The Dunedin City Council has secured $126,500 in funding from New Zealand Trade and Enterprise for the project, which would be used to help alumni groups contact people and encourage them to return home.
The one-year project was also being supported by $50,000 combined funding from the council, regional economic development agency Otago Forward, Tourism Dunedin and Otago Polytechnic.
Council economic development unit manager Peter Harris said the funding would be used by council staff to build online databases, which would be used by alumni groups from secondary schools and tertiary bodies.
The tools would help the groups organise reunions and promote opportunities across Otago to "re-engage" ex-pupils living abroad to become involved in the region again, he said.
"Many people leave the region with very fond memories of their time here.
"We want to ensure they not only get to relive these times through reunions, but that they understand the ways the region has changed since they left, and the opportunities there might be for them here now," Mr Harris said.
Council EDU business development adviser Deb Sutton said the University of Otago and some schools, such as Otago Boys' High School, already had good alumni programmes in place.
So far, 15 schools had indicated a willingness to be involved, she said.
Otago Forward chairman and Queenstown Lakes Mayor Clive Geddes said the project would help connect businesses looking for staff, investment or mentoring with alumni "scattered around the world who have goodwill towards Otago".
"This project will help alumni turn good memories into great opportunities and will offer Otago businesses an incredible pool of talent, contacts and investment."
