Currency Depreciation to Blame for 7.2% Drop in Global Remittances: World Ban...
According to a new report, the depreciation of some currencies against the U.S. dollar is contributing to the declining international remittances. After touching an all-time high of $548 billion in 2019, the World Bank report now projects remittances to drop 7.2% in 2020 to $508 billion and a further decline of 7.5% to $470 billion in 2021. Volatile Currencies In its Migration and Development Brief 33, the World Bank details how the Covid-19 induced currency depreciation has affected the flow of global remittances. In the brief, the authors point to the exchange rate between the U.S.....
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The coronavirus pandemic has painted a different picture of our world when it comes to international money transfers, especially the kinds that come from employed migrant workers. The World Bank reveals that global remittances have declined 20% over the year 2020, with a 19.7% drop in remittances to low and middle-income countries. Part of that […]
The uncertainty that prevails in Nigeria’s foreign exchange market is partly to blame for the plunge in cross-border remittances into the country, an official with the International Monetary Fund (IMF) has said. Covid-19 Another Contributing Factor According to a report by local news outlet Punch, the official, Abebe Selassie, said this in response to a question posed to him during a virtual press briefing. However, in his two-part response to the question, Selassie starts by acknowledging the impact the global Covid-19 pandemic has had on cross-border remittances in general. He....
This is a guest post by Digital Currency Councilmember Amor Sexton. Western Union released a reporton the role of women in global remittances. According to the report, women currently move 50 percent of the estimated $582 billion global remittances, and they send a greater percentage of their wages than men. Women also are the largest group of recipients, receiving over two-thirds of remittances. The flow of money to these women can be a matter of life and death if they have no alternative means of earning a living. The United Nations reports that despite women working two-thirds of the....
The Central Bank of Nigeria (CBN)’s attempt to incentivize the country’s forex market through the so-called “Naira for Dollar” scheme has failed. This is evidenced by the local currency’s plunge of more than 25% since the launch of the incentive scheme in March 2021. Naira Depreciation The CBN’s scheme that encourages recipients of cross-border remittances to cash out via formal channels failed to incentivize the forex market and has therefore not achieved the bank’s goal of halting the naira’s depreciation, a report has said.....
India is the largest remittance market in the world and in fact, the country depends on a great degree on inward remittances, more so since the global economic crisis of 2008 than ever before. This should not come as a surprise as Indians form the world’s largest diaspora, according to figures released by the United Nations. In the past five years, more than two mln have migrated abroad. In total about 15.6 mln people born in India now live abroad. According to the Wall Street Journal, Indians working abroad sent a record $72 bln in remittances to India. In the last decade, remittances....