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Issues on Private Foreign Remittances Influence on the Economy

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  • Irina B. Petrosyan

Abstract

For the most of developing countries foreign private remittances are not only the most important sources of disposable income forming but also in some cases form more strong channel of foreign currency inflows than participation in the international trade, foreign aid and foreign private investments. Remittances are the form of resource movement from developed countries to developing, significance of which increases every day. They potentially could become a pillar for the development of the financial sector in the recipient country, partly transforming into savings and entering on the financial market through formal credit channels. The study focuses on the main effects created by the foreign remittances and makes an attempt to analyze the short-term and long-term influence on the recipient countries economies.

Suggested Citation

  • Irina B. Petrosyan, 2016. "Issues on Private Foreign Remittances Influence on the Economy," Journal Transition Studies Review, Transition Academia Press, vol. 23(2), pages 43-45.
    • Handle: RePEc:ase:jtsrta:v:23:y:2016:i:2:p:43-45:id:145
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