Visualizing Remittance Flows & GDP Impact By Country : by Tyler Durden

Visualizing Remittance Flows & GDP Impact By Country

Tyler Durden
Fri, 01/27/2023 – 23:25

​ Visualizing Remittance Flows & GDP Impact By Country

The COVID-19 pandemic slowed down the flow of global immigration by 27%.

And, as Visual Capitalist’s Richie Lionell details below, alongside it, travel restrictions, job losses, and mounting health concerns meant that many migrant workers couldn’t send money in the form of remittances back to families in their home countries.

This flow of remittances received by countries dropped by 1.5% to $711 billion globally in 2020. But over the next two years, things quickly turned back around.

As visa approvals restarted and international borders opened, so did international migration and global remittance flows.

In 2021, total global remittances were estimated at $781 billion and have further risen to $794 billion in 2022.

In these images, Richie Lionell uses the World Bank’s KNOMAD data to visualize this increasing flow of money across international borders in 176 countries.

Why Do Remittances Matter?

Remittances contribute to the economy of nations worldwide, especially low and middle-income countries (LMICs). 

They have been shown to help alleviate poverty, improve nutrition, and even increase school enrollment rates in these nations. Research has also found that these inflows of income can help recipient households become resilient, especially in the face of disasters.

At the same time, it’s worth noting that these transfers aren’t a silver bullet for recipient nations. In fact, some research shows that overreliance on remittances can cause a vicious cycle that doesn’t translate to consistent economic growth over time.

Countries Receiving the Highest Remittances

For the past 15 years, India has consistently topped the chart of the largest remittance beneficiaries.

With an estimated $100 billion in remittances received, India is said to have reached an all-time high in 2022.

This increasing flow of remittances can be partially attributed to migrant Indians switching to high-skilled jobs in high-income countries—including the U.S., the UK, and Singapore—from low-skilled and low-paying jobs in Gulf countries.

Rank
Remittance Inflows by Country
2022 (USD)
1
India

$100,000M

2
Mexico
$60,300M
3
China
$51,000M
4
Philippines
$38,000M
5
Egypt, Arab Rep.
$32,337M
6
Pakistan
$29,000M
7
France
$28,520M
8
Bangladesh
$21,000M
9
Nigeria
$20,945M
10
Vietnam
$19,000M
11
Ukraine
$18,421M
12
Guatemala
$18,112M
13
Germany
$18,000M
14
Belgium
$13,500M
15
Uzbekistan
$13,500M
16
Morocco
$11,401M
17
Romania
$11,064M
18
Dominican Republic
$9,920M
19
Indonesia
$9,700M
20
Thailand
$9,500M
21
Colombia
$9,133M
22
Italy
$9,000M
23
Nepal
$8,500M
24
Spain
$8,500M
25
Honduras
$8,284M
26
Poland
$8,000M
27
Korea, Rep.
$7,877M
28
El Salvador
$7,620M
29
Lebanon
$6,841M
30
Israel
$6,143M
31
United States
$6,097M
32
Russian Federation
$6,000M
33
Serbia
$5,400M
34
Brazil
$5,045M
35
Japan
$5,000M
36
Portugal
$4,694M
37
Ghana
$4,664M
38
Jordan
$4,646M
39
Czech Republic
$4,539M
40
Haiti
$4,532M
41
Ecuador
$4,468M
42
Georgia
$4,100M
43
Kenya
$4,091M
44
Croatia
$3,701M
45
Peru
$3,699M
46
Sri Lanka
$3,600M
47
West Bank and Gaza
$3,495M
48
Jamaica
$3,419M
49
Armenia
$3,350M
50
Tajikistan
$3,200M
51
Nicaragua
$3,126M
52
Kyrgyz Republic
$3,050M
53
Senegal
$2,711M
54
Austria
$2,700M
55
Switzerland
$2,631M
56
Sweden
$2,565M
57
United Kingdom
$2,501M
58
Hungary
$2,404M
59
Bosnia and Herzegovina
$2,400M
60
Slovak Republic
$2,300M
61
Moldova
$2,170M
62
Azerbaijan
$2,150M
63
Tunisia
$2,085M
64
Zimbabwe
$2,047M
65
Luxembourg
$2,000M
66
Netherlands
$2,000M
67
Myanmar
$1,900M
68
Algeria
$1,829M
69
Albania
$1,800M
70
Somalia
$1735M
71
Congo, Dem. Rep.
$1,664M
72
Malaysia
$1,620M
73
Kosovo
$1,600M
74
Denmark
$1,517M
75
Latvia
$1,500M
76
Bolivia
$1,403M
77
Belarus
$1,350M
78
Cambodia
$1,250M
79
Bermuda
$1,200M
80
South Sudan
$1,187M
81
Uganda
$1,131M
82
Mali
$1,094M
83
South Africa
$1,019M
84
Sudan
$1,013M
85
Argentina
$966M
86
Montenegro
$920M
87
Finland
$880M
88
Bulgaria
$850M
89
Slovenia
$800M
90
Australia
$737M
91
Madagascar
$718M
92
Turkey
$710M
93
Canada
$700M
94
Lithuania
$700M
95
Togo
$668M
96
Greece
$665M
97
Costa Rica
$654M
98
Estonia
$626M
99
Qatar
$624M
100
Iraq
$624M
101
Gambia, The
$615M
102
Tanzania
$609M
103
Norway
$600M
104
Panama
$596M
105
Burkina Faso
$589M
106
Hong Kong SAR, China
$571M
107
Paraguay
$554M
108
Mozambique
$545M
109
Niger
$534M
110
Cyprus
$527M
111
Lesotho
$527M
112
Mongolia
$500M
113
Rwanda
$469M
114
Fiji
$450M
115
North Macedonia
$450M
116
Guyana
$400M
117
Cabo Verde
$375M
118
Kazakhstan
$370M
119
Cameroon
$365M
120
Cote d’Ivoire
$360M
121
Liberia
$351M
122
Afghanistan
$350M
123
Ethiopia
$327M
124
Samoa
$280M
125
Mauritius
$279M
126
Saudi Arabia
$273M
127
Malta
$271M
128
Malawi
$267M
129
Zambia
$260M
130
Tonga
$250M
131
Comoros
$250M
132
Ireland
$249M
133
Suriname
$221M
134
Benin
$209M
135
Lao PDR
$200M
136
Timor-Leste
$185M
137
Sierra Leone
$179M
138
Guinea-Bissau
$178M
139
Trinidad and Tobago
$172M
140
Mauritania
$168M
141
Iceland
$164M
142
Eswatini
$148M
143
Belize
$142M
144
Curacao
$131M
145
Uruguay
$127M
146
Chile
$78M
147
Vanuatu
$75M
148
St. Vincent and the Grenadines
$70M
149
Grenada
$69M
150
Botswana
$56M
151
St. Lucia
$55M
152
Bhutan
$55M
153
Djibouti
$55M
154
Dominica
$52M
155
Burundi
$50M
156
Aruba
$44M
157
Namibia
$44M
158
Guinea
$41M
159
Solomon Islands
$40M
160
Oman
$39M
161
Antigua and Barbuda
$35M
162
St. Kitts and Nevis
$33M
163
Marshall Islands
$30M
164
Kuwait
$27M
165
New Zealand
$25M
166
Macao SAR, China
$17M
167
Angola
$16M
168
Kiribati
$15M
169
Cayman Islands
$14M
170
Sao Tome and Principe
$10M
171
Seychelles
$9M
172
Maldives
$5M
173
Gabon
$4M
174
Palau
$2M
175
Papua New Guinea
$2M
176
Turkmenistan
$1M
Total
World
$794,059M
Mexico and China round out the top three remittance-receiving nations, with estimated inbound transfers of $60 billion and $51 billion respectively in 2022.

Impact on National GDP

While India tops the list of countries benefitting from remittances, its $100 billion received amounts to only 2.9% of its 2022 GDP.

Meanwhile, low and middle-income countries around the world heavily rely on this source of income to boost their economies in a more substantive way. In 2022, for example, remittances accounted for over 15% of the GDP of 25 countries.

Rank
Remittance Inflows by Country
% of GDP (2022)
1
Tonga
49.9%
2
Lebanon
37.8%
3
Samoa
33.7%
4
Tajikistan
32.0%
5
Kyrgyz Republic
31.2%
6
Gambia, The
28.3%
7
Honduras
27.1%
8
South Sudan
24.8%
9
El Salvador
23.8%
10
Haiti
22.4%
11
Nepal
21.7%
12
Jamaica
21.2%
13
Lesotho
21.0%
14
Somalia
20.6%
15
Comoros
20.1%
16
Nicaragua
19.9%
17
Guatemala
19.8%
18
Armenia
18.9%
19
West Bank and Gaza
18.5%
20
Cabo Verde
18.2%
21
Kosovo
17.3%
22
Uzbekistan
17.0%
23
Georgia
16.2%
24
Moldova
15.4%
25
Montenegro
15.0%
26
Ukraine
13.8%
27
Marshall Islands
11.0%
28
Guinea-Bissau
10.9%
29
Bosnia and Herzegovina
10.1%
30
Albania
9.8%
31
Senegal
9.8%
32
Jordan
9.6%
33
Philippines
9.4%
34
Fiji
9.2%
35
Liberia
9.0%
36
Dominican Republic
8.8%
37
Dominica
8.6%
38
Serbia
8.6%
39
Togo
7.9%
40
Morocco
7.9%
41
Pakistan
7.7%
42
Vanuatu
7.6%
43
Timor-Leste
7.5%
44
Suriname
7.3%
45
St. Vincent and the Grenadines
7.3%
46
Kiribati
7.2%
47
Egypt, Arab Rep.
6.8%
48
Ghana
6.1%
49
Mali
5.9%
50
Grenada
5.8%
51
Zimbabwe
5.3%
52
Croatia
5.3%
53
Belize
5.3%
54
Sri Lanka
4.8%
55
Madagascar
4.7%
56
Vietnam
4.5%
57
Bangladesh
4.5%
58
Tunisia
4.5%
59
Cambodia
4.4%
60
Sierra Leone
4.3%
61
Mexico
4.2%
62
Nigeria
4.1%
63
Rwanda
3.8%
64
Ecuador
3.8%
65
Latvia
3.6%
66
Romania
3.6%
67
Niger
3.6%
68
Kenya
3.5%
69
Bolivia
3.2%
70
Burkina Faso
3.2%
71
Myanmar
3.1%
72
North Macedonia
3.1%
73
Mongolia
3.1%
74
Eswatini
3.1%
75
Azerbaijan
3.0%
76
Mozambique
3.0%
77
St. Kitts and Nevis
2.9%
78
India
2.8%
79
St. Lucia
2.7%
80
Guyana
2.6%
81
Colombia
2.6%
82
Congo, Dem. Rep.
2.6%
83
Solomon Islands
2.4%
84
Luxembourg
2.4%
85
Mauritius
2.4%
86
Sudan
2.3%
87
Uganda
2.3%
88
Malawi
2.3%
89
Belgium
2.2%
90
Sao Tome and Principe
2.0%
91
Afghanistan
2.0%
92
Slovak Republic
2.0%
93
Antigua and Barbuda
2.0%
94
Bhutan
2.0%
95
Cyprus
1.9%
96
Portugal
1.8%
97
Thailand
1.7%
98
Belarus
1.6%
99
Mauritania
1.6%
100
Estonia
1.6%
101
Malta
1.5%
102
Peru
1.5%
103
Czech Republic
1.5%
104
Djibouti
1.4%
105
Burundi
1.3%
106
Paraguay
1.3%
107
Hungary
1.3%
108
Slovenia
1.2%
109
Aruba
1.2%
110
Lao PDR
1.2%
111
Benin
1.1%
112
Israel
1.1%
113
Poland
1.1%
114
Lithuania
1.0%
115
France
1.0%
116
Bulgaria
0.9%
117
Algeria
0.9%
118
Zambia
0.9%
119
Costa Rica
0.9%
120
Palau
0.8%
121
Panama
0.8%
122
Cameroon
0.8%
123
Tanzania
0.7%
124
Indonesia
0.7%
125
Spain
0.6%
126
Iceland
0.5%
127
Trinidad and Tobago
0.5%
128
Austria
0.5%
129
Cote d’Ivoire
0.5%
130
Seychelles
0.4%
131
Korea, Rep.
0.4%
132
Italy
0.4%
133
Germany
0.4%
134
Sweden
0.4%
135
Denmark
0.3%
136
Malaysia
0.3%
137
Namibia
0.3%
138
Switzerland
0.3%
139
Finland
0.3%
140
Botswana
0.3%
141
Greece
0.2%
142
Ethiopia
0.2%
143
Qatar
0.2%
144
Russian Federation
0.2%
145
Brazil
0.2%
146
China
0.2%
147
South Africa
0.2%
148
Iraq
0.2%
149
Guinea
0.2%
150
Netherlands
0.2%
151
Uruguay
0.1%
152
Kazakhstan
0.1%
153
Hong Kong SAR, China
0.1%
154
Argentina
0.1%
155
Norway
0.1%
156
Japan
0.1%
157
Maldives
0.08%
158
Turkey
0.08%
159
United Kingdom
0.07%
160
Macao SAR, China
0.07%
161
Ireland
0.05%
162
Australia
0.04%
163
Oman
0.04%
164
Saudi Arabia
0.03%
165
Chile
0.02%
166
United States
0.02%
167
Gabon
0.02%
168
Kuwait
0.01%
169
Angola
0.01%
170
New Zealand
0.01%
171
Papua New Guinea
0.01%
172
Turkmenistan
0.001%
Known primarily as a tourist destination, the Polynesian country of Tonga banks on remittance inflows to support its economy. In 2022, the country’s incoming remittance flows were equal to almost 50% of its GDP.

Next on this list is Lebanon. The country received $6.8 billion in remittances in 2022, estimated to equal almost 38% of its GDP and making it a key support to the nation’s shrinking economy.

Tyler Durden
Fri, 01/27/2023 – 23:25