Since 2015, Latin America has undergone a remarkable evacuation of migrants from Venezuela instigated by an economic and political crisis within the country resulting in hyperinflation, starvation and crime. In 2020, more than 95% of people in Venezuela were living in poverty, thus many have been forced to leave. The UN has given Venezuelan migrants refugee-like status which has sparked a major migration to Colombia. 

Colombia: The Second Largest Host to a Refugee-Like Population

Colombia has become the world’s largest recipient of Venezuelans as it holds approximately 40% of all Venezuelan refugees. There are an estimated 2.9 million Venezuelan migrants residing in Colombia and they make up around 5% of the population. Colombia has been the main destination for Venezuelans due to Colombia’s proximity and the strong similarity between cultures. 

A large portion of Venezuelan migrants are educated professionals and middle-class young people holding university degrees. However, these migrants who are more educated than local populations experience higher unemployment and have a higher chance of working in the informal sector as many Colombians have negative views toward the migrants. The unemployment rate for Venezuelan migrants is 12.7% for those who have lived in Colombia for over a year and 23% for those who have been in Colombia for less than a year. While many Venezuelans have the skills to be beneficial to the Colombian economy, their potential has been wasted.

According to the International Monetary Fund (IMF), if these migrants can be integrated into the formal economy with positions matching their qualifications, migration to Colombia can increase real GDP by up to 4.5 percentage points relative to a baseline without migration by 2030.

Venezuelan Migration Presents a Big Economic Opportunity to Colombia

By adding to the labor force, the average annual rate of growth could increase 0.7 to 0.9 percentage points according to the World Bank. More migration also increases investment and consumption as well as widens the tax base. If the integration into the formal market can be administered properly, Colombia can obtain macroeconomic gains.

Seeing the development opportunity in the migration to Colombia, the government with the assistance of international organizations like the International Monetary Fund and the World Bank, has created revolutionary open policies for the economic and social integration of Venezuelan migrants. 

Colombia: Global Leader in Venezuela Migration Response

Colombia has become a global leader in its response to Venezuela’s unprecedented migration as the government sets a new example for handling large masses of displaced and vulnerable people.  

Colombia’s policies revolve around three objectives:

1. Colombia is in the process of expanding access to markets and services such as health, education, jobs and housing, as well as protection services for vulnerable people such as family reunification, child protection and human trafficking victims. 
2. Colombia’s government founded the Migration Management Office and passed the Temporary Protection Status for Venezuelan Migrants to establish the legal basis for integration through issuing stay permits and setting regulations that ease regularization. The Temporary Protection Status grants migrants a permit to stay and work for up to an unprecedented 10 years without a work visa. This process began in 2021 and already around 2.4 million Venezuelans have gotten this status which has decreased unemployment and increased wages. 
3. Colombia’s government is working to eliminate prejudice and xenophobia to advance cohesion between Colombians and Venezuelans to create long-term inclusion. The Colombian government with the help of diverse organizations has launched campaigns to promote inclusion and work to address discrimination in the Colombian workforce.

Looking Ahead

While Colombia’s response has helped millions of Venezuelans, it has also brought some challenges. Public hospitals and public schools are being strained and have incurred major debts covering the new migrants. 

The COVID-19 virus exacerbated these challenges as many Colombians fell into poverty and unemployment rose. International cooperation and assistance from international organizations can be crucial in ensuring that integration efforts are sustainable. 

Migration to Colombia has been a struggle but brings a major opportunity for development and economic growth. Despite this economic opportunity, prejudice prevents them from fully integrating into the economy. If Colombia is successful with its efforts to eliminate prejudice and integrate Venezuelans into the Colombian workforce, the country can gain considerable economic advances and provide a new chance at life for millions of people. As Colombia’s presidential advisor said, “We gave Venezuelan migrants a license to dream.”

– Cameron Alcocer
Photo: Flickr