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Determinants of Remittances: The Case of the South Asian Community in Manchester

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  • Thankom Arun
  • Hulya Ulku

Abstract

This paper investigates the remittance behaviour of the South Asian community using new data from Indian, Pakistani and Bangladeshi households in Manchester. The findings show that standard variables such as income, employment, education, linkages to the home country and host country are important determinants of remittances. Although remittances are sent mainly for consumption purposes, those sent for land acquisition and savings have stronger association with the amount of remittances. In addition, we find strong evidence for the remittance decay hypothesis for Indian and Pakistani migrants, but not for Bangladeshi migrants.

Suggested Citation

  • Thankom Arun & Hulya Ulku, 2011. "Determinants of Remittances: The Case of the South Asian Community in Manchester," Journal of Development Studies, Taylor & Francis Journals, vol. 47(6), pages 894-912.
  • Handle: RePEc:taf:jdevst:v:47:y:2011:i:6:p:894-912
    DOI: 10.1080/00220388.2010.527951
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    References listed on IDEAS

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    1. 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.
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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. Gazi M. Hassan & Shafiqur Rahman, 2015. "Is the Democratisation Process Responsive to Remittance Flows? Evidence from Bangladesh," Working Papers in Economics 15/06, University of Waikato.
    3. Okayo Alphonsine COULIBALY, 2016. "Les Motivations Microéconomiques Des Transferts De Fonds Au Burkina Faso : La Culture Est-Elle Déterminante ?," Region et Developpement, Region et Developpement, LEAD, Universite du Sud - Toulon Var, vol. 43, pages 187-208.
    4. Kaczmarczyk, Pawel, 2013. "Money for Nothing? Ukrainian Immigrants in Poland and their Remitting Behaviors," IZA Discussion Papers 7666, Institute for the Study of Labor (IZA).
    5. Gazi M. Hassan & Mark J. Holmes, 2017. "How Do Workers' Remittances Respond to Lending Rates?," Working Papers in Economics 17/02, University of Waikato.

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