Driving Sustainable Development in Nigeria Through Diaspora Philanthropy

SEPTEMBER 2025

As Nigeria faces the impending 2030 deadline for completion of the United Nations Sustainable Development Goals (SDGs), the country finds itself at a critical juncture. Rising inflation, worsening inequality, and growing development needs beset the largest population in Africa and sixth-largest in the world—all amid a historic retrenchment in global development aid. Not only has Nigeria’s progress toward the SDGs stalled as a result, with the country experiencing a USD 347 billion SDG financing gap, but burgeoning climate risks, subnational conflicts, and ongoing violence are making an already tenuous situation worse. Despite these challenges, the Nigerian government articulated an ambitious development agenda, with aims to become a trillion-dollar economy, increase and upgrade its infrastructure, and make Nigeria healthier, more educated, more secure, and more prosperous.

While achieving these ambitious goals has been made harder by the withdrawal of traditional development assistance, the Nigerian diaspora — those who have emigrated from their birthplace but remain closely connected to it from afar — represent a promising philanthropic resource with the potential to help fill critical financing gaps. Estimated at approximately 20 million people worldwide, the Nigerian diaspora already gives significantly to the country; in 2022, Nigeria was the world’s ninth-largest remittance recipient. Strategic harnessing of this generosity and concern for the well-being of family and communities at home could help reduce inequality and support dignified, sustainable livelihoods. An organized ecosystem of coordinated diaspora philanthropy that leverages funding, networking and knowledge sharing could supplement existing development efforts and help to mitigate near-term impacts from recent cuts to global aid.

This ongoing project by FP Analytics, supported by the Ford Foundation, explores how high-net-worth individuals (HNWIs) in the Nigerian diaspora are engaged in philanthropy and other giving to their country of origin and identifies potential pathways for the growth of this sector. Drawing on a literature review, analysis of publicly available quantitative data, and semi-structured interviews with this community, Part 1 of this research seeks to understand the focus and trends driving philanthropic giving by the Nigerian diaspora, with the goal of enabling greater alignment and coordination among key stakeholders as well as scaling impact. Three complementary case studies on India, the Philippines, and Mexico exploring diaspora philanthropy offer lessons learned for Nigeria and other countries with growing diaspora populations.

With targeted policy reforms taking hold, the World Bank deemed economic developments in Nigeria in 2025 “broadly positive.” But despite decades of public investment and foreign aid efforts focused on eradicating the country’s economic and social development problems, those challenges remain urgent and immense.

About half of the more than 230 million people who reside in Nigeria are living in poverty, and the country is struggling to meet its sustainable development goals; in 2025, it ranked 147 out of 167 countries with an SDG score of 54.7. To date, Nigeria has achieved the targets of only one sustainability goal—SDG 12 on responsible consumption and production—and is on track to achieve just one more—SDG 13 on climate action—before the 2030 deadline. The remaining 15 SDGs face significant challenges, and progress toward those goals is either moderately improving, stagnating, or decreasing, depending on the goal. However, in its July 2025 Voluntary National Review at the U.N. High-Level Political Forum, the Nigerian government highlighted five additional goals—3, 5, 8, 14, and 17, on good health and well-being, gender equality, decent work and economic growth, life below water, and partnerships, respectively—as its priorities for improvement.

FIGURE 1

Nigeria’s SDG scores are improving, but slowly

Despite progress, Nigeria’s sustainable development score has hovered around the 50th percentile for many years

Data sources: SDG Transformation Center

While ambitious, a range of factors contribute to Nigeria’s potential to attain these ambitions. The fourth-largest economy in Africa with a gross domestic product (GDP) of USD 188.27 billion as of 2025, Nigeria is recognized as a regional hub of innovation, growth, and entrepreneurship. But to meet its potential—as well as to fuel growth and reduce persistent inequalities—a multistakeholder effort bringing together the Nigerian public and private sector, blended finance, and philanthropic sources, will be key.

The Nigerian diaspora is large and Nigerians abroad are highly-engaged with their country of origin: In 2023, the Nigerian diaspora sent USD 23 billion in remittances, nearly the amount of the combined GDPs of Africa’s 10 least-developed economies. That year, remittances were the second-largest source of foreign currency in Nigeria after crude oil revenues, with the diaspora in the United States and United Kingdom accounting for about half of that money. In fact, Nigeria’s diaspora remittances regularly surpass net inflows from official development assistance, foreign direct investment, and foreign portfolio investment combined, highlighting the diaspora’s vital economic role. 

But while private transfers from those in the Nigerian diaspora to their home country are large, they tend to be fragmented, reactive, or limited to the household level rather than collective philanthropy. There is, however, a real opportunity to make diaspora philanthropy more sustained, strategic, and far-reaching.

Since the 1970s, Nigerian emigration has been shaped by political instability, economic challenges, and educational pursuits, driving significant numbers abroad after events like the Biafra War and other conflicts in the 1980s and 1990s. Government-funded educational programs initially encouraged short-term migration, but over time, as economic prospects deteriorated at home, Nigerians began to settle permanently in the United Kingdom and United States. Today, Nigerians represent the highest percentage of Africa migrants to the United States and second-largest non-European migrants to the United-Kingdom.

Nigerian HNWIs and their networks could be sources of strategic and expanding support to those in their country of origin. Beyond remittances, they can give back by facilitating cross-border collaboration, business development, and knowledge sharing. Indeed, Nigerian diasporan networks have enabled philanthropy and strategic business initiatives in Nigeria’s key sectors, including health care, education, innovation, and small and medium-size enterprises (SME) development. Through family offices, advisory firms, and investment clubs, Nigerian diaspora HNWIs are influencing policy, supporting entrepreneurship, and expanding trade opportunities—thus catalyzing development opportunities, reshaping economic landscapes, and contributing to Nigeria’s socio-economic resilience and growth.

The Nigerian concept of generosity is deeply rooted in cultural values of friendship, community, and familial ties, with a widespread belief that true prosperity is connected to the well-being of the community. As such, Nigeria’s distinction as the world’s most generous country relative to income in 2024 aligns with its cultural ethos. A combination of 31 Nigeria-based philanthropists have collectively given at least USD 434 million domestically in the past five years, with an average donation of USD 14 million. Traditions like “ajo” and “esusu” refer to trust-based group savings that have helped communities to survive financial challenges for generations.

As illustrated by the level of direct giving from this group, members of the Nigerian diaspora carry those traditions with them and it deeply influences their giving. In an interview with FP Analytics, Dr. Tony Bello, Founder and Chairman of Shine Bridge Global Inc., explained, “I mentor many young people who are entrepreneurs in their own right. After 40 years of education and work in the United States, I’m paying it forward by sharing my knowledge and network…I want to give everything I have—knowledge, experience, connections—to empower the next generation.” Philanthropy thereby serves as not only a vehicle for financial support but also for the deployment of skills, the building of networks, and the investment of time, with family values playing a central role in encouraging personal involvement and increased giving. Miss Ifeanyichukwu, Co-founder of AWACF and a member of the Afropop group SHiiKANE based in the U.K., emphasized the importance of family legacy in her and her siblings’ work, sharing:

FP Analytics’ interviews with Nigerian diaspora philanthropists uncovered that many began giving in small ways, motivated by generosity and family ties—describing their work as a “duty” and a “calling”—before scaling up. All six interviewees said they had been initially motivated by a desire to give back to their home communities, and while only one-third shared that they had already expanded their philanthropic activity beyond their home region, the remaining two-thirds expressed a desire to do so in the future.

Diaspora giving is not just based in altruism and family- and community-based motivations, however; other motivations include potential returns on investment, including job creation, access to new business opportunities, and stronger ties to ethnic and community networks. A 2018 survey of Nigerian diasporans in the U.K. found that most respondents sent money home predominantly for family, but many expressed interest in business, financial, and social investments, signaling a desire to shift from remittances to transformational investments.

Evidence shows that strategically targeted diaspora philanthropy can have a transformative role in catalyzing development. In 2020, private money transfers—including diaspora philanthropy and remittances—totaled USD 660 billion from 47 economies from every region of the world, significantly exceeding the USD 180 billion spent on official development assistance in 2020. Diaspora philanthropy, distinct from remittances meant for personal connections, involves resource transfers such as money, goods, labor, or knowledge with the aim of social good.

Though comprehensive data are limited, diaspora giving globally has supported development goals including health, education, and infrastructure. For example, Mexican diaspora hometown associations have helped build roads, schools, and water systems, with governments matching donations, while in the Philippines, the Linking Filipinos Abroad with Local Initiatives program delivered more than PHP 3.4 billion in aid benefiting more than one million people between 2010 and 2020. Similarly, in India, Nigeria and Ghana, diaspora religious and community networks have supported school construction, scholarships, and medical outreach, filling gaps in state capacity. Beyond infrastructure, diaspora philanthropy has advanced girls’ education and women’s economic empowerment. It has also played a critical role in disaster recovery after such events as the 2010 Haiti earthquake and the COVID-19 pandemic by mobilizing funds, supplies, and health care personnel through digital platforms. Additionally, diaspora philanthropy promotes knowledge and skills transfer, exemplified by health service delivery and innovation ecosystems supported by diaspora-backed foundations in India and Chile.

Ijeoma Anadu Okoli, Co-Founder and Executive Director of Umo Igbo Unite Corporation who was interviewed for this project, explained how her philanthropy work in Nigeria differs from remittances, saying of her foundation, Umu Igbo Unite Cares —

Raising, coordinating, and deploying targeted funds from the diaspora to help meet the needs of a population requires a wide range of actors, who can leverage complementary capacities. Individuals may co-design philanthropic activities, donate or invest funds, or contribute their time and knowledge. There are also specific philanthropy-serving organizations (PSOs), which help to generate and direct philanthropy for impact in the home country; in Nigeria and elsewhere in Africa, these groups include the African Philanthropy Forum and Philanthropy Circuit.

The home country government, diaspora organizations, local non-governmental organizations, recipient communities, and other actors all have important functions. Despite the importance of a multistakeholder approach to diaspora philanthropy that leverages the strengths of each actor strategically, in Nigeria, these relationships are underleveraged. Among six Nigerian diaspora philanthropists interviewed for this report, none worked with a PSO or other intermediary, and only one-third regularly coordinated or collaborated with other philanthropists operating in Nigeria. An uncoordinated approach risks limiting the scale and hindering the sustainability of philanthropic activities.

Data sources: Appe, S. and S. Papayan. 2024. How and Why Do Diaspora Give? Nonprofit and Voluntary Sector Quarterly Volume 54, Issue 3, June 2025, Pages 518-546; Afsal, K. and R. Reshmi. 2023. Diaspora Philanthropy: A Study of Diaspora-Funded Philanthropic Activities. Global Social Welfare. 2023 Jun 5:1–17. Counts, A. 2025. Diaspora Philanthropy 3.0. Stanford Social Innovation Review.

Diaspora philanthropy activities encompass a range of approaches, including remittances, organized philanthropy, venture philanthropy, impact investing, diaspora bonds, volunteerism, and knowledge sharing. Nigerian diaspora members give diversely: According to a 2018 study of a limited sample of 55 respondents, 48.5 percent remitted money to family, 18.5 percent supported charitable organizations, 10.6 percent invested in entrepreneurial skills development, and 9.4 percent contributed social remittances—reflecting a multifaceted contribution to Nigeria’s development. Diaspora entrepreneurs play a critical role in job creation, often focusing on micro, small, and medium-sized enterprises (MSMEs) in key sectors, thereby contributing to poverty reduction, youth skill development, and broader economic growth. In an interview with FP Analytics, Dr. Tony Bello, emphasized: “We are calling it reversing remittances into investments. Among Gen Zs and millennials, it can’t just be about sending money home to family and friends. We need a shift towards capturing those funds as actual investments that build long-term value.”

Alongside the continued informal giving of remittances, there has been growth in formal giving across Africa over the past 10 to 15 years, including through philanthropy. Moreover, those in the diaspora have been embracing entrepreneurship and expressly encouraging the “immigrant mindset” for driving economic transformation in their country of origin. This trend has the potential to harness the diaspora’s financial capital, intellectual power, and deep cultural knowledge to co-create Nigeria’s future.

Through their wealth and connections, HNWIs can leverage highly impactful strategies for giving. These approaches include using endowed family or private foundations to engage in professional grantmaking; funding large infrastructure or education-related projects; co-financing or engaging in public-private partnerships, such as matching fund models with government or international agencies; and collaborating with multilateral development banks, as has been done in both Mexico and the Philippines. HNWIs can host signature events or engage in venture philanthropy or impact investing, which aims to generate both financial and social returns. HNWIs are also uniquely able to effect change by funding think tanks, leadership and governance initiatives, reforms in the rule of law, or anticorruption efforts in their home countries.

Half of the diaspora Nigerians interviewed by FP Analytics had established family foundations through which to coordinate and govern their philanthropic activities. The interviewees’ philanthropic work was focused on health—including maternal, community, and dental—and education, especially with their former schools and universities. Their priorities were largely shaped by their professional interests as well as by the needs articulated by the communities in which they work and give, including communities from which they or their parents originated. Dr. Grace Ogiehor-Enoma, who founded Nigerian Nurses Association of USA and co-founded National Association of Nigerian Nurses in North America, for example, worked to rehabilitate the University of Benin’s School of Nursing, her alma mater, so that it could attract female students who otherwise might fall prey to human trafficking schemes luring young Nigerian women to Europe. She engaged in dialogue with the school and local government and was able to rehabilitate the school through her organization, the Nigerian Nurses Association, noting in an interview with FP Analytics:

Despite a desire to give strategically, Nigerians diaspora philanthropists face key challenges, including a lack of trust, information, and security. And that’s not all. TrustAfrica found many other obstacles these actors need to overcome before giving to their home country, including high transaction costs, political and reputational risks, currency volatility, regulatory barriers, fragmented legal and tax incentives, data scarcity, and weak reporting and measurement frameworks.

According to a 2018 survey by The Commonwealth, Nigerian diasporans in the U.K. identified corruption as the most significant barrier, with 70 percent of diaspora members citing it as an obstacle to saving and investing, alongside political instability (45 percent), weak legal frameworks (41 percent), investment distance (41 percent), and trust deficits in organizations or partners (38 percent). Additionally, the Global Philanthropy Tracker noted in 2023 that Nigeria had “a restrictive environment for cross-border philanthropy in 2018–2022,” which can hinder sustained, targeted, and impactful giving. Additional challenges include limited access to loans and infrastructure challenges like unreliable electricity, which inflate operational costs and limit the quantity, sustainability, and impact of diaspora giving. Nigerian and other African diaspora philanthropists emphasize the need for a robust philanthropic infrastructure, including supportive policies, platforms for shared learning, and coordinated networks.

Reflecting these findings, FP Analytics interviewees shared that they feel obligated to allocate funds for security and logistics that could have been spent more directly on impactful work. In addition, they highlighted a clear information gap, sharing that they would be open to partnering or coordinating with other philanthropists and the government but have struggled to find relevant information on actors.

Interviewees also expressed mixed opinions about the effectiveness of the Nigerian government and the prospects of working with leadership to advance their philanthropic projects. Two of the interviewees who had interacted with the Nigerian government for their philanthropic work found their counterparts to be helpful. However, only one interviewee was open to trying to dialogue with the Nigerian government.

All of the interviewees had a vision or long-term goals for their work in Nigeria—whether it was a “functional health care system in Nigeria” or local ownership of food processing companies that could “become the next Heinz.” However, only one was conducting systematic impact measurement of their philanthropic activities, with two others sharing plans for more coordinated impact measurement. A lack of data and information on the needs of local communities and the impact of interventions is a key gap to be addressed as the Nigerian government and other actors seek to expand the role of diaspora philanthropy in local development.

Although there are hundreds of Nigerian diaspora associations active around the world, collaborative engagement on social and economic development is largely mediated through familial, hometown, and professional networks rather than formal institutional channels within Nigeria. And even this coordination remains fragmented, with many diaspora groups such as alumni associations and medical networks reliant upon ad hoc coalitions with local organizations in the absence of unified government facilitation or a centralized platform to track philanthropy. Prominent home-grown philanthropies, like the Dangote Foundation and the Tony Elumelu Foundation, spearhead initiatives in health, education, and entrepreneurship with support from diaspora networks that annually send billions of dollars in remittances. But while some in the Nigerian diaspora fund local charities, MSME investments, and professional exchange programs, most appear to conduct their philanthropy independently. FP Analytics’ interviewees echoed this trend.

Relationships between diaspora and domestic philanthropists are primarily based on personal trust and historical ties rather than systematic collaboration. That has prompted some diaspora groups to advocate for stronger engagement frameworks that would enhance transparency and effectiveness. Early efforts to foster such networks are encouraging, but Nigerian policymakers can do more to create strong, collaborative relationships between domestic and diaspora actors in order to facilitate an expansive, sustainable impact. Nigerian leaders could learn from the example of the Mexican government, which channels giving through hometown associations, taking advantage of the close, longstanding connections many members of the diaspora have with their home states, cities, and towns.

While systemic collaboration has been slow to emerge between domestic organizations and the diaspora, there are efforts underway that have embraced this concept. Initiatives such as the I-Philanthropy platform, launched by Nigeria’s Office for Philanthropy and Impact Investing, and the Nigerians in Diaspora Commission in Silicon Valley directly enable those in the diaspora to support job creation and MSMEs in Nigeria. Similarly, the African Diaspora Innovation Fund aims to activate catalytic capital from the diaspora and friends of Africa to support early-stage social entrepreneurs.

Hareter Babatunde Oralusi, founder of the Nigerian Capital Development Fund (NCDF), has emphasized that diaspora capital is indispensable to the future of the country, noting that it brings “speed, emotional equity, and economic relevance.” By having structured and regulated channels like the NCDF Diaspora Impact Fund, diaspora Nigerians are given the chance to have a direct impact on development in sectors such as health care and affordable housing. New opportunities for direct giving are also being formed: Nigerian Diaspora Day celebrations in 2025 introduced other tangible initiatives, including a fellowship program for diaspora professionals, a housing platform and mortgage scheme, and plans for an investment trust fund to convert diaspora remittances into long-term national assets. These programs have the potential to go far in integrating diaspora giving into national development.

The Nigerian government has also taken steps to institutionalize and systematize diaspora giving over the past two decades. These interventions include the Nigerians in Diaspora Organization, founded in 2000 to unite and mobilize Nigerians abroad; the Directorate of Technical Cooperation in Africa, which formed in 2001 to channel diaspora knowledge and skills into the continent; the Nigerian National Volunteer Service, which came about in 2003 to coordinate volunteerism for national development; the Linkages with Experts and Academics in the Diaspora Scheme, which began in 2007 to encourage diaspora academics to return temporarily for teaching and research; and the House Committee on Diaspora Affairs, which was created in 2009 to coordinate diaspora policy.

Moreover, Nigeria has increased the intensity of its efforts in recent years to deploy diaspora philanthropy to accelerate sustainable development. The country pioneered Africa’s first diaspora bond in 2017, raising USD 300 million, primarily to finance the national budget. And in 2019, the Nigerian government established the Nigerians in Diaspora Commission (NiDCOM) to help coordinate how the diaspora engages in investment and philanthropy in the country. Since its start, NiDCOM has evolved to become an active engagement platform, offering multiple diaspora investment and support programs. In 2024, it announced the formation of a USD 10 billion diaspora fund, aiming to pool remittances into structured investments across health, education, and infrastructure—key sustainable development goals. Diaspora funds and collective giving platforms can also reduce transaction costs for donors, removing a key point of friction. In India, for example, platforms such as ChaloGive reduce transaction costs by consolidating donations from multiple sources and sharing fees equitably.

The Nigerian government has also held summits—like the Nigerian Diaspora Direct Investment Summit and Nigeria Diaspora Investment Summit—to promote investment opportunities in such sectors as energy, technology, health, property, and education. And innovative initiatives like the African Diaspora Innovation Fund and platforms such as I-Philanthropy seek to move diaspora engagement beyond traditional remittances by catalyzing investments in MSMEs and social entrepreneurship. What’s more, the Central Bank of Nigeria has created a framework for nonresident Nigerians that offers them specialized accounts to streamline remittances and encourage direct investment, including in domestic assets like the diaspora bond. All of these developments stem from the Nigerian government’s sustained, strategic policy focus on the diaspora’s potential to supplement national budget shortfalls and improve sustainable development outcomes in the country.

However, greater awareness of these initiatives and frameworks is necessary. For example, Mexico’s 3×1 program acts as a clear focal point for governmental coordination and interaction with diaspora giving, channeling a blend of public, diaspora, and private finance to address community needs through a consolidated system. Although the Nigerian government has tried to systematize diaspora philanthropy, none of FP Analytics’ interview respondents mentioned interacting with any of these efforts or public-private partnerships or having significant financial interaction with the government.

Also critical to the success of these government initiatives will be the creation of supportive regulatory environments, tax-related and other incentives, and greater diaspora unity to reshape perceptions of African risk and mobilize investment toward high-reward opportunities. For example, Filipino diaspora initiatives such as the Philippine Philanthropic Fund, advise U.S.-based Filipinos on how to make tax-deductible donations, acting to incentivize further giving. Additionally, in light of legal and infrastructure challenges, building trust through transparency, accountability, and robust institutions like NiDCOM is critical for creating effective, long-term diaspora investment partnerships that sustainably impact Nigeria’s development. The establishment of diaspora-focused, transparent NGOs among the Indian diaspora has helped to establish trustworthy and trusted channels for giving and coordination with the Indian government.

The Nigerian diaspora has been steadfast in its high rate of giving to Nigeria. And with investment opportunities on the rise alongside continued economic challenges facing communities inside Nigeria, the diaspora will likely maintain—if not increase—its philanthropy. Still, significant challenges remain in terms of overcoming trust deficits, addressing concerns about systemic corruption, and reducing high transaction costs, all of which can impede greater diaspora engagement. While the Nigerian diaspora is increasingly moving toward higher-impact social and collaborative development models, fostering transparency, accountability, and a supportive regulatory environment will be crucial to fully actualize the diaspora’s potential as strategic partners with Nigeria.

To achieve that goal, actors within and supporting the diaspora philanthropic ecosystem partners can consider the following policy recommendations:

• Encourage collaboration and partnership among diaspora philanthropists, Nigeria-based organizations, and national and local governments through the creation of knowledge- and information-sharing platforms. These could be hosted online, to consolidate engagements in one place, or via regular events hosted within and outside Nigeria to strengthen networks. For example, the Philippines government’s BaLinkBayan online portal includes regularly updated information on high-need communities and organizations, and tools for diasporans seeking to begin or scale-up giving and investment.
• Enable the development of new, complementary diaspora philanthropy efforts by holding regular informational and training events, online and in person, to provide operational information and signpost investment and development data to interested individuals and organizations. For example, diaspora giving strategies in both Mexico and the Philippines demonstrate how governments, NGOs, and the private sector can work together to reduce duplicative efforts and harness strategic diaspora giving through targeted initiatives.
• Facilitate strategic, high-impact diaspora investment by closing data gaps and increasing the accessibility of high quality, open-source data on Nigerian sustainable development indicators, and other metrics of socioeconomic well-being. NGOs and multilateral institutions need to work with the national and state governments to identify and close critical data gaps, including through capacity-building and technical assistance, and by establishing a publicly accessible, online repository of data.
• Support the creation and implementation of impact measurement practices within philanthropic organizations to facilitate effective interventions. Diaspora knowledge-sharing within networks of philanthropists and information and training by NGOs can play a key role to that end.

Accelerating the diaspora’s greater involvement in Nigeria’s ambitious development agenda, especially that of HNWIs, will require the collaboration among government, local NGOs, multilateral organizations, and diaspora actors already involved in this work. Such collaboration can contribute to transformative development outcomes in Nigeria and act as a model for other African countries with large and thriving diaspora communities.

Part 2 of this study will build upon the findings of Part 1 by delving deeper into how Nigerian diaspora philanthropists can shape the future of development in Nigeria. Through additional research and interviews with philanthropists and relevant leaders in the public, private, and multilateral sectors, the forthcoming instalment of this report will examine and analyze not only how Nigerian diaspora philanthropy can be scaled up and systematized for greater impact but also how Nigerian diaspora philanthropists engage with policymakers and decision makers in Nigeria and abroad to raise awareness about, contribute to, and influence progress on key issues such as health, education, workforce development, and the environment.

By Vivian Agbegha (Affiliate Researcher), Dr. Emily Myers (Affiliate Researcher), Isabel Schmidt (Senior Policy Analyst and Research Manager), and Dr. Mayesha Alam (Senior Vice President of Research). Art direction and design by Sara Stewart, illustrations by Yinkore.