Nobel economists couple Abhijit Banerjee and Esther Duflo jump ship to Switzerland amid US funding crisis

In a move shaking the world of development economics, Nobel laureates Abhijit Banerjee and Esther Duflo have announced they will leave the United States to join the University of Zurich in 2026. The couple will helm the newly established Lemann Center for Development, Education, and Public Policy, marking a major milestone for global academia.

Florian Scheuer, UBS Professor and Chair of UZH’s Department of Economics, hailed their appointment as “a true quantum leap” for the university. “I am delighted to share that Nobel laureates Esther Duflo and Abhijit Banerjee will join our Department of Economics at the University of Zurich on July 1, 2026, as Lemann Foundation Professors of Economics,” Scheuer announced.

The pair, awarded the 2019 Nobel Prize in Economics alongside Michael Kremer for their pioneering “experimental approach to alleviating global poverty,” will lead the center with a vision that extends beyond research.

Their work will fuse rigorous economic study with hands-on policy impact, bridging continents, particularly Switzerland and Brazil, while nurturing the next generation of development economists.

The Lemann Center, backed by a CHF 26 million (USD 32 million) donation from Brazil’s Lemann Foundation, aims to advance policy-relevant research, create academic pathways in development and policy evaluation, and provide unprecedented access to training for students and policymakers through programs like ADEPT, originally launched by their research network, J-PAL.

University President Michael Schaepman emphasized the significance of the hire. “They combine scientific theory with social impact — a key concern for us. Their presence will strengthen our values and international visibility,” he said.

While Duflo and Banerjee will maintain part-time ties with MIT and Parisian institutions, their full-time presence in Zurich signals a larger trend: growing concerns over US research funding cuts and political hostility are driving top global scholars to greener pastures abroad.

“This move allows us to expand our work bridging research, mentorship, and real-world policy impact,” said Duflo. Banerjee added, “We have no doubt that the University of Zurich will be an excellent environment for us to pursue our research and policy work in the years to come.”

The arrival of this Nobel power couple not only cements Zurich’s status as a hub for world-class economic research but also serves as a stark warning to US institutions facing an exodus of top-tier academic talent.