With $80bn, India tops remittances list
New Delhi: India retains the top spot as the country receiving the largest amount in remittances in 2018 with $80 billion being sent home by the diaspora, a World Bank report said on Saturday.
It is followed by China ($67 billion), Mexico and the Philippines ($34 billion each), and Egypt ($26 billion). India has been a top country in terms of remittances as the large diaspora in the Gulf and other countries send money home.
The recent floods in Kerala in August is likely to have boosted remittances to India , as migrants sent financial help to families back home, according to the World Bank’s Migration and Development Brief.
Remittances to south Asia are projected to increase by 13.5% to $132 billion in 2018, a stronger pace than the 5.7% growth seen in 2017. The upsurge is driven by stronger economic conditions in advanced economies, particularly the United States, and the increase in oil prices having a positive impact on outflows from some GCC countries, such as the United Arab Emirates, which reported a 13% growth in outflows for the first half of 2018.
Bangladesh and Pakistan experienced upticks of 17.9% and 6.2% in 2018, respectively. For 2019, it is projected that remittance growth for the region will slow to 4.3% due to a moderation of growth in advanced economies, lower migration to the GCC and the benefits from the oil price spurt dissipating.
The World Bank estimates that officially recorded remittances to developing countries will increase by 10.8% to reach $528 billion in 2018. This new record level follows robust growth of 7.8% in 2017. Global remittances, which include flows to high-income countries, are projected to grow by 10.3% to $689 billion.