Barriers to Entrepreneurial Refugees’ Integration into Host Countries: A Case of Afghan Refugees
4.3.1. Fuzzy SWARA Results and Discussion
The second part of this study applies the quantitative methods of Fuzzy SWARA and MRA for hypothesis testing. After the experts coupled the hurdles into three main themes, they were assessed by decision makers. The fuzzy set theory then converted the resulting linguistic variables into corresponding fuzzy numbers. The first step involved finding the average values of the main hurdles and listing them in descending order with the help of Equation (1).
Afterwards, the comparative importance of the three main themes of limitations was determined based on the opinions of a pool of Afghan entrepreneurs, denoted by Sj. In the next step, the coefficient value was calculated using Equation (2), represented by Kj. Afterwards, Equation (3) was utilized to find fuzzy recalculated central theme weights. The final step of Fuzzy SWARA was associated with calculating fuzzy relative weights with the help of Equation (4). The results are given in Table 5.
It is evident from the results of the Fuzzy SWARA from Table 5 that T1, i.e., lack of policies, is the most significant theme among the hurdles, with an assigned ultimate weight of (0.84, 0.88, 0.89). Hosting countries have to devise long- and short-term policies whenever refugees are settled in any host country. The immigrant rules and regulations should be proper and systematic to avoid hurdles. With time, due to the United Nations’ resolutions and its Sustainable Development Goals, host countries have to ensure quality of life and normality for refugees with the collaboration of the UN and its associated agencies [59]. Pakistan is not a signatory to the UN’s 1951 refugees convention, nor does it have any national legislation regarding refugees [70]. Additionally, the rules and regulations on the provisional level also have many loopholes, i.e., only POR card holders can lease land/property in their name by signing a deed. At the same time, they cannot purchase judicial stamp paper. POR cards are issued only to the initial migrants of 1979 or refugees with registration proof in Pakistan.
Similarly, they cannot travel to any other country from Pakistan. Entrepreneurs face restrictions on import/export in their name, and then, they have to order products in the name of a Pakistani friend/relative. Moreover, they feel insecure due to the absence of permanent legal status in Pakistan. This raises more significant issues such as obtaining a business license, registering a store, registering as an individual, acquiring any property, studying, public employment, and work permits [35]. Thus, the lack of policies seems to be a significant hurdle for entrepreneurial Afghan refugees.
4.3.2. Results and Discussion on Hypothesis Testing
It is generally preferable to gather responses from a large number of participants for multiple regression analysis (MRA). However, we conducted a pilot study in this case, which utilized MRA with only 16 responses. It is worth noting that obtaining a sufficient number of responses posed a challenge as very few refugees were willing to participate in the survey due to their concerns about potential persecution by law enforcement agencies after recording their responses. Instances of applying MRA (multiple regression analysis) with small sample sizes have been observed. There exist studies that advocate for the use of minimal sample sizes. In cases with a limited number of respondents, achieving normally distributed data can be challenging in MRA. In such situations, we assess data normality by examining the residuals of the data [71].
In addition to conducting multiple regression analysis (MRA), we also executed commands for residuals and standardized residuals in MS-Excel, examining their normality through a histogram (Appendix A). The resulting residual graph demonstrates that the data follows a perfectly normal distribution. Further, Shapiro–Wilk Test values also confirm the normality of residuals (Table A1). Table 4 shows the built-up hypothesis upon the hurdles and possible opportunities, whereas Table 6 exhibits the results from MRA. Cronbach’s alpha was used to measure the internal consistency of the questionnaire [72]. A value of 0.8 or above for Cronbach’s alpha showed a perfect level [73]. The results of this study indicate a high level of internal consistency in the questionnaire, which was developed based on the hurdles and opportunities identified through thematic analysis. This is reflected in the Cronbach’s alpha score (0.85 and 0.88), which signifies strong internal reliability.
Furthermore, from Table 7 the t-statistic provides support to measure the null hypothesis. It describes whether there is a difference between the average of the two groups or not; moreover, it tells us about their relationship. Any t-value greater than +2 or smaller than −2 is generally acceptable [74]. Here, in the results of this study’s hypotheses, HA has all the values in the acceptable region, whereas for HB, the two results are therefore rejected. Table 6 shows the overall significance of both hypotheses, i.e., HA and HB. The more the value of significance is reduced, the better the fit for the model proposed [75]. The adjusted R2 is the proportion of the dependent variable’s variance explained by the variability in the independent variables. From Table 6 the substantial acceptable range is above 0.75, where both the hypotheses’ values in this study show strong results, i.e., 0.86 and 0.84, respectively. The p-value is very much necessary for testing the statistical significance of the hypotheses. Similarly, regarding the p-value, the acceptable error value selected was 0.10. Several scholars have computed results using this value of error by stating that the limit of the error depends upon the nature of the study [76]. For the constructed hypotheses in Table 4, all were accepted for HA (H1–H10), while two hypotheses (H13, H14) of HB (H11–H15) were rejected.
Concerning the identified hurdles, the coefficients for H3, H5, H6, and H9 exhibit a negative trend. This can be attributed to the fact that during their residence in the host country, Afghan refugees were once granted the opportunity to open a bank account, which was subsequently restricted following a change in the relevant government. Additionally, the import and export processes necessitate proper documentation, a requirement that the majority of refugees lack. Exploiting this deficiency, there is a prevalent demand for hefty commissions and bribes. Within the identified opportunities, only H13 exhibits a negative trend. This is attributed to the perception that, even if the challenges faced by Afghan refugees are addressed, there is still a prevailing belief that their autonomy in business matters will continue to be suppressed.
As stated earlier, Pakistan is not a party to the 1951 Convention on the status of refugees, nor does it adhere to the United Nations’ provisions on refugees. Therefore, refugees in Pakistan are currently treated under the Foreigners Act, 1946. In close cooperation with the Government of Pakistan, the UNHCR established an agreement in 1993. According to this accord, Pakistan will give refugees status and accept asylum applications. Additionally, it allows them to stay as long as it takes for a compatible solution to be obtained for the crisis. In 2007, the GOP started a registration drive by giving refugees Proof of Registration (POR) cards, giving them a temporary legal stay in Pakistan (UNHCR (2022), Asylum System in Pakistan. [Online] Available at: https://bit.ly/3P7UmII (accessed on 10 August 2022)). However, this card has limited facilities, and about 1 million Afghan refugees are still unregistered. Though Pakistan is committed to the UN’s 2030 Sustainable Development Goals, refugees are left behind [77]. Subsequently, lacking national legislative framework and turning a blind eye to ground-level policies have caused grave suffering for refugees and citizens.
Afghan refugees are the largest among the migrant communities in Pakistan. After the halting of a significant portion of financial assistance by the GOP and UNHCR, refugees have struggled to survive [78]. Alternatively, they have started joining informal labor markets, service providers, the transportation industry, the catering industry, and retailers. Entrepreneurship is the fastest way to integrate into the host society without burdening the economy. Thus, it requires comprehensive regulation, which Pakistan lacks, which causes great hurdles for refugees.
Consequently, under the acceptance of all hypotheses of HA, all barriers identified are accepted. Entrepreneurial refugees cannot lease land/property in their name, even for commercial purposes. They must ask a relative/friend who is a Pakistan nationality holder to sign a deed on official stamped paper. Moreover, air travel restrictions add fuel to the fire, as refugees must go back to Afghanistan if they want to go to any other country for business dealings. Similarly, entrepreneurs have to bear significant losses in paying heavy commissions to brokers if they want to import/export products. While procuring products, they have to undergo bribery and corruption from the traffic police and customs officers. POR card holders have limited access to a credit facility, and the fear of account closure looms. POR cards do not grant any substantial opportunities for refugees.
However, according to the results of the Hb hypothesis, if the GOP resolves these hurdles, refugees will enjoy greater profits and business expansion and can sell cheap products. In contrast, hypotheses H13 and H14 are rejected because refugees will still have limited authority over their businesses and fewer choices of business selection. Developing countries can only allow this much to accommodate refugees. Such settlements and systematic rules are possible, as evident in Syrian refugees residing in Turkey [69]. Although the laws are well defined, and the government of Turkey supports Syrian entrepreneurial refugees very much, they still have limited options, and central authority belongs to the government institutions [79]. Thus, Pakistan needs to work from this perspective toward the economic integration of refugees by reforming the existing system and making specific policies regarding refugees, especially for refugee entrepreneurs.
