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Impact of Remittances on Poverty and Financial Development in Sub-Saharan Africa, Sanjeev Gupta, Catherine Pattillo, Smita Wagh

This paper assesses the impact of the steadily growing remittance flows to sub-Saharan Africa (SSA). Though the region receives only a small portion of the total recorded remittances to developing countries, and the volume of aid flows to SSA swamps remittances, this paper finds that remittances, which are a stable, private transfer, have a direct poverty mitigating effect, and promote financial development. These findings hold even after factoring in the reverse causality between remittances, poverty and financial development. The paper posits that formalizing such flows can serve as an effective access point for "unbanked" individuals and households, and that the effective use of such flows can mitigate the costs of skilled out-migration in SSA
Table Of Contents
Contents; I. Introduction; II. Remittances to Sub-Saharan Africa; A. Recent Trends; Figures; 1. Top Ten Recipients of Remittances in Sub-Saharan Africa; 2. Inflows to SSA Countries; B. Characteristics of Remittances to SSA; 3. Volatility and Cyclicality of Flows to Sub-Saharan Africa; C. Remittances and Brain Drain; Tables; 1. Expatriation Rates: Top Ten Countries; 4. Regional Expatriation to OECD Countries; III. Impact of Remittances; A. Direct Income and Consumption Effect of Remittances; B. Impact on Financial Development; 2. Three-Stage Least Squares Estimation
Literary Form
non fiction
Description based upon print version of record
Physical Description
1 online resource (45 p.)
Specific Material Designation
Form Of Item

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