Remittances as a development tool: The great new hope for developing countries or a case of modern day slavery?

by Giovanni Balslev Olesen

Institution: Roskilde University
Year: 2015
Keywords: Remittances; Labor migration; Nepal; Foreign workers
Record ID: 1120808
Full text PDF: http://rudar.ruc.dk/handle/1800/18775


Over 50% of all households in Nepal have a member who either are currently, or have been, employed abroad. In 2013 these labor migrants and the subsequent remittances, the money they earn abroad and send back to their households, accounted for 28.8% of the country’s GDP and contemporary migration trends point to an ever prominent contribution in the future. Research conducted as part of this project relates the growing importance that policies have, on the effective utilization of remittances and the rights accorded to labor migrants, with the socio economic impacts as experienced by low-caste, females and others traditionally excluded by society. Findings emphasize key policies that govern the labor migration process and mention deficiencies with the system of remittances that can be regulated more efficiently. In investigating the socio economic effects the authors illustrate how foreign employment, for excluded social groups, has proven to have delivered progress and opportunity for upwards social mobility.