Contribution of Remit Economy on Poverty Reduction in Nepal
Humanities and Social Sciences
Volume 8, Issue 5, September 2020, Pages: 133-144
Received: Jun. 15, 2020; Accepted: Jul. 2, 2020; Published: Aug. 31, 2020
Views 37      Downloads 35
Author
Uttam Khanal, Department of Social Science and Education, Tribhuvan University, Kathmandu, Nepal
Article Tools
Follow on us
Abstract
The contribution of remit economy and Poverty reduction in Nepal has analysis in this paper and how remittance income is contributing poverty reduction for employment generation. It is considered as the major component which has direct and indirect impact on macro-economic indicators and tried to explore the possibilities of utilizing remittances in the economic development of the country. When the remittance has increase on a family they have household facility with reflects the socio-economic differences. Such as, Land ownership, occupations incomes and expenditures are determinants for economic growth. Health related activities, educational status and sanitation are taken as human development indicator and information acquiring capacity, increase in awareness about the basic rights and participation in human development program as the basic indicators for empowerment and social inclusion. Productive utilization of remittances would be necessary for reducing poverty. It carried out discussed only poverty alleviation in relation to the economic growth. There is no doubt that remittance provides reliable source of foreign exchange. It could lead to stable macro-economic indicators and enhances living standard at the household level. Only addressing poverty relating remittances with standard of living would not satisfy the sustainability and economic growth but on the sustainability aspect at both national level and households' level is very scanty. Social impacts of migration, both positive and negative are lacking. The contribution of remit economy has increase of income and the trade deficit and naturally contributes to the Balance of Payments. It also helps to making trade balance and contributed in the development efforts on an average income, expenditure and the capital formation.
Keywords
Remittance, Remit Economy, Poverty Reduction, Gross Domestic Product, Employment
To cite this article
Uttam Khanal, Contribution of Remit Economy on Poverty Reduction in Nepal, Humanities and Social Sciences. Vol. 8, No. 5, 2020, pp. 133-144. doi: 10.11648/j.hss.20200805.11
Copyright
Copyright © 2020 Authors retain the copyright of this article.
This article is an open access article distributed under the Creative Commons Attribution License (http://creativecommons.org/licenses/by/4.0/) which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited.
References
[1]
GFR. (2013). Impact of remittance income on poverty reduction, Report of Nepal Rastra Bank.
[2]
Bank. (2008). A study on remittance income from India. Research Department, Nepal Rastra Bank.
[3]
Khatri, S. K. (2007). Labor migration, employment and poverty alleviation in South Asia, presented in the Proceedings of the Regional Seminar.
[4]
Nepal Rastra Bank (2011). Quarterly Economic Bulletin, Vol. 45, No. 1 and 2 Mid January 2011: Nepal Rastra Bank, Kathmandu; Also available in the http://www.nrb.org.np
[5]
Bhattarai, P. C. (2012), Remittances ko hisabkitab matrai nakhojaun, Kantiput Daily year 20, issue 221, page 7, Sept. 26, 2012.
[6]
Zhu, Y. (2006). Migration and the development of source areas: Evidence from China. Chapter 11- in how migration can benefit development.
[7]
Mausuri, G. (2007). Does work migration spur investment in origin communities? Entrepreneurship, schooling, and child health in rural Pakistan. Chapter 3, International Migration, Economic Development and Policy edited by Caglar Özden, Maurice Schiff.
[8]
Massey, D. S., Parrado, E. (1994), Migra dollars: The remittances and savings of Mexican Migrants to the United States. Population research and policy review, 13: 3-30.
[9]
Hasan, R. Al. (2006). Harnessing remittances for economic development of Bangladesh, International Network of Alternative Financial Institutions Bangladesh Working Paper Series, and no 1.
[10]
Vries S. D. (2011). Mobilizing the use of remittances towards poverty reduction and economic and social development through government initiatives: The Philippine experience, Expert Meeting on Maximizing the Development Impact of Remittance, Geneva, 14-15 February 2011.
[11]
Vanwey, L. K. (2005). Land ownership as a determinant of international and internal migration in Mexico and internal migration in Thailand. International Migration Review, 39 (1), pp. 141-172.
[12]
Jokisch, B. D. (2002). Migration and agricultural change: The case of smallholder agriculture in Highland Ecuador. Human Ecology, 30 (4), pp. 523-550.
[13]
Nepal Rastra Bank. (2012). Quarterly Economic Bulletin, Vol. 47, No. 1 Mid October 2012: Nepal Rastra Bank, Kathmandu; Also available in the http://www.nrb.org.np 281.
[14]
Syed Tehseen, J. & Syed Ali Raza. (2012). Workers’ remittances and economic growth in China and Korea: An empirical analysis, Journal of Chinese Economic and Foreign Trade Studies, Vol. 5 Issue: 3.
[15]
Mbutor, O. Mbutor. (2010). Can monetary policy enhance remittances for economic growth in Africa? The case of Nigeria, Research Department.
[16]
Ratha, D. & Mohapatra S. (2007). Increasing the macroeconomic impact of remittances on development. Development Prospects Group, the World Bank, 2007.
[17]
World Bank. (2013). End poverty South Asia. The World Bank, Also Available in the blogs. World Bank .org/end poverty south Asia.
[18]
Shrestha, B. (2008). Contribution of foreign employment and remittances to Nepalese economy. Research Division, Nepal Rastra Bank.
[19]
Subedi, M. K. (2010). The impact of migrant remittances on income distribution and welfare in Nepal, Four-Monthly Statistical Bulletin, Year-32, Vol. 99 No 1, Central Bureau of Statistics, 2010.
[20]
Kalim, R. & Mohammad, S. (2009). Remittances and poverty nexus: Evidence from Pakistan, International Research Journal of Finance and Economics, Euro Journals Publishing, Inc. 2009, Also available in the http://www.eurojournals.com/finance.htm
[21]
Lokshin, M., Mikhail, & Elena. (2007). Work-related migration and poverty reduction in Nepal, World Bank Policy Research Working Paper 4231, May 2007.
[22]
World Bank. (2006). Remittances and economic development in Somalia. The World Bank, Social Development Paper No.
[23]
World Bank. (2012). Bangladesh: Towards accelerated, inclusive and sustainable growth opportunities and challenges, Chapter 2: The Economics of Labor Migration and Remittances in Bangladesh.
[24]
International Labor Organization. (2004). an overview paper on overseas employment in Nepal. Kathmandu. 2004.
[25]
Nepal Rastra Bank. (2013). Impact evaluation of remittances: A case study of Dhanusha district, Banking Development and Research Unit, Janakpur, 2012.
ADDRESS
Science Publishing Group
1 Rockefeller Plaza,
10th and 11th Floors,
New York, NY 10020
U.S.A.
Tel: (001)347-983-5186