A study recently published by Credit Suisse underlined that the influx of refugees in Europe will help economic growth and could offer a serious alternative to an ever more aging continent.

The current flow of migrants heading to Europe, fleeing the wars in Syria, Eritrea or Afghanistan, is the largest displacement of population Europe has to face since World War II. In this tense period, the refugees influx creates reactions of hope and goodness, like the German citizen welcoming migrants at the Frankfurt airport last month – but also of fear, racism and misunderstanding.

More than 700,000 people have already entered the EU since January, according to last figures published by the European agency Frontex.

Germany alone is expected to receive more than one million refugees until the end of the year.

In this context, a report of the Credit Suisse, entitled “With arms wide open?” concludes that the current flow of migrants should be seen as a chance, since it will boost the European economy, ease the job market and eventually address the “worrying demographics and pension dynamic in the euro area.”

“Viewing a large number of net migrants as an economic cost would be a mistake in our view,” the report notes. “We believe the effect of a large number of migrants on euro area public finances, pensions, demographics and potential growth should be positive,” the report concludes.

“All money spent on migrants’ basic necessities is likely to fully find its way back into the economy,” the report added.

81% of migrants are less than 34 years

The Credit Suisse report is echoing a recent study published by the Pew Research Center, which had emphasized that Europe, with countries almost the oldest in the world in terms of average age population, has all choices but closing its doors to new migrants.



“In 1950, according to our analysis of data from the UN Population Division, 8 percent of the continent’s population was 65 or older; by 1990 that share had risen to 12.7 percent, and this year it’s estimated to be 17.6 percent,” the report stated.

“In fact, 27 of the 30 countries and territories globally with the largest 65-and-older shares are in Europe,” added the Pew Research Center.

On the other hand, asylum seekers in Europe are mostly young. According to data provided by Eurostat, the EU’s statistical agency, 81 percent of them are less than 34 years old.

Germany, by far the preferred destination for migrants, could thus benefit from those migrants in a country where there is a lack of qualified employees in the industry.

But the cultural differences are still a major challenge for Europe. Eastern countries officially expressed their reluctance to accept Muslim refugees as they fear their integration will be too difficult. Hungarian Prime Minister Viktor Orban said clearly that he does not want “a large number of Muslims” in his country.

In Germany, the anti-islam movement PEGIDA staged for its first anniversary its biggest rally in months on Monday (October 20) in Dresden. Police declined to give official figures, but the media estimated the number of protesters at around 20,000 persons. PEGIDA supporters were draping the national flag and carried posters bearing slogans such as “hell comes with fake refugees.”

The German Chancellor Angela Merkel is under a growing pressure, facing criticism from senior representatives of her Bavarian coalition partner because of her comprehensive politics towards refugees.

In Cologne, in West Germany, the candidate elected mayor, Henriette Reker, was stabbed in the neck on Sunday by a 44-year-old man close to far-right movements. Police believe that Reker was targeted because of her work in housing Germany’s refugees.