Missing the Boat: Canada Not Reaping Economic Expertise Offered by Indo-Canadians

Newswise — Indo-Canadians are the second-largest immigrant group in Canada, encompassing one of the largest diasporas living outside India. But, according to one Ryerson researcher, Canada is not fully benefiting from the economic edge offered by Indo-Canadians and other transnational entrepreneurs.

Sandeep Agrawal, a professor of Ryerson’s School of Urban and Regional Planning, is the lead author of a study that examined the key determinants of success among high-income Indo-Canadians and compared their economic experience with that of the general Canadian population and Chinese immigrants (the largest immigrant group in Canada).

The researchers found that the highest income earners among Indo-Canadian immigrants typically have a university degree, are proficient in English and arrive in Canada before age 34.

“These determinants give immigrants a head start, but they don’t guarantee success,” said Agrawal. “There are also systemic barriers, such as a lack of recognition for foreign credentials.”

Together with co-author Alex Lovell of Queen’s University, Agrawal studied census data and looked at immigration datasets that included demographic information; personal attributes (e.g. an immigrant’s level of education and self-assessed knowledge of an official language); immigrant landing records and annual tax information. In particular, the researchers studied and compared Indian immigrants who arrived in Canada between 1985 and 2003.

The researchers discovered that, during the last two decades, the characteristics of typical newcomers emigrating from India have shifted to being a highly skilled, well-educated and largely English-speaking group. In fact, many immigrants from India now arrive as professionals, skilled and technical workers and transnational entrepreneurs. These entrepreneurs are keen to help the Canadian economy grow, and to preserve existing links with companies and venture capitalists back home.

Both India and China have booming economies; capitalizing on these opportunities can financially benefit transnational entrepreneurs and their adopted homeland. Indian transnational entrepreneurs, however, have not pursued cross-border initiatives to the same extent as their Chinese counterparts. In addition, Indian transnational entrepreneurs tend to only maintain connections with certain regions or groups in their homeland, thus creating regional economic disparities there. By enhancing understanding of the characteristics that contribute to immigrants’ success, Agrawal hopes immigration and settlement policies will be improved for future immigrants. He recommends expanding bridging and job-matching programs to help all immigrants achieve upward mobility. He also suggests that immigration policies be changed to support the efforts of transnational entrepreneurs.

Agrawal and Lovell’s paper, High Income Immigrants in Canada, was published in the September issue of the journal South Asian Diaspora.

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