Importance of Remittances in Developing Countries.

Fintech2 minute read
Govind BoharaWed, 18 Jan 2023

Every tenth person in Europe and Central Asia is an emigrant, either permanently or temporarily. This region is an important source of migration both within and outside its borders. At least 10% of the population of about 250 million individuals are emigrants. People leave their homes for a variety of reasons, including economic and social reasons, as well as conflict-related and political reasons. While many migrate to Europe, 80 percent of ECIS migrants choose to stay in the area, with Turkey, Kazakhstan, and Russia being popular destinations. The region also has the biggest percentage of remittances as a proportion of GDP, with a historic high of US$74 billion in 2021. This means that over 25 million migrant workers send money home each year to approximately 100 million people who benefit from these flows.