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Do Migrant Remittances Reduce Poverty? Micro-Level Evidence from Punjab, Pakistan

Author

Listed:
  • Kashif Imran

    (Department of Economics, Faculty of Economics and Administration, University of Malaya)

  • Evelyn S. Devadason

    (Department of Economics, Faculty of Economics and Administration, University of Malaya)

  • Kee-Cheok Cheong

    (Institute of China Studies, University of Malaya)

Abstract

This paper provides a poverty profile of households and then investigates the effects of international remittances on poverty incidence and severity in Punjab, Pakistan. Using cross-section data from the latest Multiple Indicator Cluster Survey for Punjab, the disaggregated analysis on the remittance-poverty nexus is examined by districts and urban-rural locales. From the poverty profile for migrant households with remittances and the counterfactual scenario of no remittances, the differences in the poverty reduction effect seem larger for poverty headcount than on the depth of poverty. The same trend holds for the urban-rural locales. This implies that remittances inflow were not really helpful for the poorest of the poor. The regression analysis further reveals that migrant remittances have significantly reduced the level and depth of poverty for households in all districts of Punjab, with the highest probability of being non-poor for rural households in the districts of South Punjab.

Suggested Citation

  • Kashif Imran & Evelyn S. Devadason & Kee-Cheok Cheong, 2018. "Do Migrant Remittances Reduce Poverty? Micro-Level Evidence from Punjab, Pakistan," Malaysian Journal of Economic Studies, Faculty of Business and Economics, University of Malaya & Malaysian Economic Association, vol. 55(1), pages 19-47, June.
    • Handle: RePEc:mjr:journl:v:55:y:2018:i:1:p:19-47
    DOI: 10.22452/MJES.vol55no1.2
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    Citations

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    Cited by:

    1. Mercy. T. Musakwa & N. M. Odhiambo, 2020. "Remittance Inflows and Poverty Dynamics in South Africa: An Empirical Investigation," SAGE Open, , vol. 10(4), pages 21582440209, December.

    More about this item

    Keywords

    Migrant households; Pakistan; poverty; Punjab; remittances;
    All these keywords.

    JEL classification:

    • F24 - International Economics - - International Factor Movements and International Business - - - Remittances
    • I32 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - Measurement and Analysis of Poverty
    • I39 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - Other

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