The High Price of Remittance

Sending money home is most expensive for those who have the least

Stagnating economies and regional conflicts have a tendency to urge workers to find opportunities abroad, at an increasing rate. With the rise of migration, the amount of remittances to developing countries have rapidly grown. The definition for remittance is: “transmittal of money (as to a distant place)”. In the case of this article, it is specifically referring to money transferred by a foreign worker to an individual in their home country.

In 2017, it was reported that there are approximately 258 million migrants globally, and this number has been growing between 2–3% per year. The United Nations reports that 64% of international migrants live in high-income countries; countries that have experienced far greater growth in migration than other countries. More than 60% of migrant populations live in Asia or Europe.

According to the World Bank remittances sent to developing countries amounted to approximately $444 billion in 2017, which grew by 3.3% from the previous year. By the end of 2018, it is expected to reach $485 billion. Staggeringly, the global remittance…