Understanding Diaspora Remittances and Economic Behaviour of Chinese Immigrants in Nigeria’s North West Zone

The economic behaviour of Chinese immigrants in Nigeria's North West zone, particularly regarding income repatriation versus local reinvestment, has significant implications for the zone's balance of economic benefit from Chinese commercial activity. This study examines the remittance behaviour, local economic investment patterns, and financial integration of Chinese immigrants in Kano and Kaduna States. A mixed-methods design was adopted, with questionnaires administered to 80 Chinese business residents in both cities, supplemented by analysis of central bank remittance data and interviews with eight Chinese community association leaders and five Nigerian banking sector representatives. The study finds that the majority of Chinese immigrant enterprises in the North West zone maintain dual financial postures: daily operational costs are met through local banking, while profit surpluses are predominantly remitted to China or invested in Chinese financial instruments. Local property investment, which would create permanent economic anchoring, is limited to fewer than 15 percent of respondents. Local bank savings account penetration is low, with most Chinese residents preferring Chinese bank networks. The study fills an analytical gap in understanding Chinese immigrant economic footprint in the North West zone and recommends incentive frameworks that reward local reinvestment, such as investment-linked residence permits and preferential lending rates for Chinese businesses that maintain locally domiciled profit surpluses.

Keywords: Chinese diaspora remittances, economic behaviour, North West Nigeria, Kano, immigrant investment