Remittances and sustainable livelihoods in semi-arid areas

Can migrant remittances be a viable and sustainable livelihood solution for households in semi-arid areas? The present study attempts to examine the impact and potential of remittances from rural migrants in providing a viable livelihood diversification and investment option in rural areas. Focusing on the migration pattern in selected villages of semi-arid and drought prone districts of Andhra Pradesh, India, the paper argues that remittances do provide a scope for accumulation of wealth and asset creation for households in addition to providing basic consumption needs. If this wealth is to become a viable sustainable private investment option in rural areas there is a need to address some policy, institutional factors and other dynamics whereby the remittances become more a productive instrument; instead of just a means for reducing household poverty.