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The remitting patterns of African migrants in the OECD

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  • Bollard, Albert
  • McKenzie, David
  • Morten, Melanie

Abstract

Recorded remittances to Africa have grown dramatically over the past decade. Yet data limitations still mean relatively little is known about which migrants remit, how much they remit, and how their remitting behavior varies with gender, education, income levels, and duration abroad. This paper constructs the most comprehensive remittance database on immigrants in the OECD currently available, containing microdata on more than 12,000 African immigrants. Using this microdata the authors establish several basic facts about the remitting patterns of Africans, and then explore how key characteristics of policy interest relate to remittance behavior. Africans are found to remit twice as much on average as migrants from other developing countries, and those from poorer African countries are more likely to remit than those from richer African countries. Male migrants remit more than female migrants, particularly among those with a spouse remaining in the home country; more-educated migrants remit more than less educated migrants; and although the amount remitted increases with income earned, the gradient is quite flat over a large range of income. Finally, there is little evidence that the amount remitted decays with time spent abroad, with reductions in the likelihood of remitting offset by increases in the amount remitted conditional on remitting.

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Bibliographic Info

Paper provided by The World Bank in its series Policy Research Working Paper Series with number 5260.

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Date of creation: 01 Apr 2010
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Handle: RePEc:wbk:wbrwps:5260

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Keywords: Population Policies; Remittances; Gender and Development; Debt Markets; International Migration;

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References

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  1. Dilip Ratha & Sanket Mohapatra & Ani Silwal, 2009. "Outlook for Remittance Flows 2009-2011 : Remittances Expected to Fall by 7-10 Percent in 2009," World Bank Other Operational Studies 10975, The World Bank.
  2. Albert Bollard & David McKenzie & Melanie Morten & Hillel Rapoport, 2011. "Remittances and the Brain Drain Revisited: The Microdata Show That More Educated Migrants Remit More," World Bank Economic Review, World Bank Group, vol. 25(1), pages 132-156, May.
  3. Azam, Jean-Paul & Gubert, Flore, 2006. "Migrants' Remittances and the Household in Africa: A Review of Evidence," Economics Papers from University Paris Dauphine 123456789/5126, Paris Dauphine University.
  4. Osili, Una Okonkwo, 2007. "Remittances and savings from international migration: Theory and evidence using a matched sample," Journal of Development Economics, Elsevier, vol. 83(2), pages 446-465, July.
  5. Philippe De Vreyer & Flore Gubert & François Roubaud, 2010. "Migration, Self-selection and Returns to Education in the WAEMU," Journal of African Economies, Centre for the Study of African Economies (CSAE), vol. 19(1), pages 52-87, January.
  6. Sanjeev Gupta & Catherine A. Pattillo & Smita Wagh, 2007. "Impact of Remittanceson Poverty and Financial Development in Sub-Saharan Africa," IMF Working Papers 07/38, International Monetary Fund.
  7. Luis Miotti & El Mouhoub Mouhoud & Joel Oudinet, 2009. "Migrations And Determinants Of Remittances To Southern Mediterranean Countries: When History Matters !," Post-Print hal-00483303, HAL.
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Blog mentions

As found by EconAcademics.org, the blog aggregator for Economics research:
  1. Does gender matter in migration? Why I don’t believe any studies which claim it does
    by David McKenzie in Development Impact on 2013-02-18 22:14:03
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Cited by:
  1. repec:nbr:nberch:13368 is not listed on IDEAS
  2. de Brauw, Alan & Mueller, Valerie & Woldehanna, Tassew, 2013. "Motives to Remit: Evidence from Tracked Internal Migrants in Ethiopia," World Development, Elsevier, vol. 50(C), pages 13-23.
  3. John Gibson & David McKenzie, 2010. "The Economic Consequences of "Brain Drain" of the Best and Brightest: Microeconomic Evidence from Five Countries," CReAM Discussion Paper Series 1018, Centre for Research and Analysis of Migration (CReAM), Department of Economics, University College London.
  4. Ainhoa Aparicio, 2011. "Network Effects on Migrants' Remittances," Carlo Alberto Notebooks 202, Collegio Carlo Alberto.
  5. Bettin, Giulia & Lucchetti, Riccardo & Zazzaro, Alberto, 2009. "Income, consumption and remittances: Evidence from immigrants to Australia," HWWI Research Papers 3-21, Hamburg Institute of International Economics (HWWI).
  6. Aísa, R. & Andaluz, J. & Larramona, G., 2011. "How does bargaining power affect remittances?," Economic Modelling, Elsevier, vol. 28(1-2), pages 47-54, January.
  7. de Brauw, Alan & Mueller, Valerie & Woldehanna, Tassew, 2011. "Insurance motives to remit: Evidence from a matched sample of Ethiopian internal migrants," ESSP working papers 25, International Food Policy Research Institute (IFPRI).
  8. Naudé, Wim & Bezuidenhout, Henri, 2012. "Remittances provide resilience against disasters in Africa," MERIT Working Papers 026, United Nations University - Maastricht Economic and Social Research Institute on Innovation and Technology (MERIT).
  9. Bettin, Giulia & Lucchetti, Riccardo & Zazzaro, Alberto, 2012. "Endogeneity and sample selection in a model for remittances," Journal of Development Economics, Elsevier, vol. 99(2), pages 370-384.
  10. Wim Naudé & Henri Bezuidenhout, 2014. "Migrant Remittances Provide Resilience Against Disasters in Africa," Atlantic Economic Journal, International Atlantic Economic Society, vol. 42(1), pages 79-90, March.
  11. Clemens, Michael A. & McKenzie, David, 2014. "Why don't remittances appear to affect growth ?," Policy Research Working Paper Series 6856, The World Bank.
  12. Kiawu, James AF & Jones, Keithly G, 2013. "Implications of food aid and remittances for West African food import demand," African Journal of Agricultural and Resource Economics, African Association of Agricultural Economists, vol. 8(1), July.

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