Remittance

As remittances or remittances or remittances (English " remittances ", Spanish for " remittances ", Italian for " rimessas " ) are referred to remittances from migrants to their countries of origin.

Often several family members living on the remittances of relatives from abroad. In many developing countries these remittances make up a large part of the total economic output. Often these funds exceed the international aid, and foreign investment flowing into a country.

According to calculations by the World Bank paid migrants worldwide in 2012 529 billion U.S. dollars. Their respective home countries This is more than twice as much as in 2000 and more than twice as much as the world shall be referred to development aid. Alone to India and China in 2012 flowed ever more than 60 billion dollars. The actual amount could be even higher. World Bank experts estimate that informal channels - get another 250 billion in the old country - eg via bus drivers, traveling family members or through the hawala transfer system.

The fees incurred for such transfers of funds, are many times higher than for transfers between industrialized countries in general. Providers are banks, savings banks and money transfer service such as Western Union or MoneyGram. However, the conditions of these providers are very different and the market as a whole is not very transparent. In order to change this, inform some industrialized countries in the internet about how citizens can send in non-European countries with migration background on formal way at the best money.

In addition, remittances support the local currencies as in many recipient countries prevails a trade deficit.

Impact on developing countries

Remittances generally have a positive effect on poverty and health, although they may have negative effects on willingness to work, education and economic growth.