Considering the benefits of hosting refugees: evidence of refugee camps influencing local labour market activity and economic welfare in Rwanda

Abstract

This paper examines the influence of Congolese refugees on host communities in Rwanda, with a focus on labour market activity and economic welfare. The analysis takes advantage of newly collected survey data from three refugee camps and their surrounding areas to compare individuals and households within communities at various distances from, and therefore exposure to, the refugee population. We find evidence that residing close to a refugee camp makes it more likely that an individual is engaged in wage employment in comparison to farming or livestock production, representing a shift away from subsistence farming activities. In addition, there is evidence that females living nearby a camp have a higher occurrence of selfemployment in business both as a primary and secondary activity, highlighting a notable gender-specific dynamic. Likewise, living in close proximity to a camp is associated with greater household asset ownership, benefiting both male-and female-headed households similarly, whereas no relationship is found in regard to ones' subjective perception of their household's economic situation. These generally encouraging results illustrate that refugees need not be a burden to their host societies, and their presence results in direct and indirect benefits.

Is the Education of Local Children Influenced by Living near a Refugee Camp? Evidence from Host Communities in Rwanda

“…And as illustrated in Table , these differences are mostly driven by schools outside Gihembe and Kigeme camps where local integration in education is highest. While one explanation may be that students nearby Gihembe and Kigeme camps are poorer than their counterparts further away, the data indicate that households nearby the camps are in fact better off along a number of welfare measures including income and asset ownership (Loschmann et al., ). Therefore, we take this as evidence that school‐based feeding programmes targeting refugee children integrated into local schools in these areas are spilling over to the local Rwandan children.…”

What Makes Me Want You Here? Refugee Integration in a Zambian Settlement Setting

“…The African context shows that agricultural workers suffer from fiercer competition, whereas producers (self-employed farmers and host businesses) benefit from the presence of refugees due to the additional supply of cheap labor [3,56]. Further arenas for exposure are marketplaces in African camps [12,57]. Vemuru et al [58] highlighted trade and meetings in markets as one of the most important forms of social interaction for hosts and refugees.…”

The Consequences of Forced Migration for Host Communities in Africa

“…Finally, Loschmann et al (2017) look at the case of three Congolese refugee camps in Rwanda. They analyse the impact of the refugee camps on the hosting communities and find similar results to some of those highlighted above.…”