Mass Migration To Developing Countries Could Be A Major Driver To Global Economic Growth, According To A Report By World Bank And International Monetary Fund

A new report jointly created World Bank and International Monetary Fund (IMF) covers the information about the world's development towards global development objectives. Aside from that, the new major report also tackles the effects of demographic transformation on accomplishing these objectives.

CNBC noted on Wednesday that the report, "Developing Goals in an Era of Demographic Change," explains that migrants will continue to flock toward developing countries because of inequality. However, it reveals that these mass migrations could be a major factor to global economic growth.

"If countries with aging populations can create a path for refugees and migrants to participate in the economy, everyone benefits," World Bank Group President Jim Yong Kim said in a dispatch. "Most of the evidence suggests that migrants will work hard and contribute more in taxes than they consume in social services."

He went on, "With the right set of policies, this era of demographic change can be an engine of economic growth."

This year's Global Monitoring Report was released to coincide with the upcoming annual meetings of World Bank and IMF, which starts on October 9 to 11 in Lima, Peru.

The report examines how demographic changes could change the flow of global development. These major shifts would "reshape economic development for decades, and, while posing challenges, offers a path to ending extreme poverty and shared prosperity if the right evidence-based policies are put in place nationally and internationally," the report says, as posted by World Bank on the same day.

"The demographic developments analyzed in the report will pose fundamental challenges for policy-makers across the world in the years ahead," said IMF Managing Director Christine Lagarde.

"Whether it be the implications of steadily aging populations, the actions needed to benefit from a demographic dividend, the handling of migration flows-these issues will be at the center of national policy debates and of the international dialogue on how best to cooperate in handling these pressures."

Meanwhile, analysts from British multinational bank HSBC reveal that the influx of migrants in Europe will have a good impact on the continent's economy, as reported by News Talk on Thursday. They also said that European countries should accept more migrants.

"Out of a working age population of 220 million, we estimate that one million more immigrants per year could boost eurozone potential growth by 0.2% per year, and cumulatively potential GDP by 2025 could be EUR300bn higher than it would have otherwise been."

"Whilst it takes time to integrate immigrants into the labour force, even in the short term, higher public spending needed to cope with the crisis could support growth."