FEMISE is launching its new Policy Brief series MED BRIEF aspiring to provide Forward Thinking for the EuroMediterranean region. The briefs contain succinct, policy-oriented analysis of relevant EuroMed issues, presenting the views of FEMISE researchers and collaborators to policy-makers.
The fourth issue of MED BRIEF “The role of vicinity linkages in the EU-MENA region for trade growth: focus on migration, level of education, and social integration” is available here.
Networks of migrants connecting source and receiving countries lead to identify business opportunities, creating new trade flows. In this Policy Brief, written by écrit Pr. Andres Artal-Tur, we provide new evidence on this topic. First, we show how vicinity and historical linkages between EU and MENA countries result in additional pro-trade effects: EU and Maghreb immigrants living in EU countries show the highest additional pro-trade effects. Second, we observe that the contribution to the host economy highly differs according to the skills, abilities and life circumstances characterising the immigrant: Trade effects of tertiary educated immigrants are more than double those of less educated people. Language proficiency also appears necessary to speed up new business opportunities. Finally, we also found that as integration of immigrants at host country advances, the role of bilateral networks in creating new trade flows becomes less important. In this way, larger effects appear for recently arrived foreign-born people and those arriving in their adult age.
The policy brief has been produced with the financial assistance of the European Union within the context of the FEMISE program. The contents of this document are the sole responsibility of the authors and can under no circumstances be regarded as reflecting the position of the European Union.