While debt instruments such as diaspora bonds can have a positive impact on a country’s development (as Israel has experienced, for example), the majority of policymakers and diaspora communities have limited awareness about this financial instrument. 412 Moreover, governments are often deterred by complex regulatory requirements for issuing diaspora bonds abroad. For example, if a country wishes to issue diaspora bonds in the US retail market, it must register its product with the US Securities and Exchange Commission (SEC), whose disclosure requirements are relatively rigorous. In addition, governments must pay a relatively high fee to issue a diaspora bond in certain.
