IDEAS home Printed from https://ideas.repec.org/a/rfh/bbejor/v6y2017i2p74-91.html
   My bibliography  Save this article

The Role of Remittances on Human Development: Evidence from Developing Countries

Author

Listed:
  • Muhammad Zahid Naeem

    (Department of Economics, University of the Punjab, Lahore, Pakistan)

  • Shama Arzu

    (COMSATS Institute of Information Technology Vehari, Pakistan)

Abstract

Remittances are the part of migrant workers and essentially cash exchanges earned abroad and sent to their families. Worker remittances are an important part of international capital flows. The volume of remittances increments in developing countries day by day and season through season. Remittances are the backbone for the developing economies. We have used annual cross section data from the period of 2014 of 100 developing countries including Afghanistan, Pakistan, Turkey, Bangladesh, Iraq and China. Results show that there is a positive and insignificant relationship between remittances and human development in each of the selected developing countries.

Suggested Citation

  • Muhammad Zahid Naeem & Shama Arzu, 2017. "The Role of Remittances on Human Development: Evidence from Developing Countries," Bulletin of Business and Economics (BBE), Research Foundation for Humanity (RFH), vol. 6(2), pages 74-91, June.
    • Handle: RePEc:rfh:bbejor:v:6:y:2017:i:2:p:74-91
    as

    Download full text from publisher

    File URL: https://bbejournal.com/index.php/BBE/article/view/185/142
    Download Restriction: no
    File URL: https://bbejournal.com/index.php/BBE/article/view/185
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Ms. Yan M Sun & Udo Kock, 2011. "Remittances in Pakistan: Why have they gone up, and why Aren't they coming down?," IMF Working Papers 2011/200, International Monetary Fund.
    2. Koska, Onur A. & Saygin, Perihan Özge & Çağatay, Selim & Artal-Tur, Andrés, 2013. "International migration, remittances, and the human capital formation of Egyptian children," International Review of Economics & Finance, Elsevier, vol. 28(C), pages 38-50.
    3. Rukmani Gounder, 2014. "Does Remittances Finance Welfare Development?: Evidence from the South Pacific Island Nation of Fiji," Proceedings of Economics and Finance Conferences 0401213, International Institute of Social and Economic Sciences.
    4. Rao, B. Bhaskara & Hassan, Gazi Mainul, 2011. "A panel data analysis of the growth effects of remittances," Economic Modelling, Elsevier, vol. 28(1-2), pages 701-709, January.
    5. Jesus Cañas & Roberto Coronado & Pia M. Orrenius & Madeline Zavodny, 2010. "Do remittances boost economic development? Evidence from Mexican states," Working Papers 1007, Federal Reserve Bank of Dallas.
    6. Bredl, Sebastian, 2009. "Migration, remittances and educational outcomes: The case of Haiti," Discussion Papers 44, Justus Liebig University Giessen, Center for international Development and Environmental Research (ZEU).
    7. Ilahi, Nadeem & Jafarey, Saqib, 1999. "Guestworker migration, remittances and the extended family: evidence from Pakistan," Journal of Development Economics, Elsevier, vol. 58(2), pages 485-512, April.
    8. Robert Stojanov & Wadim Strielkowski, 2013. "The Role of Remittances as More Efficient Tool of Development Aid in Developing Countries," Prague Economic Papers, Prague University of Economics and Business, vol. 2013(4), pages 487-503.
    9. Berdiev, Aziz N. & Kim, Yoonbai & Chang, Chun-Ping, 2013. "Remittances and corruption," Economics Letters, Elsevier, vol. 118(1), pages 182-185.
    10. Salas, Vania B., 2014. "International Remittances and Human Capital Formation," World Development, Elsevier, vol. 59(C), pages 224-237.
    11. Partha Deb & Papa Seck, 2009. "Internal Migration, Selection Bias and Human Development: Evidence from Indonesia and Mexico," Human Development Research Papers (2009 to present) HDRP-2009-31, Human Development Report Office (HDRO), United Nations Development Programme (UNDP), revised Jul 2009.
    12. Bichaka Fayissa & Christian Nsiah, 2010. "Can Remittances Spur Economic Growth and Development? Evidence from Latin American Countries (LACs)," Working Papers 201006, Middle Tennessee State University, Department of Economics and Finance.
    13. Kroeger, Antje & Anderson, Kathryn H., 2014. "Remittances and the human capital of children: New evidence from Kyrgyzstan during revolution and financial crisis, 2005–2009," Journal of Comparative Economics, Elsevier, vol. 42(3), pages 770-785.
    14. Abdulnasser Hatemi-J & Mrittika Shamsuddin, 2016. "The causal interaction between financial development and human development in Bangladesh," Applied Economics Letters, Taylor & Francis Journals, vol. 23(14), pages 995-998, September.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Chan Bibi & Amjad Ali, 2021. "Do Remittances Impact Human Development in Developing Countries? A Panel Analysis of Selected Countries," Journal of Policy Research (JPR), Research Foundation for Humanity (RFH), vol. 7(2), pages 27-42, June.
    2. Thanh Dinh Su & Canh Phuc Nguyen, 2022. "Foreign financial flows, human capital and economic growth in African developing countries," International Journal of Finance & Economics, John Wiley & Sons, Ltd., vol. 27(3), pages 3010-3031, July.
    3. Hari Sharma & John Gibson, 2020. "Effects of International Migration on Child Schooling and Child Labour: Evidence from Nepal," Working Papers in Economics 20/07, University of Waikato.
    4. Le Thanh Tung, 2018. "The Impact Of Remittances On Domestic Investment In Developing Countries: Fresh Evidence From The Asia-Pacific Region," Organizations and Markets in Emerging Economies, Faculty of Economics, Vilnius University, vol. 9(2).
    5. , Le Thanh Tung, 2015. "Remittances and Private Investment: Evidence in Asia and The Pacific Developing Countries," OSF Preprints a95ug, Center for Open Science.
    6. Muhammad Azam & Syed Ali Raza, 2016. "Do Workers’ Remittances Boost Human Capital Development?," The Pakistan Development Review, Pakistan Institute of Development Economics, vol. 55(2), pages 123-149.
    7. Michael A. Clemens & David McKenzie, 2018. "Why Don't Remittances Appear to Affect Growth?," Economic Journal, Royal Economic Society, vol. 128(612), pages 179-209, July.
    8. Ait Benhamou, Zouhair & Cassin, Lesly, 2021. "The impact of remittances on savings, capital and economic growth in small emerging countries," Economic Modelling, Elsevier, vol. 94(C), pages 789-803.
    9. Martin-Mayoral, Fernando & Proaño, Maria Belén, 2012. "Las remesas en América Latina, ¿amenaza u oportunidad? [Remittances in Latin America, a threat or an opportunity?]," MPRA Paper 43730, University Library of Munich, Germany.
    10. Imtiaz Arif & Syed Ali Raza & Anita Friemann & Muhammad Tahir Suleman, 2019. "The Role of Remittances in the Development of Higher Education: Evidence from Top Remittance Receiving Countries," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 141(3), pages 1233-1243, February.
    11. Jawad, Muhammad & Qayyum, Abdul, 2015. "Modelling the Impact of Policy Environment on Inflows of Worker’s Remittances in Pakistan: A Multivariate Analysis," MPRA Paper 85497, University Library of Munich, Germany.
    12. Yalei Zhai & Hisaki Kono, 2021. "The poor receive less: Remittance behaviour of female migrants in Myanmar," Journal of International Development, John Wiley & Sons, Ltd., vol. 33(5), pages 910-926, July.
    13. Amar Iqbal Anwar & Mazhar Mughal, 2012. "Remittances, inequality and poverty in Pakistan: macro and microeconomic Evidence [Centre d'Analyse Théorique et de Traitement des données économiques REMITTANCES, INEQUALITY AND POVERTY IN PAKISTA," Working papers of CATT hal-01885153, HAL.
    14. Hayot Berk Saydaliev & Lee Chin, 2023. "The necessity of social infrastructure for enhancing educational attainment: evidence from high remittance recipient LMICs," Economic Change and Restructuring, Springer, vol. 56(3), pages 1823-1847, June.
    15. Ahmed, Junaid & Martinez-Zarzoso, Inmaculada, 2014. "What drives bilateral remittances to Pakistan? A gravity model approach," University of Göttingen Working Papers in Economics 209, University of Goettingen, Department of Economics.
    16. Miguel à ngel Mendoza González & Marcos Valdivia López, 2016. "Remesas, crecimiento y convergencia regional en México: aproximación con un modelo panel-espacial," Estudios Económicos, El Colegio de México, Centro de Estudios Económicos, vol. 31(1), pages 125-167.
    17. Katarzyna Budnik, 2011. "Temporary migration in theories of international mobility of labour," Bank i Kredyt, Narodowy Bank Polski, vol. 42(6), pages 7-48.
    18. Michael Clemens and David McKenzie, 2014. "Why Don't Remittances Appear to Affect Growth? - Working Paper 366," Working Papers 366, Center for Global Development.
    19. Gazi M. Hassan & Mark J. Holmes, 2017. "How Do Workers' Remittances Respond to Lending Rates?," Working Papers in Economics 17/02, University of Waikato.
    20. Bamahriz, Omar & Masih, Mansur, 2018. "Brain drain or brain gain? investigating the diaspora’s effect on the economy and real estate bubble: new evidence from Kenya based on ARDL analysis," MPRA Paper 87556, University Library of Munich, Germany.

    More about this item

    Keywords

    remittances; human development; developing countries;
    All these keywords.

    JEL classification:

    • F24 - International Economics - - International Factor Movements and International Business - - - Remittances
    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:rfh:bbejor:v:6:y:2017:i:2:p:74-91. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Dr. Muhammad Irfan Chani (email available below). General contact details of provider: https://edirc.repec.org/data/rffhlpk.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.