1887

Realizing the Development Potential of Diasporas

image of Realizing the Development Potential of Diasporas
In this book, international experts including academics, policymakers, private sector practitioners, and representatives of diaspora communities further our understanding of how the growing population of expatriates from the developing world can be effectively leveraged to promote development in their homelands. The contributors cover issues relating to diaspora diversity and its impact on development, the potential of expatriates to further entrepreneurship and business development in their homelands, the effectiveness of remittances in furthering inclusive development, and policies to better engage diasporas as drivers of development. Their analyses are supported by examples and case studies focusing on the experiences of specific diaspora networks, home country institutions promoting diaspora engagement, migrant entrepreneurs, and financial institutions facilitating remittances.

English

.

Citibank’s experience serving the unbanked and under-banked through retail remittance services

Remittances represent an important link between migrants and their communities at home, by providing beneficiaries in many countries a regular and dependable flow of financial support. Of remittances sent through formal channels, the majority are sent through money transfer operators (MTOs) such as Western Union, MoneyGram or post offices, and a smaller part through banks. Banks have now entered the remittance market, but only about 5 per cent of remittances were sent through this channel in 2004 (GAO 2005), though the percentage may now be higher. However, banks are additional channels for migrants to send and receive remittances and can help promote the development impact of these funds by increasing access to more financial products and financial literacy. Given the growing and significant volume of remittances (despite some decline because of the global economic recession), banks have an opportunity to offer more choices for remittance customers and to gain a larger share of the market, reduce transaction costs and further link diasporas with development.

English

This is a required field
Please enter a valid email address
Approval was a Success
Invalid data
An Error Occurred
Approval was partially successful, following selected items could not be processed due to error