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Namrata Madhu Raghunath

Dichotomy of Economic Migration and Refugees: Sri Lanka Crisis

By Namrata Madhu Raghunath
 
Abstract

Currency shortage, crop failure, widespread protests and ultimately, chaos. The instinct to move is triggered. So, what do people do? They migrate to seek a safe environment for their families, economic prosperity and most of all, a better standard of living, free from the disorder unleased. They seek asylum or hold on to the last thread of hope that is left and stay back. This is exactly the current situation in Sri Lanka. It has been a downward spiral for the country since 2019 instigated by the series of events that took place consecutively, ranging from tax cuts to money creation to Covid-19 landing the ultimate blow. The primary focus of this paper is going to revolve around the concept of migration and the aspect of economic migration under the ambit of migration laws both nationally and internationally by referring to the Sri Lankan Crisis. Further, the paper is also going to discuss the aspect of human rights violations against migrants in such situations.

 

Keywords: Migration, Economic Migration, Sri Lanka, International Human Rights, Economic instability, Refugees, Asylum, Global Crisis.


I. Introduction: The Sri Lanka Crisis

It is a well-known fact that the 2009 civil war, conceived what is known to us as the Sri Lankan economic crisis. The aftermath of the war had Sri Lanka take out multiple loans to bounce back. But none of them knew it was the inception of a gloomy future. The unsustainable debt load, trade deficits and defaults have led to severe consequences like the depletion of forex reserves, hyperinflation, devaluation of the currency and eventually, depletion of necessities like food. The ultimate sufferers were and are the people of Sri Lanka. The question then arises, what do the people do to escape this vicious cycle of near poverty and suffering due to the government’s mismanagement of almost everything? Well, people are desperate. Desperate to move and find a better place. In other words, people are desperate to migrate to another country. But the pivotal question is why isn’t migration for economic reasons facilitated out of desperation considered a refugee crisis? Are these migrants even refugees if they want to move out of such a country with an unstable economy and political crisis? To understand the variance in classifications, one needs to have a basic idea about the foundation of who is a migrant.

 

A. Migration and Refugees:

Migration and Refugees are interrelated terms that go hand in hand. Migration is the physical movement across borders performed by the people who are known as refugees. However, it is pivotal to keep in mind that refugees are those who “have been forced to flee their country because of persecution, war or violence. A refugee has a well-founded fear of persecution for reasons of race, religion, nationality, political opinion or membership in a particular social group. Most likely, they cannot return home or are afraid to do so. War and ethnic, tribal and religious violence are leading causes of refugees fleeing their countries.”[1]

 

B. Asylum-Seekers, Refugees: The Difference

“An asylum seeker is also someone who is seeking international protection from dangers in his or her home country. However, asylum seekers must apply for protection in the country of destination—meaning they must arrive at or cross a border to apply.”[2] Then what is the difference between an Asylee and a Refugee? Well, the key difference is that a Refugee is given protection but on the other hand an Asylee is a person who applies for the same protection that is granted to a Refugee.

 

C. Immigrant And Economic Migrant: 

An Immigrant is a person who makes a conscious decision to cross a country’s border or leave their country with the aim of settling in another country. An Economic Migrant is a person who crosses a country’s border to seek financial stability or a better standard of living. So can Economic Migrants be classified as Refugees minus the element of war, persecution or violence? Well, according to various NGOs and the OHCHR, there is no such term as Economic Migration and these types of migrants cannot be classified as Refugees.

 

II. Economic Migration: Conflicting Perceptions

“Richer countries attract more immigrants, especially from countries with younger populations. Countries with lower per capita income experience more emigration, but only if they are not too poor.”[3] Economic migration is the influx of people into comparatively richer i.e., economically developed countries that will provide various opportunities for prosperity. However, “Economic migrant is nevertheless commonly used in the public discourse, often with an unfortunate derogative connotation. It frequently implies that the migrant has freely decided to move with the only aim of improving their financial situation, in other words for ‘personal convenience’. At worst, it is suggested, with a xenophobic twist, that ‘economic migrants’ move to ‘steal’ the jobs and social benefits of their destination’s population.[4]

 

A. Migration And The Dichotomy

“The inaccurate dichotomy between ‘economic migrants’ and refugees creates two fixed categories and gives the misleading impression that only refugees have and deserve legal protection and rights at the international level. Migratory movements are composed of various types of migrants who may have specific protection needs, even if they are not fleeing persecution or a conflict. These include accompanied or unaccompanied migrant children; victims of human trafficking; migrants attempting to reunite with their families; and migrants affected by natural disasters or environmental degradation, including as a consequence of climate change. Migrants cannot be reduced to ‘economic migrants’ on the one hand and refugees on the other. It is highly difficult in most cases to isolate a unique cause for the migration. The term 'economic migrant' should therefore be avoided. The neutral word ‘migrant’, or the existing legal term ‘migrant worker’ when applicable, should be used instead.”[5] 

 

B. Consequences - Time To Recognize Economic Migration As A Refugee Crisis:

Concerning the abovementioned passages, I think that these organizations and committees interpret the concept of migration from a black-and-white perspective. It is time to question whether or not they have considered the everlasting impact or consequences of economic and political instability. What if a country’s economic and political situation has driven its nationals to make decisions to migrate out of the country? This is exactly the situation that has been manifested in Sri Lanka. With soaring inflation rates to high trade deficits, the country has pushed people to make choices to move out of the country. The reluctance to recognize that the so-called economic migrants are in a way refugees is alarming. The stipulated list of reasons for one to fall under the ambit of Refugees under Migration laws both domestic and international is limited. Why should it only be for the reasons of war, persecution or violence? The impact or effects are never considered. Further, the fact that there is no well-established definition for migrants at an international level proves that the scope of migration laws needs to be subjective and most importantly, evolving.

 

It is high time that organizations and even conventions for that matter, recognize and realize Economic Migration as a refugee crisis as it is directly linked to people’s livelihood and has a certain degree of influence over the intergenerational trauma that will be passed on. Imagine the children in Sri Lanka suffering from food insecurity and lack of access to education all because they had to cut back on said necessities. Imagine the future of these people. It quite literally resembles the impacts faced by people in war-like situations who have also lost their will to live a good life. A life that protects and promotes one’s human rights i.e., right to food, right to education, right to move across the country without being restricted by subsidization of fuel or even high prices or violence.

 

III. Right To Life - Right To Food

According to the 2023 World Bank report on Sri Lanka, the statistics of poverty seemed to have increased from 11.3 to 12.7% in the year 2019 which coincides with the start of the ongoing crisis. Other than adding 300,000 poor people, the World Bank further detected a steep increase in poverty in the years 2021 and 2022, from 13.1 to 25% respectively. Inflation rates for June 2023 were around 25% which has seemed to drop to 12% due to IMF’s intervention[6]. Delving deep, from a human rights perspective there are a multiplicity of rights that have been violated. And one of the most pivotal rights is the right to life itself.

 

As stated earlier, the mismanagement of funds led to the economic instability that the country is still facing that ultimately led to the shortage in supplies. Specifically food and fuel. The consistent shortage of food supply coupled with the rising inflation rates and depreciation of the currency,  only seemed to exacerbate the gap between the rich and poor. The already marginalized sections of society had to reduce their intake of necessities all because food has become unaffordable and inaccessible.

 

The scariest part is that the ongoing crisis is analogous to the Venezuela crisis[7] and even the Myanmar crisis[8]. The parallels between countries like Sri Lanka and Myanmar are concerning as both have experienced democratic setbacks. The only difference is that one is in its infancy stage and the other has taken a drastic turn for the worse. Similarly, the Venezuelan Crisis is another example of what could happen to Sri Lanka if the government mismanaged funds like how the Maduro Government did. Specifically, discussing the aspect of food, Venezuela has one of the highest inflation rates standing at over 300% as of 2022 estimated by a non-governmental group of economists which has left people impoverished and disease-ridden[9]. With respect to Sri Lanka, around 38% of households or 6.3 million people were considered to be severely food insecure by July 2022[10], thereby making the future very predictable.

 

Multiple countries have and are experiencing Political and Economic instability. It is, therefore, a cause to start recognizing economic migration as another form of refugee crisis. Taking Venezuela as an example again, it is evident that the country has one of the highest emigration rates. Similarly, “nearly 875,000 passports were issued in 2022 at an all-time high. Most of those outside the nondescript building in Colombo were not looking for a post-pandemic getaway but workers aching to flee shortages, inflation and uncertainty.”[11] The Sri Lankan Rupee depreciated to around 60% in 2022 due to the unmonitored printing of money which facilitated a series of events that ultimately amplified the labour migration of Sri Lanka. It is a well-known fact that there has been a significant efflux of people, especially semi-skilled workers who have left Sri Lanka in search of economic prosperity or job security in countries like Saudi Arabia. The ongoing crisis just so happened to become a catalyst that worsened the emigration and affirmed people’s worst nightmares about uncertainty.

“Kerosene prices have quadrupled, forcing fisherfolk to reduce their trips out to sea and a chance at earning an income. This is significant given that fish is the main source of protein on the island. Farmers are abandoning cultivation due to soaring costs of fertilizers, even as the food system was made precarious with the Executive’s drastic ban on chemical fertilizer in 2021.”[12] 

The unequal impact felt by the people of Sri Lanka is a gross violation of one’s human rights and shines a light on the stark divide between people. According to the World Food Program, more than 6 million people which is about 30% of the current population are food-insecure and require humanitarian assistance. And as we all know, only the rich and their family survive, leaving behind a mass of impoverished poor to suffer.


IV. Sri Lankan Centric Problem?
Africa has a cluster of countries going to the IMF but Tunisia looks one of the most at risk. A near 10% budget deficit, one of the highest public sector wage bills in the world and some concerns about securing, or the least sticking to, an IMF programme may be tough due to President Kais Saied's push to strengthen his grip on power and the country's powerful, incalcitrant labour union.”[13] 
Similarly,  “The Latin American country only defaulted two years ago but it has been rocked back into crisis by violent protests and an attempt to oust President Guillermo Lasso. It has lots of debt and with the government subsidising fuel and food JPMorgan has ratcheted up its public sector fiscal deficit forecast to 2.4% of GDP this year and 2.1% next year. Bond spreads have topped 1,500 bps.[14]

It is not just Sri Lanka but countries like Tunisia, Ecuador, Pakistan, Kenya, Egypt, Lebanon, Zambia, Suriname and many more that are on the verge of economic collapse. As mentioned, the situation in Ecuador is eerily similar to that in Sri Lanka. Ultimately, the proposition is that it is high time that Economic migration is considered a refugee crisis.

 

Taking into account what is happening in Sri Lanka and what might happen to the respective countries listed above, it is necessary to question the basis on which the threshold is decided for a refugee crisis. It is clear that economic instability that perpetuates economic migration is not only a Sri Lankan-centric issue but an issue that has started to gain traction across the globe. With reference to the Venezuelan crisis, as mentioned above, the crisis has led to severe food insecurity wherein people are struggling to buy food or any basic necessity for that matter to survive. This has ultimately led to violence in the community. Relating this to the Sri Lankan crisis, it is still at a very nascent stage as compared to the Venezuelan crisis and thus, is easier to remedy. However, the lack of resources in abundance and the concentration of resources among the powerful is aggravating such crisis thereby exacerbating the gap between the rich and poor.

 

V. Conclusion

Luckily, the current predicament of Sri Lanka has improved due to the IMF’s intervention and investments made by countries like China into the country. But not all are lucky to be saved. Firstly, because IMF conditions need to be strictly adhered to, which will most definitely land them in a debt trap i.e., the worst possible situation. And secondly, not all countries would have the drive to invest as there would be no reason to do so, because they are all driven by one reason and that is profitability and never accountability.

 

If committees established by the UN can recognize human rights violations like food insecurity, and lack of access to necessities like water, shelter, and education, as impacts faced by a particular country’s nationals in a war-like situation. Why can’t they recognize the same set of rights being violated when there is widespread economic instability? Why can’t they recognize the fact that economic instability in countries like Sri Lanka, Venezuela, Zimbabwe and many others countries has led to disorder, chaos and most importantly, violence? Recollecting the definition of a Refugee, it was clear that one of the stipulated reasons for a refugee to migrate was violence. So if economic instability causes violence, why aren’t they recognized as refugees when migrations happen? It is time to recognize economic migrants not just as labour migrants but as refugees who are in dire need of a better quality of life. A life which is free from violence and one that does not stand as a testament to the passing on of intergenerational trauma.


With that being said, however, the opposite also needs to be considered. What if countries lack sufficient resources to sustain economic migrants? We live in a world where resources are unfortunately not found in abundance. The arguments against the refugee community are mostly around this nature of argument. The United Nations as a global organization thus, needs to satisfy both ends of the spectrum and facilitate the trickling down of resources that are concentrated with the powerful. That can only be done when state parties collectively work towards the elimination of displacement of people by preventing the commission of mass atrocities like genocide, war crimes and ethnic cleansing.


The United Nations in collaboration with financial institutions like the World Bank and International Monetary Fund (IMF) could utilize the data collected on economic crises around the world, and allocate the resources they have towards the recognition of such a problem. Institutional reform with the UN is necessary to remove the power imbalance that ultimately plays a key role in perpetuating the vicious cycle of exclusivity. It is high time that nations realize the threat that economic crisis poses to the world economy and the displacement of people facilitated by such crisis poses to the state parties. Sometimes, it might be beneficial due to the influx in the labour force, but other times, it could pose a serious threat to national security like in the Supreme Court case of Mohammad Sallimullah v.UOI[15] wherein, India’s national security was breached by Rohingya refugees which led them to be sent back.

 

References

[2] The Difference between Refugees, Asylum Seekers and Migrants <https://www.lirs.org/refugees-asylum-seekers-migrants-whats-the-difference/>

[3] Migration to Advanced Economies Can Raise Growth by Phillip Engler, Margaux MacDonald, Roberto Piazza, Galen Sher on June 19, 2020, <https://www.imf.org/en/Blogs/Articles/2020/06/19/blog-weo-chapter4-migration-to-advanced-economies-can-raise-growth>

[4] The False Dichotomy between Economic Migrants and Refugees, <https://weblog.iom.int/false-dichotomy-between-economic-migrants-and-refugees>

[5] Supra 4

[7] ‘Venezuela Crisis Explained’, 17th April 2024, UNHCR, <https://www.unrefugees.org/news/venezuela-crisis-explained/>

[8] ‘Rohingya Refugee Crisis Explained’, 23rd August 2023, UNHCR, <https://www.unrefugees.org/news/rohingya-refugee-crisis-explained/>

[9] Vivian Sewuera & Mayela Armas, ‘Venezuelans Struggling to Afford Food – even if they have access to dollars’, 7th March 2023, Reuters, <https://www.reuters.com/world/americas/venezuelans-struggling-afford-food-even-if-they-have-access-dollars-2023-03-07/>

[10] ‘Urgent Response to a Food Crisis- Partnership Report 2022’, 20th July 2022, Asian Development Bank, <https://www.adb.org/multimedia/partnership-report2022/stories/urgent-response-to-a-food-crisis/>

[11] Middle-Class Sri Lankans are fleeing their country, 30th March 2023, The Economist <https://www.economist.com/asia/2023/03/30/middle-class-sri-lankans-are-fleeing-their-country#>

[12] The Crisis in Sri Lanka: Human Rights in Peril, 16th November 2022 <https://hrp.law.harvard.edu/the-crisis-in-sri-lanka-human-rights-in-peril/>

[13]These countries may face Sri Lanka-like economic crisis due to inflation, rising borrowing costs, 16th July, 2022 < https://www.livemint.com/news/world/these-countries-may-face-sri-lanka-like-economic-crisis-due-to-inflation-rising-borrowing-costs-11657967375565.html>

[14] Ibid 13

[15] Mohammad Sallimullah v.Union of India, WP (C) 793/2017

 

Namrata Madhu Raghunath is a fourth-year law student at O.P. Jindal Global University. Her areas of interest are International Laws and the intersections of criminal and refugee laws.

 


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