Thread: Study: Remittances Dwarf Foreign Aid From Rich Donors

Study: Remittances Dwarf Foreign Aid From Rich Donors

A new study shows remittances from migrant workers to their home countries dwarfs the amount of international aid from the world’s richest nations. The UN International Fund for Agricultural Development and the Inter-American Development Bank say workers sent more than $300 billion to developing nations last year -- nearly three times foreign development aid from the world’s leading donors. IFAD President Lennart Bage said the numbers call for easing barriers to remittances.

Lennart Bage: "It's hard-earned money by poor people in rich countries sending back to their families but it has a potential. So let's make it easy to transfer, let's make it cheap to transfer and let's build the financial system locally so that it can really come to use in the local communities where it's destined to go."

Study: Migrants sent home more than $300 billion in '06

Families in India, Mexico received the most money

By Pablo Bachelet
MCT NEWS SERVICE

October 18, 2007

WASHINGTON – A study of global remittances released yesterday has found that migrants sent more than $300 billion home to their families last year, with India edging out Mexico as the top recipient.

India got $24.5 billion, while Mexico received $24.2 billion. China was third with $21 billion, according to the United Nations agency that released the report.

The study also took a stab at estimating remittances to places where the numbers are difficult to tabulate, such as Cuba, Haiti, Iraq, Myanmar, Afghanistan and Somalia.

Remittances have been growing at a 10 percent annual rate, the report's authors said, and the total is triple what rich nations donate to developing countries.

“Walls are not stopping them; patrol boats are not stopping them,â€