• About
  • Advertise
  • Privacy Policy
  • Contact
Friday, February 3, 2023
  • Login
The Vaultz News
  • Top Stories
  • News
    • General News
    • Education
    • Health
    • Opinions
  • Economics
    • Economy
    • Finance
      • Banking
      • Insurance
      • Pension
    • Securities/Markets
  • Business
    • Agribusiness
    • Vaultz Business
    • Extractives/Energy
    • Real Estate
  • World
    • Africa
    • America
    • Europe
    • UK
    • USA
    • Asia
    • Around the Globe
  • Innovation
    • Technology
    • Wheels
  • Entertainment
  • 20MOBPL2DNew
  • Jobs & Scholarships
    • Job Vacancies
    • Scholarships
No Result
View All Result
The Vaultz News
  • Top Stories
  • News
    • General News
    • Education
    • Health
    • Opinions
  • Economics
    • Economy
    • Finance
      • Banking
      • Insurance
      • Pension
    • Securities/Markets
  • Business
    • Agribusiness
    • Vaultz Business
    • Extractives/Energy
    • Real Estate
  • World
    • Africa
    • America
    • Europe
    • UK
    • USA
    • Asia
    • Around the Globe
  • Innovation
    • Technology
    • Wheels
  • Entertainment
  • 20MOBPL2DNew
  • Jobs & Scholarships
    • Job Vacancies
    • Scholarships
No Result
View All Result
The Vaultz News
No Result
View All Result

Remittance flows remain elevated in 2020, only a few billion less in 2019

May 12, 2021
Stephen KotochiebyStephen Kotochie
in Sub Top Stories, Around the Globe, Sub Top Stories2, World
0
Remittance flows remain elevated in 2020, only a few billion less in 2019

The Covid-19 pandemic has set several macroeconomic indicators on a downward spiral, with remittance flows expected to be severely impacted. However, remittance flows remained resilient in 2020, only declined $8 billion less in 2019.

According to World Bank statistics, remittance flows declined only minimally, registering $540 billion in 2020. Thus, reflecting a 1.6% below the 2019 total of $548 billion. These figures pertain to the official recorded remittance flows to low- and middle-income countries.

Compared with remittance flows recorded during the 2008/2009 Financial Crisis, the decline in recorded remittance flows in 2020 was only marginal. Furthermore, it recorded far lower than the fall in foreign direct investment (FDI) flows to low- and middle-income countries.

RelatedPosts

Putin Commemorates Battle Of Stalingrad

Pope Urges Congo’s Youth To Work For A Peaceful And Honest Future

Top EU Officials Arrive In Kyiv

Quite interestingly, the remittance flows to low- and middle-income countries exceeded foreign direct investment (FDI) and overseas development assistance (ODA) combined, both contributing as low as $358 billion in 2020.

Meanwhile, the contributing factors to the generally steady flow of remittances included the widely accommodative fiscal policies implemented across economies. Especially, the fiscal stimulus packages that resulted in robust economic conditions in implementing countries.

Likewise, a shift in flow from cash to digital, and from informal to formal channels, volatilities in oil prices and currency exchange rates contributed to the flow of remittances .

The true size of remittances, which includes formal and informal flows, is believed to be larger than officially reported data, though uncertainties exist with the true extent of the impact of COVID-19 on informal flows.

“As COVID-19 still devastates families around the world, remittances continue to provide a critical lifeline for the poor and vulnerable,” said Michal Rutkowski, Global Director of the Social Protection and Jobs Global Practice at the World Bank.

“Supportive policy responses, together with national social protection systems, should continue to be inclusive of all communities, including migrants.”

Regional differences and outlook of remittance flows

Although remittance flows fared pretty well, the performance varies widely on a regional level. Remittance inflows increased in Latin America and Carribean by 6.5 percent, 5.2 percent in South Asia and 2.3 percent in the Middle East and North Africa.

Meanwhile, remittance inflows fell for East Asia and the Pacific, reflecting a fall of 7.9 percent.  For Europe and Central Asia, the decline registered was 9.7 percent, and for sub-Saharan Africa, 12.5 percent.

The fall in remittance inflows in sub-Saharan Africa stems from a 28% decline in inflows to Nigeria. With Nigeria excluded, the remittances to sub-Saharan Africa increased by 2.3%.

“The resilience of remittance flows is remarkable. Remittances are helping to meet families’ increased need for livelihood support,” said Dilip Ratha, lead author of the report on migration and remittances and head of KNOMAD. 

“They can no longer be treated as small change. The World Bank has been monitoring migration and remittance flows for nearly two decades, and we are working with governments and partners to produce timely data and make remittance flows even more productive.” 

 Dilip Ratha, Head of KNOMAD. 

That said, the outlook of remittance flows is positive. Remittance flows to low- and middle-income countries will increase by 2.6 percent to $553 billion in 2021. This trajectory will continue in 2022 increasing by 2.2 percent to $565 billion in 2022, the Word Bank predicts.

However, the outlook for remittances still faces a host of uncertainties. This is due to the continuous rise in infections within a number of large developing economies.

READ ALSO: Inflation inches down to 8.5% in April

Tags: COVID-19FDIincomeOfficial Development Assistanceremittance

Related Posts

Putin Commemorates Battle Of Stalingrad
Europe

Putin Commemorates Battle Of Stalingrad

February 2, 2023
Pope Urges Congo’s Youth To Work For A Peaceful And Honest Future
Africa

Pope Urges Congo’s Youth To Work For A Peaceful And Honest Future

February 2, 2023
Top EU Officials Arrive In Kyiv
Europe

Top EU Officials Arrive In Kyiv

February 2, 2023
Australia To Remove British Monarchy From Its Bank Notes
Asia

Australia To Remove British Monarchy From Its Bank Notes

February 2, 2023
US, Philippines Agree On Larger American Military Presence
Asia

US, Philippines Agree On Larger American Military Presence

February 2, 2023
Spanish Prime Minister Heads To Morocco
Europe

Spanish Prime Minister Heads To Morocco

February 1, 2023

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Previous Post

Chelsea Tayui to represent Ghana at Miss Universe International

Next Post

I’ll sanction chiefs involved in galamsey- Asantehene

Sign up for The Vaultz analytic wire

Get weekly news analysis from top editors at The Vaultz and stay informed on trending economic and business issues from across the globe.
Putin Commemorates Battle Of Stalingrad
Europe

Putin Commemorates Battle Of Stalingrad

by Comfort AmpomaaFebruary 2, 2023
Bryan Adams, Crafting Albums Amid Grammy Award Nomination
Entertainment

Bryan Adams, Crafting Albums Amid Grammy Award Nomination

by Esther Korantemaa OffeiFebruary 2, 2023
Shadrach Arloo’s Death: CCTV Camera At Westhills Mall Confirms He Was Confronted By Police
General News

Shadrach Arloo’s Death: CCTV Camera At Westhills Mall Confirms He Was Confronted By Police

by Emmanuel SarpongFebruary 2, 2023
Bugatti Sells Its Last Purely Gas-Powered Car for World Car Auction Record
Wheels

Bugatti Sells Its Last Purely Gas-Powered Car for World Car Auction Record

by Stephen M.CFebruary 2, 2023
Gold For Cash, Not Gold For Oil – Mr. Mercer Charges
Vaultz Business

Gold For Cash, Not Gold For Oil – Mr. Mercer

by Gifty BansahFebruary 2, 2023
AfDB Trains Its Regional Member Countries On Strategic And Operational Application Of Fragility Lens
Banking

AfDB Trains Its Regional Member Countries On Strategic And Operational Application Of Fragility Lens

by Priscilla Dziedzorm FiakpornuFebruary 2, 2023
Putin Commemorates Battle Of Stalingrad
Bryan Adams, Crafting Albums Amid Grammy Award Nomination
Shadrach Arloo’s Death: CCTV Camera At Westhills Mall Confirms He Was Confronted By Police
Bugatti Sells Its Last Purely Gas-Powered Car for World Car Auction Record
Gold For Cash, Not Gold For Oil – Mr. Mercer Charges
AfDB Trains Its Regional Member Countries On Strategic And Operational Application Of Fragility Lens
Snow
FIND OUT MORE

The Vaultz News

Copyright © 2021 The Vaultz News. All rights reserved.

Navigate Site

  • About
  • Advertise
  • Privacy Policy
  • Contact

Follow Us

No Result
View All Result
  • Top Stories
  • News
    • General News
    • Education
    • Health
    • Opinions
  • Economics
    • Economy
    • Finance
      • Banking
      • Insurance
      • Pension
    • Securities/Markets
  • Business
    • Agribusiness
    • Vaultz Business
    • Extractives/Energy
    • Real Estate
  • World
    • Africa
    • America
    • Europe
    • UK
    • USA
    • Asia
    • Around the Globe
  • Innovation
    • Technology
    • Wheels
  • Entertainment
  • 20MOBPL2D
  • Jobs & Scholarships
    • Job Vacancies
    • Scholarships

Copyright © 2021 The Vaultz News. All rights reserved.

Welcome Back!

Login to your account below

Forgotten Password?

Retrieve your password

Please enter your username or email address to reset your password.

Log In