The aid workers who really help, October 8, 2009, The Economist: “As the dust settled after the attacks of September 11th 2001, officials in America and elsewhere started tracking cross-border flows of money from migrants, in the hope of nabbing terrorists. Remittance agencies were regulated more heavily; cash transfers from foreign workers were monitored. Not much was discovered about terrorism, but lots of new data emerged on the economics of migration. It was a happy side-effect. Over the past few years migration experts have gained a clearer view of how some 200m people working abroad affect the lives of compatriots who stay home. The impact, it turns out, is huge and benign. Obviously, migrants help their homelands by remitting cash on a vast scale. Armies of itinerant nannies, dishwashers, meatpackers and plumbers shift more capital to poorer countries than do Western aid efforts. (This may long have been true, but without the data who knew?) The World Bank says foreign workers sent $328 billion from richer to poorer countries last year, more than double the $120 billion in official aid flows from OECD members. India got $52 billion from its diaspora, more than it took in foreign direct investment…”
Tag: Remittances
Remittances from Philippine Workers Abroad
Philippine workers abroad: The boon has a price, By John M. Glionna, August 26, 2009, Los Angeles Times: “Looking down the main drag of this farm town, Police Chief Eric Noble marvels at the modern conveniences — byproducts of the fierce ties binding Philippine families. Sturdy houses with concrete foundations now replace the thatched huts of a generation ago. There are new cars, washing machines, children attending private schools and former sharecroppers who have purchased the farms where they once worked as lowly laborers. Such economic progress has come from remittances, the staggering $1 billion sent to families nationwide each month by Filipinos working overseas in an attempt to overcome extreme poverty and joblessness in their native land…”
Immigrant Workers and Remittances to Mexico
With USA in a recession, rural Mexico feels the pain, By Chris Hawley, July 9, 2009, USA Today: “Not long ago, this remote Mexican mountain town was in the middle of a construction boom — as families proudly built their American-style dream homes, using cash sent home by relatives working in the USA. Work on those houses has stopped, leaving shiny steel rebar jutting awkwardly out of concrete walls all over this town of 4,500. Meanwhile, residents have been forced to cut back on staples such as rice and corn. Eggs, meat and milk are now out of reach for many families…”