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10 Consequences of Brain Drain in Developing Countries

Developing countries are low-income countries dealing with issues like severe poverty, climate change, war, and other crises that affect sustainable development. People often leave developing countries for safety, higher wages, education, and job opportunities elsewhere. What happens when these people are highly skilled? “Brain drain” describes the phenomenon when educated, skilled professionals (like doctors and engineers) leave an area. Not every consequence is negative! In this article, we’ll explore 10 consequences of brain drain in developing countries, some of which are beneficial, and others that aren’t.

# Impact of Brain Drain
1 Developing countries lose skilled workers
2 Developing countries lose money
3 Returning migrants can boost development
4 Workers transfer knowledge and technology
5 Developing countries get money from expat workers
6 Expats get better education and higher wages
7 Brain drain downsides hit kids the hardest
8 Expats can face discrimination in new countries
9 Expats don’t always get high-paying jobs
10 Brain drain can create an unhealthy relationship between countries

#1. Loss of skilled workers

“Brain drain” happens when a country’s most skilled and educated workers – like healthcare professionals, engineers, and teachers – leave. If enough of them move, serious issues like labor shortages and a loss of productivity can arise. Even if unemployment in general goes down, severe shortages in occupations like medicine and engineering negatively impact a developing country’s economic growth. According to a UN report, Liberia, Zambia, Ethiopia, and Uganda were most affected by a brain drain of doctors in 2004; in Zimbabwe, 50% of healthcare positions were vacant. This contributed to existing issues like malnutrition, drought, and other humanitarian emergencies. When industries like healthcare lose their most skilled workers, their risk of collapse gets worse.

#2. Developing countries lose money

Brain drain can cost developing countries money in a few ways. First, if the workers got their education at home, developing countries essentially lose their “investment” when their educated workers leave. Developing countries also risk losing tax revenue, since people who leave their home countries no longer pay taxes. There’s another potential income loss specific to the brain drain of doctors, nurses, and other health professionals. In a piece for The Conversation, Mark Shrime describes a study where he and his colleagues estimated the economic effect of doctors migrating. Every year, countries lose around $3.5-$38 billion due to excess deaths triggered by brain drain. South Africa, Nigeria, India, and Pakistan were the most affected.

#3. Returning migration can be good for developing countries

Brain drain isn’t always permanent. Many people leave home to get a better education, more economic opportunities, and new experiences, but they may come back. According to the International Labour Organization, temporary brain drain may be the best-case scenario for developing countries. After getting an education and building new skills, workers return to increase their home country’s productivity, create new opportunities, and boost development. Between 1990 and 2015, almost half of all migrants returned to their country of origin with more wealth, more education, multilingual skills, more work experience, and larger social networks. Return migration isn’t always a positive thing; workers may be returning to dangerous conditions that limit their opportunities, but it can be beneficial in certain circumstances.

#4. Workers transfer knowledge and technology back to their home countries

Even if workers don’t return to their countries of origin, they can offer knowledge and technology that helps those left at home. A 2020 study from Research Policy refers to this transfer as “knowledge remittances,” where instead of (or in addition) to money, workers send back the knowledge they’ve gained working in other countries. Using data from 32 European countries, researchers found emigration contributed to innovations in source countries. Most importantly, this did not increase inequality between more and less advanced economies! Technology like the internet has played a big role in knowledge transfers. It’s now much easier for people to stay connected to their home countries, organize networks, and collaborate with other immigrants. According to the International Labour Organization, knowledge and technology transfer is one of the best ways for developing countries to benefit from brain drain.

#5. Developing countries can benefit from financial remittance

When workers leave home for a chance at a better life, they often send money back to family and close friends. When the workers are highly educated and skilled, these financial remittances can have a significant effect on developing countries. According to a COMPAS blog, the remittances may have an even bigger impact than if the workers stayed home. The Caribbean is greatly affected by remittances. According to a 2008 paper, almost 18% of Jamaica’s gross national product (GNP) came from remittances. After disasters, remittances go up, which makes a huge difference for people who don’t have homeowners insurance or help from the government. For people living in disaster-prone areas, money from loved ones living abroad is a lifeline.

#6. People who leave home can get better education and higher wages

What’s the effect of brain drain on the people who leave? Better education and higher wages are two of the most common reasons for immigration. For example, in Mexico, the Kino Border Initiative believes education is “inherent” in the two leading reasons for migration: economic opportunity and violence. Getting an education in Mexico can be challenging because of costs and gang violence; according to research, just 45% of students finish high school. Finding safety in another country can help students finish their education. On a global level, there were over 6.4 million international students in 2021. More than 60% of those students came from middle-income countries, which the UN classifies as “developing.” What about wages?  700 million people, most of whom live in parts of sub-Saharan Africa, rural areas, and conflict-affected countries, live on less than $2.15 a day. Moving can improve economic opportunities and increase a person’s income.

#7. When brain drain has negative effects, children suffer the most

Brain drain has upsides and downsides, but it’s important to note that kids tend to suffer the effects of the downsides the most. Lebanon presents a devastating case study. In the wake of crises like COVID-19 and an explosion in Beirut, Lebanon has been experiencing a massive brain drain, according to expert groups like the World Bank. As many as 20% of doctors in Lebanon have left or plan to, which adds further strain to pandemic-shaken hospitals and clinics. Children suffer the most. According to a 2022 study, children with disabilities and developmental delays, who are vulnerable in the best of times, are at an increased risk as poverty in Lebanon gets worse. With skilled professionals like doctors, psychologists, teachers, and others leaving in record numbers, this brain drain hurts kids.

#8. People moving to “brain gain” countries can face discrimination

When skilled workers move to new countries, those countries experience “brain gain” instead of “brain drain.” However, these countries don’t always make things easy for immigrants, especially ones from developing countries. In reports studying the experience of Latino and Asian immigrants in California, around 70% of people believed immigrants experience workplace discrimination because of their accents or skin color. 65% worried they might not get a legal immigration status if they used income assistance, housing aid, healthcare programs, or other government benefits. Discrimination goes deeper than feelings. In one study from the United States, darker-skinned migrants earned up to 25% less than their lighter-skinned peers. This makes it harder to send money back home, which affects the developing country’s economy.

#9. It can be hard for skilled expats to get high-paying jobs

Speaking of money, people who leave developing countries for higher wages don’t always find the jobs they want. While they have the education and experience needed for high-paying jobs, obstacles like language barriers, legal status, lack of employer recognition, licensing and certification processes, and challenges with American job applications make it difficult. According to research from the Ballard Brief, over 2 million highly skilled immigrants in the US are unemployed or underemployed. When workers can’t use their skills, it’s referred to as “brain waste.” It makes it harder for migrants to settle into a new country, but it’s also a loss for organizations, brain gain countries, and people who depend on support from the expat.

#10. Brain drain can build unhealthy relationships between developing and developed countries

Immigration has lots of benefits, and even when countries lose skilled workers to brain drain, not every consequence is negative. However, brain drain can lead to a somewhat unhealthy relationship between developing and developed countries. In a report analyzing brain drain in Caribbean countries, the author found that developed countries benefit the most because they invest less in their own healthcare and education. This leads to a dependence on skilled workers from developing countries, who are needed to help pay for pensions and healthcare. However, when these immigrants get older, they’ll also need healthcare and pensions, and the cycle continues. Depending on brain gain from other countries, but not investing in healthcare and education, is unsustainable.