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Microeconomic determinants of migrant remittances to Nigerian households

Author

Listed:
  • Nwosu O. Emmanuel

    (Centre for Demographic and Allied Research, Department of Economics, University of Nigeria, Nsukka)

  • Fonta M. William

    (United Nations University Institute for Natural Resources in Africa (UNU-INRA))

  • Aneke Gladys

    (Head, Department of Economics, University of Nigeria, Nsukka)

  • Yuni N. Denis

    (Centre for Demographic and Allied Research, Department of Economics, University of Nigeria, Nsukka)

Abstract

This study analyses the determinants of both the decision to remit money and the total remittances by Nigerian migrants. The study distinguishes itself from other existing migration studies in Nigeria by focusing on the microeconomic determinants of remittances from both the sending and receiving end. A recent and richer remittances survey data for Nigeria by the World Bank is used to extend the analysis to both internal and international migration. Tobit and Heckit's models were used in the analyses. The empirical findings indicate that duration of the migrant in the country of residence, household asset, household size, living in OECD, highest level of education attained before migration, being male, being a son, daughter or father to the head of the household, and type of employment have statistically significant positive impact on both the probability of remitting and the amount of remittances sent by the migrant to the household. These findings vary significantly by the country of current residence of the migrants. All these suggest that the future inflow of remittances to Nigeria would largely depend on the migrant country of destination, level of education prior to migration, and the type of work done by the migrants in the country of current residence. The work situation of the migrant may in turn depend on the macroeconomic conditions in the country of residence.

Suggested Citation

  • Nwosu O. Emmanuel & Fonta M. William & Aneke Gladys & Yuni N. Denis, 2012. "Microeconomic determinants of migrant remittances to Nigerian households," Economics Bulletin, AccessEcon, vol. 32(4), pages 3425-3438.
    • Handle: RePEc:ebl:ecbull:eb-12-00711
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    References listed on IDEAS

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    Cited by:

    1. RANA Rezwanul Hasan & HASHMI Rubayyat, 2015. "The Determinants Of Worker Remittance In Terms Of Foreign Factors: The Case Of Bangladesh," Studies in Business and Economics, Lucian Blaga University of Sibiu, Faculty of Economic Sciences, vol. 10(3), pages 81-93, December.
    2. William M. Fonta & Elias T. Ayuk & Jude O. Chukwu & Onyukwu E. Onyukwu & Cletus C. Agu & Innocent O. Umenwa, 2015. "Dynamics of remittance utilization by Nigerian households," Progress in Development Studies, , vol. 15(4), pages 343-357, October.
    3. Godfrey I. Ihedimma & Godstime I. Opara, 2020. "Remittance Inflow and Unemployment in Nigeria," Research Africa Network Working Papers 20/103, Research Africa Network (RAN).
    4. Alleluyanatha, Esther & Awotide, Bola Amoke & Dontsop-Nguezet, Paul Martins & Coulibaly, Amadou Youssouf & Bello, Lateef & Abdoulaye, Tahirou & Manyong, Victor & Bamba, Zoumana, 2021. "Effect of Youth Migration and Remittances on RURAL Households’ Livelihoods in South-Eastern Nigeria," 2021 Conference, August 17-31, 2021, Virtual 315200, International Association of Agricultural Economists.
    5. Godfrey I. Ihedimma & Godstime I. Opara, 2020. "Remittance Inflow and Unemployment in Nigeria," Working Papers 20/103, European Xtramile Centre of African Studies (EXCAS).
    6. Mohammad Reza Farzanegan & Sherif Maher Hassan & Ribal Abi Raad, 2017. "Causes and Impacts of Remittances: Household Survey Evidence from Egypt," MAGKS Papers on Economics 201737, Philipps-Universität Marburg, Faculty of Business Administration and Economics, Department of Economics (Volkswirtschaftliche Abteilung).
    7. Godfrey I. Ihedimma & Godstime I. Opara, 2020. "Remittance Inflow and Unemployment in Nigeria," Working Papers of the African Governance and Development Institute. 20/103, African Governance and Development Institute..

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    More about this item

    Keywords

    Remittances; migration; microeconomic determinants; Tobit and Heckman's Estimators.;
    All these keywords.

    JEL classification:

    • C5 - Mathematical and Quantitative Methods - - Econometric Modeling
    • D1 - Microeconomics - - Household Behavior

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