who are living abroad to invest

in home country?

11. Can there be more initiatives such EPZ (export processing zone) to draw foreign

investment?

12. Process to receive remittance at home need to be made more easy and accessible to the

recipients.

13. Bangladesh government should take action to stop harassment of the Bangladesh

community people at the foreign missions by the mission employees and officials.

Complaints are there that the embassies and missions of Bangladesh do not provide

information, when they approach the embassies for any help or enquiry. Bangladesh

government should take immediate steps to stop such harassment of the Bangladeshi

migrants by the embassies officials.

14. Suggestion if Community Development Forum could be formed?

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2 Projects

During the field visit, two key projects were identified in which remittances were leveraged for

community development. The project partners visited both projects, which were located in

Chittagong and Hobiganj. Both projects shared the features that they were supported by

remittances, offered job opportunities to community members and were up-scaling their

activities after only one year of production.

Fishery project in Chittagong In Chittagong, a migrant family has been able to start a fishery hatching business, which is funded by the remittances of a family member living in Saudi Arabia. While in Saudi Arabia, the Bangladeshi migrant came into contact with a fellow migrant originating from Chittagong district. This new acquaintance used to have a fishery business in the region and informed the migrant of the potential of such a business in his hometown. Based on this newly gathered information, the migrant sponsored his family in Chittagong to start a fishery project. The project set out as a family business, but now employs over 20 people year round and an additional 20-40 people in the peak season (hatch season). Since the start of the project, they have not taken out any loan or did not need to apply for a government subsidy. The family had no skill in fishery before the migrant family member started the project. Government training centres nearby offered the family (and other business developers) cost-free business and fishery skills training, which enabled the family to enlarge their business in a short time. Local farmers now buy small fish from the fishery project for their ponds where the fish are grown to full size for off-set at the market place. Because of the current low-production costs of the fishery, farmers prefer this low-tech fishery project, which offers the farmers more market potential.

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Fishery Project – Chittagong Private initiative of migrant family to start fishery business

Who is involved? S R Individuals Households Migrant Associations Local Authorities

Charity or Religious institutions

NGOs Business networks

Other: …

Objective The business focuses on producing fish for farmers in the surrounding area for eventual off-set at the market. The hatching production process is organized by the migrant family who set up the business through received remittances. Initiators Migrant family of Chittagong district Beneficiaries Direct: Migrant family Indirect: Year-round employees (+20); local farmers benefiting from low production cost fishery business Activities � Hatching business � Employing 20-40 community members and

providing them shelter for rent near work site

Results Profitably business, no loans had to be taken out so far. Challenges Lack of skills in fishery business. Yet, was soon covered by government training centres in nearby regions. Now wanting to expand, yet struggling with the idea of higher production costs, which will limit their sales among local farmers. Partners none Financial Backers Migrant in Saudi Arabia Contribution to Development While the business is a private affair, it provides over 20 community members with employment opportunities year round. Due to low production costs, offers farmers as well more revenue due to number of fish for production for market place.

What type of RfCD initiative? Capital Investment Small-Scale Infrastructure Micro-finance Philanthropic

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Fishery project in Hobiganj In Hobiganj, another fishery project was developed, yet on a different basis. The local development and microfinance organization Endeavour is active in the Hobiganj region in providing micro finance groups with loans for their small business ventures. At one point, a migrant family approached Endeavour with a proposal. They had received approx. 1000 dollar in remittances from their migrant relatives and would like to start a fishery. However, they still came short in funding. Endeavour created a matching programme to assist the family in setting up the fishery by providing them with a microfinance loan – larger than their usual lending procedure. The matching programme enabled the family to start the fishery project. They have arranged their pond, the fish, and employ approx. 8 people full-time out of the surrounding village. The fishery has proven to be successful and the family has applied for a second (and larger) loan in year 2 and made every monthly payment in time thus far. The project shows how remittance received can be put to use at a different level then merely the household level. The remittance was used as a form of collateral to apply for a micro finance loan at an NGO, and provided both the family as well as some community members with new employment opportunities. This partnership has proven successful and the MFI will continue to look into new possibilities for their remittance-matching programme.

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Fishery Project – Hobiganj Collaboration of MFI and remittance to fund fishery project

Who is involved? S R Individuals Households Migrant Associations Local Authorities

Charity or Religious institutions

NGOs Business networks

Other: micro finance institute

Objective The business focuses on producing fish for farmers in the surrounding area for eventual off-set at the market. The hatching production process is organized by the migrant family who set up the business through the combination of remittances (collateral) and micro finance loan by local nongovernmental organization. Initiators Migrant family of Hobiganj district Beneficiaries Direct: Migrant family and neighbours Indirect: Year-round employees(+8), local farmers Activities � Hatching business � Employing 8+ community members � Expanding business to fruit production – making

full use of land potential

Results Profitably business, all loan payments have been made in time so far. Second loan was taken out after year one. Challenges Due to limited remittance received, the receivers were not able to start a full-fledged business. By approaching a local NGO involved in MF, the recipients made full potential of their remittances by using it as a semi-collatoral for their micro finance loan for the fishery business. Partners Endeavour Financial Backers Migrants and Endeavour (Partner of BASUG) Contribution to Development The business offers households profitable revenue and local community members with new job opportunities. The expansion of the business to include local fruit production will provide new potential for community members in the near future.

What type of RfCD initiative? Capital Investment Small-Scale Infrastructure Micro-finance Philanthropic

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3 Organizations visited

Organization Purpose of visit Future collaboration? INAFI Asia, Dhaka - Partner

organization - local research org

for RfCD project

Continued research collaboration

Endeavour, Dhaka & Hobiganj - Partner organization

- courtesy visit - project visit

Needs to be further explored specifically focussing on RfCD (based on current examples of Endeavour)

WARBE, Dhaka - courtesy visit - migrant rights

specialist

Possible collaboration, MoU discussed

EBF (Everbright Foundation), Chittagong

- Partner organization

- courtesy visit - project contacts

visit

Visit project areas, discuss on going project

Embassy of the Netherlands, Dhaka

- courtesy visit - presentation of

project

Possible collaboration. NL Embassy proposed to put BASUG link on Embassy website

National Dialogue Foundation, Chittagong

- Preparation of Chittagong stakeholders meeting

Future collaboration

Young Power in Social Action (YPSA), Chittagong

- courtesy visit - discussion of

possibilities for cooperation

Needs to be explored

TV Channel (NTV), Dhaka - were invited for a 30 minutes talk show program highlighting objectives of on-going project and Remittance

Similar programs likely to be organised in future (already another TV channel of Dhaka has shown interest to do so on the on going project)

Daily Azadi & Daily Suprobhat, two daily newspapers of Chittagong & Press Club

- media coverage, PR with media people

Media coverage reassured

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4 Lessons learned

Out of the workshops and based on the experience during the field visits to project sites, the

project partners are able to draw some general lessons learned:

� after the two weeks work visit to Bangladesh, the project partners are convinced

that there exists a broad basis of interest to learn more, implement and reflect

on Remittances for Community Development projects in Bangladesh. Yet, the

interest appears to need the necessary continuing support and incentives to stay

alive and transform into practical next steps.

� at every workshop and during private conversations with participants and at

project sites, people urged for more (local and national) government support to

create a more enabling political, regulatory and economic environment for

migrant investments. People perceived an enabling environment as a

precondition for successful development and implementation of RfCD projects.

� Respondents encouraged to increase the level of information sharing among

migrant communities of investment possibilities and options for them to support

development projects (such as RfCD projects).

� Participants of the workshops urged central bureaus to start compiling up-to-date

data bases of migrant movement, characteristics and remittance flows. These

data bases were suggested to aid development organizations and government

departments to structure their (remittance) programmes, which would then be

more focused on specific migrant communities.

� A sense of (mis)trust was felt at different occasions during the field visit regarding

the use of remittance for community development purposes. Both explicitly and

implicitly, respondents wondered how to ensure sound partnerships, fair business,

and sound expenditure of funds without monitoring tools in place. These issues

need to be addressed when developing RfCD programmes.

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5 Annexes

Annex 1: PowerPoint presentation “Global practices”

Annex 2: Media clippings

Annex 3: Contact details of organizations visited

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MEDIA COVERAGE

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PICTORIAL

BASUG Chair is handing over a crest to Governor of Bangladesh Bank Dr. Atiur Rahman

Meeting at INAFI Asia office in Dhaka and also with film maker Arun Chowdhuri(2nd from right)

Meeting at WARBE office in Dhaka with its Chief Executive Saiful Islam

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After the meeting with the senior officials of the Netherlands Embassy in Dhaka. Photo (above),

was taken on the 2nd meeting at the embassy while the photo below was taken on 1st meeting.

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In front of the head office of BASUG partner, Endeavour in Hobiganj