Why in News?
- India is likely to receive total remittances of $ 800 billion, stated the Migration and Development Brief released by the World Bank on December 08, 2018.
- India was followed by China ($67 billion), Mexico and Philippines ($34 billion each) and Egypt ($26 billion) in the brief.
- When a foreign worker transfers money or something to family or any other individual living in his home country, it is called ‘Remittance.’
- Such transactions help in poverty alleviation in developing and low-income countries.
- According to the Brief, the global remittance including flows to high-income countries is expected to grow by 10.3 percent to $ 689 billion. In 2019, they are expected to grow 3.7 percent to $715 billion.
- Remittance to developing countries is expected to grow by 10.8 percent to achieve $ 528 billion in 2018. It grew by 7.8 percent in 2017.
- It is expected to grow by 4 percent for the low and middle-income countries in 2019.
- India registered a significant increase in the remittance flow, from $62.7 billion in 2016 to $65.3 billion in 2017. In the year 2017, it was estimated 2.7 percent of the GDP.