The demographic, economic and financial determinants of international remittances in developing countries
AbstractWhat causes developing countries to receive different levels of international remittances? This paper addresses this question by using new data on such variables as the skill composition of migrants, poverty, and interest and exchange rates to examine the determinants of remittances. The paper finds that the skill composition of migrants does matter in remittance determination. Countries which export a larger share of high-skilled (educated) migrants receive less per capita remittances than countries which export a larger proportion of low-skilled migrants. It also finds that the level of poverty in a labor-sending country does not have a positive impact on the level of remittances received.
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Bibliographic InfoPaper provided by The World Bank in its series Policy Research Working Paper Series with number 4583.
Date of creation: 01 Mar 2008
Date of revision:
Population Policies; Remittances; Debt Markets; Access to Finance; Rural Poverty Reduction;
This paper has been announced in the following NEP Reports:
- NEP-ALL-2008-09-13 (All new papers)
- NEP-DEV-2008-09-13 (Development)
- NEP-MIG-2008-09-13 (Economics of Human Migration)
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