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Page 1 March 16, 2011 Rainer Münz ERSTE GROUP Key Changes in Migration Trends since 1951 Rainer Münz Erste Group International Organization for Migration (IOM) Inter-Agency Seminar Geneva, March 16, 2011

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Page 1: Key Changes in Migration Trends since 1951...Top 10 immigration countries* Share of foreign-born population in % of resident population, 2010 Share of foreign-born population, in %

Page 1 March 16, 2011Rainer Münz

ERSTE GROUPBANK AG

Key Changes in Migration Trends since 1951Rainer MünzErste Group

International Organization for Migration (IOM)Inter-Agency Seminar

Geneva, March 16, 2011

Page 2: Key Changes in Migration Trends since 1951...Top 10 immigration countries* Share of foreign-born population in % of resident population, 2010 Share of foreign-born population, in %

Page 2 March 16, 2011Rainer Münz

ERSTE GROUPBANK AG

Global migration

Page 3: Key Changes in Migration Trends since 1951...Top 10 immigration countries* Share of foreign-born population in % of resident population, 2010 Share of foreign-born population, in %

Page 3 March 16, 2011Rainer Münz

ERSTE GROUPBANK AG

120 years ago

Page 4: Key Changes in Migration Trends since 1951...Top 10 immigration countries* Share of foreign-born population in % of resident population, 2010 Share of foreign-born population, in %

Page 4 March 16, 2011Rainer Münz

ERSTE GROUPBANK AG

Northern and Southern

America, The Caribbean

Central Asia/Siberia

Australia, New Zealand

Palestine/IsraelAlgeria

South Africa

Migration from Europe to less developed peripheriesEurope’s answer to rapid population growth70 mn Europeans migrated to overseas’ destinations

European expansion: From settlement to labour migration

Page 5: Key Changes in Migration Trends since 1951...Top 10 immigration countries* Share of foreign-born population in % of resident population, 2010 Share of foreign-born population, in %

Page 5 March 16, 2011Rainer Münz

ERSTE GROUPBANK AG

Indian South-South Emigration 1870-1940

The Caribbean

Mauritius

Malaysia, Singapore

FijiEast Africa

South Africa

“Reshuffling” of East Indian labor within the British EmpireWhere did Mahatma Gandhi start his political career?

Page 6: Key Changes in Migration Trends since 1951...Top 10 immigration countries* Share of foreign-born population in % of resident population, 2010 Share of foreign-born population, in %

ERSTE GROUPBANK AG

page 6 March 16, 2011R. Münz

USA, Canada

South East Asia

Large scale export/import of Chinese labor

Chinese South-South and North Emigration 1850-1920

Page 7: Key Changes in Migration Trends since 1951...Top 10 immigration countries* Share of foreign-born population in % of resident population, 2010 Share of foreign-born population, in %

Page 7 March 16, 2011Rainer Münz

ERSTE GROUPBANK AG

60 years ago

Page 8: Key Changes in Migration Trends since 1951...Top 10 immigration countries* Share of foreign-born population in % of resident population, 2010 Share of foreign-born population, in %

ERSTE GROUPBANK AG

page 8 March 16, 2011R. Münz

China/Taiwan

Palestine/ Israel

India/ Pakistan

Germany/Austria, Poland/Ukraine, etc.

More migrants in the global South than in the North

World migration, 1945-1950

Page 9: Key Changes in Migration Trends since 1951...Top 10 immigration countries* Share of foreign-born population in % of resident population, 2010 Share of foreign-born population, in %

ERSTE GROUPBANK AG

page 9 March 16, 2011R. Münz

Today

Page 10: Key Changes in Migration Trends since 1951...Top 10 immigration countries* Share of foreign-born population in % of resident population, 2010 Share of foreign-born population, in %

ERSTE GROUPBANK AG

page 10 March 16, 2011R. Münz

From where do people come?

Page 11: Key Changes in Migration Trends since 1951...Top 10 immigration countries* Share of foreign-born population in % of resident population, 2010 Share of foreign-born population, in %

ERSTE GROUPBANK AG

page 11 March 16, 2011R. Münz

This is where people come from…Proportional map: Stocks of international migrants by country of origin

Page 12: Key Changes in Migration Trends since 1951...Top 10 immigration countries* Share of foreign-born population in % of resident population, 2010 Share of foreign-born population, in %

ERSTE GROUPBANK AG

page 12 March 16, 2011R. Münz

Top 10 emigration countries*Absolute number of emigrants, in millions, 2010

Number of emigrants, in millions

Source: World Bank, UNPD.

11.4

11.1

8.3

6.6

5.4

4.7

4.7

4.3

4.3

11.9

0 4 8 12

Mexico

India

Russian Federation

China

Ukraine

Bangladesh

Pakistan

United Kingdom

Philippines

Turkey

* Only countries with more than 1 million residents

Page 13: Key Changes in Migration Trends since 1951...Top 10 immigration countries* Share of foreign-born population in % of resident population, 2010 Share of foreign-born population, in %

ERSTE GROUPBANK AG

page 13 March 16, 2011R. Münz

Top 10 emigration countries*Share of emigrants, in % of resident population, 2010

Source: World Bank, UNPD.

Share of emigrants, in % of resident population

38.9%

36.1%

28.2%

26.7%

25.1%

23.6%

21.9%

21.5%

20.8%

45.4%

0% 20% 40% 60% 80% 100%

Albania

Bosnia and Herzegovina

Jamaica

Armenia

Trinidad and Tobago

Georgia

Kazakhstan

Macedonia

Moldova

Portugal

* Only countries with more than 1 million residents

Page 14: Key Changes in Migration Trends since 1951...Top 10 immigration countries* Share of foreign-born population in % of resident population, 2010 Share of foreign-born population, in %

ERSTE GROUPBANK AG

page 14 March 16, 2011R. Münz

Where do people go?

Page 15: Key Changes in Migration Trends since 1951...Top 10 immigration countries* Share of foreign-born population in % of resident population, 2010 Share of foreign-born population, in %

ERSTE GROUPBANK AG

page 15 March 16, 2011R. Münz

… and this is where they go toProportional map: Stocks of international migrants by country of destination

Page 16: Key Changes in Migration Trends since 1951...Top 10 immigration countries* Share of foreign-born population in % of resident population, 2010 Share of foreign-born population, in %

ERSTE GROUPBANK AG

page 16 March 16, 2011R. Münz

Top 10 immigration countries*Number of foreign-born individuals, in millions, 2010

Foreign-born population, in millions

Source: World Bank, UNPD.

42.8

12.3

10.8

7.3

7.2

7.0

6.9

6.7

5.5

5.4

0 15 30 45

United States

Russian Federation

Germany

Saudi Arabia

Canada

United Kingdom

Spain

France

Australia

India

* Only countries with more than 1 million residents

Page 17: Key Changes in Migration Trends since 1951...Top 10 immigration countries* Share of foreign-born population in % of resident population, 2010 Share of foreign-born population, in %

ERSTE GROUPBANK AG

page 17 March 16, 2011R. Münz

Top 10 immigration countries*Share of foreign-born population in % of resident population, 2010

Share of foreign-born population, in % of resident population

Source: World Bank, UNPD.

86.5%

70.0%

68.8%

45.9%

40.7%

40.4%

28.4%

27.8%

23.2%

22.4%

0% 20% 40% 60% 80% 100%

Quatar

United Arab Emirates

Kuwait

Jordan

Singapore

Israel

Oman

Saudi Arabia

Switzerland

New Zealand

* Only countries with more than 1 million residents

Page 18: Key Changes in Migration Trends since 1951...Top 10 immigration countries* Share of foreign-born population in % of resident population, 2010 Share of foreign-born population, in %

ERSTE GROUPBANK AG

page 18 March 16, 2011R. Münz

BUT: 214 million migrants are only 3% of the global

US, EU27/EEA/CH, Russia, the Gulf + Australia are home or host to 60% of the world’s migrant population

Magnet societies

population

Page 19: Key Changes in Migration Trends since 1951...Top 10 immigration countries* Share of foreign-born population in % of resident population, 2010 Share of foreign-born population, in %

Page 19 March 16, 2011Rainer Münz

ERSTE GROUPBANK AG

European migration

Page 20: Key Changes in Migration Trends since 1951...Top 10 immigration countries* Share of foreign-born population in % of resident population, 2010 Share of foreign-born population, in %

Page 20 March 16, 2011Rainer Münz

ERSTE GROUPBANK AG

From emigration to immigration:The main direction changed only recently

Immigration minus emigration (= net migration), 1960-2008

Source: Eurostat.

-1,000,000

-

1,000,000

2,000,000

3,000,000

1960 1964 1968 1972 1976 1980 1984 1988 1992 1996 2000 2004 2008

400 years of net emigration 25 years of net immigration

Page 21: Key Changes in Migration Trends since 1951...Top 10 immigration countries* Share of foreign-born population in % of resident population, 2010 Share of foreign-born population, in %

Page 21 March 16, 2011Rainer Münz

ERSTE GROUPBANK AG

Net migration in Europe 1950-1960Net migration, annual average rate, per 1.000 inhabitants

.

-2% to 0%0 to +2+2% to +5%

below -5%-5% to -2%

above +5%

Source: Eurostat, UNDP.

Page 22: Key Changes in Migration Trends since 1951...Top 10 immigration countries* Share of foreign-born population in % of resident population, 2010 Share of foreign-born population, in %

Page 22 March 16, 2011Rainer Münz

ERSTE GROUPBANK AG

Quelle: UN Population Division 2000; Darstellung: Humboldt-Universität Berlin

Net migration in Europe 1961-1970Net migration, annual average rate, per 1.000 inhabitants

.

-2% to 0%0 to +2+2% to +5%

below -5%-5% to -2%

above +5%

Source: Eurostat, UNDP.

Page 23: Key Changes in Migration Trends since 1951...Top 10 immigration countries* Share of foreign-born population in % of resident population, 2010 Share of foreign-born population, in %

Page 23 March 16, 2011Rainer Münz

ERSTE GROUPBANK AG

Quelle: UN Population Division 2000; Darstellung: Humboldt-Universität Berlin

Net migration in Europe 1971-1980Net migration, annual average rate, per 1.000 inhabitants

.

-2% to 0%0 to +2+2% to +5%

below -5%-5% to -2%

above +5%

Source: Eurostat, UNDP.

Page 24: Key Changes in Migration Trends since 1951...Top 10 immigration countries* Share of foreign-born population in % of resident population, 2010 Share of foreign-born population, in %

Page 24 March 16, 2011Rainer Münz

ERSTE GROUPBANK AG

Net migration in Europe 1981-1990Net migration, annual average rate, per 1.000 inhabitants

.

-2% to 0%0 to +2+2% to +5%

below -5%-5% to -2%

above +5%

Source: Eurostat, UNDP.

Page 25: Key Changes in Migration Trends since 1951...Top 10 immigration countries* Share of foreign-born population in % of resident population, 2010 Share of foreign-born population, in %

Page 25 March 16, 2011Rainer Münz

ERSTE GROUPBANK AG

Net migration in Europe 1991-2000Net migration, annual average rate, per 1.000 inhabitants

.

-2% to 0%0 to +2+2% to +5%

below -5%-5% to -2%

above +5%

Source: Eurostat, UNDP.

Page 26: Key Changes in Migration Trends since 1951...Top 10 immigration countries* Share of foreign-born population in % of resident population, 2010 Share of foreign-born population, in %

Page 26 March 16, 2011Rainer Münz

ERSTE GROUPBANK AG

Net migration in Europe 2001-2010Net migration, annual average rate, per 1.000 inhabitants

.

-2% to 0%0 to +2+2% to +5%

below -5%-5% to -2%

above +5%

Source: Eurostat, UNDP.

Page 27: Key Changes in Migration Trends since 1951...Top 10 immigration countries* Share of foreign-born population in % of resident population, 2010 Share of foreign-born population, in %

Page 27 March 16, 2011Rainer Münz

ERSTE GROUPBANK AG

Source: UNDP.

Share of immigrants in EuropeForeign-born population as % of total population, 2010

Page 28: Key Changes in Migration Trends since 1951...Top 10 immigration countries* Share of foreign-born population in % of resident population, 2010 Share of foreign-born population, in %

Page 28 March 16, 2011Rainer Münz

ERSTE GROUPBANK AG

Today

Page 29: Key Changes in Migration Trends since 1951...Top 10 immigration countries* Share of foreign-born population in % of resident population, 2010 Share of foreign-born population, in %

Page 29 March 16, 2011Rainer Münz

ERSTE GROUPBANK AG

Europe’s mobility space (Schengen)

Page 30: Key Changes in Migration Trends since 1951...Top 10 immigration countries* Share of foreign-born population in % of resident population, 2010 Share of foreign-born population, in %

Page 30 March 16, 2011Rainer Münz

ERSTE GROUPBANK AG

Quelle: UN Population Division 2000; Darstellung: Humboldt-Universität Berlin

.

über -2 bis 0über 0 bis +2über +2 bis +5

EU 2 citizens

free access for EU 10 and partly for EU 2

EU 10 citizens

transitional regime with exceptions

liberalized regime EEA+CH

European migration regime by citizenship / country of origin and destination country

Page 31: Key Changes in Migration Trends since 1951...Top 10 immigration countries* Share of foreign-born population in % of resident population, 2010 Share of foreign-born population, in %

ERSTE GROUPBANK AG

page 31 Brussels, Nov.19, 2010Rainer Muenz

13 old + 10 new EU member

states

territory

residency

labor market

citizenship

UK, Ireland

Bulgaria, Romania

Non-EU Schengen/EEA/

EFTA states (+CH)

European mobility and migration

Page 32: Key Changes in Migration Trends since 1951...Top 10 immigration countries* Share of foreign-born population in % of resident population, 2010 Share of foreign-born population, in %

ERSTE GROUPBANK AG

page 32 Brussels, Nov.19, 2010Rainer Muenz

Theme park: EU mobility and citizenship

Page 33: Key Changes in Migration Trends since 1951...Top 10 immigration countries* Share of foreign-born population in % of resident population, 2010 Share of foreign-born population, in %

ERSTE GROUPBANK AG

page 33 March 16, 2011R. Münz

Contribution of migration and mobility to Europe’s population

Page 34: Key Changes in Migration Trends since 1951...Top 10 immigration countries* Share of foreign-born population in % of resident population, 2010 Share of foreign-born population, in %

ERSTE GROUPBANK AG

page 34 March 16, 2011R. Münz

Natural change in EU-27Births minus deaths, annual average rate, 2004-2008 (per 1.000 inhabitants)

Source: Eurostat 2010.

Page 35: Key Changes in Migration Trends since 1951...Top 10 immigration countries* Share of foreign-born population in % of resident population, 2010 Share of foreign-born population, in %

ERSTE GROUPBANK AG

page 35 March 16, 2011R. Münz

Net migration in EU-27Immigration minus emigration, annual average rate, 2004-2008 (per 1.000 inhabitants)

Source: Eurostat 2010.

Page 36: Key Changes in Migration Trends since 1951...Top 10 immigration countries* Share of foreign-born population in % of resident population, 2010 Share of foreign-born population, in %

ERSTE GROUPBANK AG

page 36 March 16, 2011R. Münz

Total population increase in EU-27Natural change plus net migration, annual average rate, 2004-2008 (per 1.000 inhabitants)

Source: Eurostat 2010.

Page 37: Key Changes in Migration Trends since 1951...Top 10 immigration countries* Share of foreign-born population in % of resident population, 2010 Share of foreign-born population, in %

ERSTE GROUPBANK AG

page 37 March 16, 2011R. Münz

Population increase in EU-27 is mainly due to net migrationContribution of net migration and natural change to total population increase, EU-27, 2008

Source: Eurostat 2010.

Natural increase~ 27,4%

Net migration~ 72,6%

Population increase

0.0

0.5

1.0

1.5

2.0

2.5Net migration

contributes over 70% to total population

increase in EU-27

in m

illio

ns

Page 38: Key Changes in Migration Trends since 1951...Top 10 immigration countries* Share of foreign-born population in % of resident population, 2010 Share of foreign-born population, in %

ERSTE GROUPBANK AG

page 38 March 16, 2011R. Münz

Immigration brings in a much younger population into EUAge structure of population and immigrants in EU-27

Source: Eurostat 2010.

Median EU-27: 40.6 years

Median immigrants: 28.4 years

Page 39: Key Changes in Migration Trends since 1951...Top 10 immigration countries* Share of foreign-born population in % of resident population, 2010 Share of foreign-born population, in %

Page 39 March 16, 2011Rainer Münz

ERSTE GROUPBANK AG

Contribution of migration to global development and

wealth

Page 40: Key Changes in Migration Trends since 1951...Top 10 immigration countries* Share of foreign-born population in % of resident population, 2010 Share of foreign-born population, in %

Page 40 March 16, 2011Rainer Münz

ERSTE GROUPBANK AG

Remittances

Page 41: Key Changes in Migration Trends since 1951...Top 10 immigration countries* Share of foreign-born population in % of resident population, 2010 Share of foreign-born population, in %

Page 41 March 16, 2011Rainer Münz

ERSTE GROUPBANK AG

Remittances amount to over 400 billion US$ globally Remittances to emerging markets and total

Remittances 1990-2010e (2011f - 2012f), in billions

-

100

200

300

400

500

1990

1991

1992

1993

1994

1995

1996

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

e20

11f

2012

f

Emerging markets World

Source: World Bank, UNPD.

Page 42: Key Changes in Migration Trends since 1951...Top 10 immigration countries* Share of foreign-born population in % of resident population, 2010 Share of foreign-born population, in %

Page 42 March 16, 2011Rainer Münz

ERSTE GROUPBANK AG

Source: IFAD.

To emerging markets over 300 billion US$ are sent every yearRemittances to emerging markets, 2010

Page 43: Key Changes in Migration Trends since 1951...Top 10 immigration countries* Share of foreign-born population in % of resident population, 2010 Share of foreign-born population, in %

Page 43 March 16, 2011Rainer Münz

ERSTE GROUPBANK AG

Remittances are important contributions to origin countries …Top 10 remittance-receiving countries, 2009

55.051.0

22.6 21.3

15.911.6 11.1 10.4 10.2 10.0

India

ChinaMex

icoPhilip

pines

France

German

yBanglad

eshBelgium

SpainNigeri

a

Top 10 recipients of migrant remittances, in % of GDP, 2009

Top 10 recipients of migrant remittances, in US$ billions, 2010e

Source: World Bank, UNPD.

35%

28%

25%23% 23% 22% 22%

19%17% 16%

Tajikistan

TongaLes

otho

Moldova

NepalLeb

anon

Samoa

HondurasGuya

naEl S

alvad

or

Page 44: Key Changes in Migration Trends since 1951...Top 10 immigration countries* Share of foreign-born population in % of resident population, 2010 Share of foreign-born population, in %

Page 44 March 16, 2011Rainer Münz

ERSTE GROUPBANK AG

… and a considerable economic factor in host countriesTop 10 remittance-sending countries, 2009

48,3

26,0

19,6 18,615,9

13,0 12,610,6 9,9 8,1

United S

tates

Saudi A

rabia

Switzerla

nd

Russian Fed

eration

German

y

Italy

SpainLuxe

mbourgKuwait

Netherlan

ds

Source: World Bank, UNPD.

20%

17%

10%9%

8%7% 7%

5% 5%4%

LuxembourgLeb

anon

OmanMald

ivesKuwaitBahrai

nSau

di Ara

biaGuinea

-Bissa

uGuya

na

Tongo

Top 10 senders of migrant remittances, in US$ billions, 2009

Top 10 senders of migrant remittances, in % of GDP, 2009

Page 45: Key Changes in Migration Trends since 1951...Top 10 immigration countries* Share of foreign-born population in % of resident population, 2010 Share of foreign-born population, in %

Page 45 March 16, 2011Rainer Münz

ERSTE GROUPBANK AG

40% of global remittances come from Western and Central EuropeRemittances from W. and C. Europe, in US$ millions, 2006-2008

18,954

14,976

14,656

12,718

10,922

8,431

5,048

4,776

4,541

3,826

3,689

16,273

13,689

15,183

11,287

9,280

7,830

5,048

3,642

4,380

2,625

3,161

14,377

12,454

11,326

8,437

7,561

6,831

4,560

2,620

4,217

2,030

2,698

0 5,000 10,000 15,000 20,000

Switzerland*

Germany

Spain

Italy

Luxembourg*

Netherlands

United Kingdom

Norway

France

Czech Republic

Belgium

200820072006

Source: IOM, World Migration Report 2010. * Some remittances are related to border residents working in one country during the day but living in a neighbouring country. These workers are not, strictly speaking, considered to be migrants.

in US$ millions

Page 46: Key Changes in Migration Trends since 1951...Top 10 immigration countries* Share of foreign-born population in % of resident population, 2010 Share of foreign-born population, in %

Page 46 March 16, 2011Rainer Münz

ERSTE GROUPBANK AG

Education

Page 47: Key Changes in Migration Trends since 1951...Top 10 immigration countries* Share of foreign-born population in % of resident population, 2010 Share of foreign-born population, in %

Page 47 March 16, 2011Rainer Münz

ERSTE GROUPBANK AG

Regional differences in tertiary enrolment rates are wideningGross enrolment ratio in tertiary education, 1999-2008

Source: OECD.

Page 48: Key Changes in Migration Trends since 1951...Top 10 immigration countries* Share of foreign-born population in % of resident population, 2010 Share of foreign-born population, in %

Page 48 March 16, 2011Rainer Münz

ERSTE GROUPBANK AG

Why do highly skilled consider to work abroad?

Source: Manpower.

Page 49: Key Changes in Migration Trends since 1951...Top 10 immigration countries* Share of foreign-born population in % of resident population, 2010 Share of foreign-born population, in %

Page 49 March 16, 2011Rainer Münz

ERSTE GROUPBANK AG

Share of tertiary educated people having migrated into a or another OECD-country

<2%<5%<10%<20%>20%

Source: OECD.

Page 50: Key Changes in Migration Trends since 1951...Top 10 immigration countries* Share of foreign-born population in % of resident population, 2010 Share of foreign-born population, in %

Page 50 March 16, 2011Rainer Münz

ERSTE GROUPBANK AG

Destinations of highly educated migrants from Central and Eastern Europe

RussiaLatvia

MoldovaUkraine

HungaryPoland

RomaniaBelarusCroatia

Czech RepublicLithuania

AlbaniaSlovenia

EstoniaBosnia and Herzegovi

BulgariaSlovakia

Serbia and MontenegrMacedonia

0 20 40 60 80 100

Red: N America Green: EU 15 Blue: other Europe Yellow: Other

in %

Page 51: Key Changes in Migration Trends since 1951...Top 10 immigration countries* Share of foreign-born population in % of resident population, 2010 Share of foreign-born population, in %

Page 51 March 16, 2011Rainer Münz

ERSTE GROUPBANK AG

Low

MiddleHigh

Low Middle High

Europe America0

5

10

15Non-OECDOECD origin

Source: OECD.

mill

ion

Europe attracts much fewer highly educated migrants than the US

Page 52: Key Changes in Migration Trends since 1951...Top 10 immigration countries* Share of foreign-born population in % of resident population, 2010 Share of foreign-born population, in %

Page 52 March 16, 2011Rainer Münz

ERSTE GROUPBANK AG

Brain drain – brain gainShare of US-immigrants with and without tertiary education, by origin countries

0% 20% 40% 60% 80% 100%

Mexico

Jamaica

Cuba

Bahamas

Canada

China

Iran

Nigeria

India

with tertiary graduation without tertiary graduation

Page 53: Key Changes in Migration Trends since 1951...Top 10 immigration countries* Share of foreign-born population in % of resident population, 2010 Share of foreign-born population, in %

Page 53 March 16, 2011Rainer Münz

ERSTE GROUPBANK AG

Outlook

Page 54: Key Changes in Migration Trends since 1951...Top 10 immigration countries* Share of foreign-born population in % of resident population, 2010 Share of foreign-born population, in %

Page 54 March 16, 2011Rainer Münz

ERSTE GROUPBANK AG

Why do developed societies need

migrants?

Page 55: Key Changes in Migration Trends since 1951...Top 10 immigration countries* Share of foreign-born population in % of resident population, 2010 Share of foreign-born population, in %

Page 55 March 16, 2011Rainer Münz

ERSTE GROUPBANK AG

Labour migration as answer to labour force shortages?

Page 56: Key Changes in Migration Trends since 1951...Top 10 immigration countries* Share of foreign-born population in % of resident population, 2010 Share of foreign-born population, in %

Page 56 March 16, 2011Rainer Münz

ERSTE GROUPBANK AG

238

214

17035%

52%

84%

120

180

240

300

2008 2025 20500%

20%

40%

60%

80%

100%

Labor force Age group 65+/labor force

Development of labour force and support ratio – without migrationZero migration, constant labour force participation rate

Source: Own calculations based on Europop 2008.

Page 57: Key Changes in Migration Trends since 1951...Top 10 immigration countries* Share of foreign-born population in % of resident population, 2010 Share of foreign-born population, in %

Page 57 March 16, 2011Rainer Münz

ERSTE GROUPBANK AG

238229

207

35%

49%

72%

120

180

240

300

2008 2025 20500%

20%

40%

60%

80%

100%

Labor force Age group 65+/labor force

Development of labour force and support ratio – + 50mn migrantsMigration, constant labour force participation rate

Source: Own calculations based on Europop 2008

Page 58: Key Changes in Migration Trends since 1951...Top 10 immigration countries* Share of foreign-born population in % of resident population, 2010 Share of foreign-born population, in %

Page 58 March 16, 2011Rainer Münz

ERSTE GROUPBANK AG

Guest worker programs in 1960s and 1970s were a first try

Page 59: Key Changes in Migration Trends since 1951...Top 10 immigration countries* Share of foreign-born population in % of resident population, 2010 Share of foreign-born population, in %

Page 59 March 16, 2011Rainer Münz

ERSTE GROUPBANK AG

Permanent immigrants do not help to solve the ageing problem …

Page 60: Key Changes in Migration Trends since 1951...Top 10 immigration countries* Share of foreign-born population in % of resident population, 2010 Share of foreign-born population, in %

Page 60 March 16, 2011Rainer Münz

ERSTE GROUPBANK AG

AgingPopulation by age groups, 1950, 2000 and 2050

Source: UN Population Division, The 2008 Revision Population Database.

Page 61: Key Changes in Migration Trends since 1951...Top 10 immigration countries* Share of foreign-born population in % of resident population, 2010 Share of foreign-born population, in %

Page 61 March 16, 2011Rainer Münz

ERSTE GROUPBANK AG

… but migration can mitigate a mismatch between supply and demand for labour

Page 62: Key Changes in Migration Trends since 1951...Top 10 immigration countries* Share of foreign-born population in % of resident population, 2010 Share of foreign-born population, in %

Page 62 March 16, 2011Rainer Münz

ERSTE GROUPBANK AG

Agriculture, especially harvesting

Page 67: Key Changes in Migration Trends since 1951...Top 10 immigration countries* Share of foreign-born population in % of resident population, 2010 Share of foreign-born population, in %

Page 67 March 16, 2011Rainer Münz

ERSTE GROUPBANK AG

This could partly be achieved by a higher

labour force participation rate

Page 68: Key Changes in Migration Trends since 1951...Top 10 immigration countries* Share of foreign-born population in % of resident population, 2010 Share of foreign-born population, in %

Page 68 March 16, 2011Rainer Münz

ERSTE GROUPBANK AG

Compared to US and JP, EU has a low labour force participation rateLabour force participation rate, 1975-2007

Page 69: Key Changes in Migration Trends since 1951...Top 10 immigration countries* Share of foreign-born population in % of resident population, 2010 Share of foreign-born population, in %

Page 69 March 16, 2011Rainer Münz

ERSTE GROUPBANK AG

Only few countries show labour force participation rates of above 65%Labour force participation rate of age group 15-64, in %, 2007

Source: Eurostat, National Statistical Offices.

under 50

50 to 55

55 to 60

60 to 65

65 and more

no data

Page 70: Key Changes in Migration Trends since 1951...Top 10 immigration countries* Share of foreign-born population in % of resident population, 2010 Share of foreign-born population, in %

Page 70 March 16, 2011Rainer Münz

ERSTE GROUPBANK AG

Notably youth, women and elderly have low participation ratesLabour force participation rate by age and sex, 2009

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Page 71 March 16, 2011Rainer Münz

ERSTE GROUPBANK AG

an

The elderly is employed in CH and some Scandinavian countries mostEmployment rate(1) of the elderly (55-64), 2008

Source: Eurostat 2008.(1) … Employment rates represent employed persons as a percentage of the same age population.

(2) … Targets set by the European Council in Lisbon (2000) and Stockholm (2001), to be achieved by 2010.

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Page 72 March 16, 2011Rainer Münz

ERSTE GROUPBANK AG

Modern alternative: Temporary and

circular migration

Page 74: Key Changes in Migration Trends since 1951...Top 10 immigration countries* Share of foreign-born population in % of resident population, 2010 Share of foreign-born population, in %

Page 74 March 16, 2011Rainer Münz

ERSTE GROUPBANK AG

However: Europe’s ageing societies cannot fix their problems just by

recruiting temporary migrants

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Page 75 March 16, 2011Rainer Münz

ERSTE GROUPBANK AG

Thank you for your attention

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