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Remittance and financial development: a comparison between highly- and less-educated migrants

Author

Listed:
  • Md. Abdur Rahman Forhad
  • Gazi Mahabubul Alam
  • Vesna Skrbinjek

Abstract

While many studies explored the impact of remittances on recipient countries' economic development, this study uniquely investigates a comparative analysis between highly-educated and less-educated migrants on financial development. This study uses macro-level data from the World Development Indicators and employs an instrumental variable approach. Findings indicate that remittance generally boosts the financial development of recipient countries, with remittances from low-educated migrants promoting better financial inclusion. To ensure a sustainable positive impact of remittance from both groups of migrants on financial development, easing domestic and international policies related to foreign employment and investment opportunities is important.

Suggested Citation

  • Md. Abdur Rahman Forhad & Gazi Mahabubul Alam & Vesna Skrbinjek, 2025. "Remittance and financial development: a comparison between highly- and less-educated migrants," International Journal of Education Economics and Development, Inderscience Enterprises Ltd, vol. 16(4), pages 479-495.
    • Handle: RePEc:ids:ijeded:v:16:y:2025:i:4:p:479-495
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