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Middle East and North Africa

Remittances to developing countries decline for an unprecedented 2nd year in a row

Dilip Ratha's picture
We just launched the latest edition of the Migration and Development Brief and an accompanying Press Release.
 
Remittances to developing countries decreased by 2.4 percent to an estimated $429 billion in 2016. This is the second consecutive year that remittances have declined. Such a trend has not been seen in the last 30 years. Even during the global financial crisis, remittances contracted only during 2009, bouncing back in the following year.

Trends in Remittances, 2016: A New Normal of Slow Growth

Dilip Ratha's picture
Against a backdrop of tepid global growth, remittance flows to low and middle income countries (LMICs) seem to have entered a “new normal” of slow growth. In 2016, remittance flows to LMICs are projected to reach $442 billion, marking an increase of 0.8 percent over 2015 (figure 1 and table 1). The modest recovery in 2016 is largely driven by the increase in remittance flows to Latin America and the Caribbean on the back of a stronger economy in the United States; by contrast remittance flows to all other developing regions either declined or recorded a deceleration in growth.  

Refugee stories from Idomeni and Europe’s baffled response

Georgia-Christina Kosmidou's picture
A newborn baby receives its first shower with cold bottled water, outside the tent where it was delivered, in the make-shift tent city of Idomeni, Greece. At the same time, two patients diagnosed with Hepatitis A, one of them a 9-year old Syrian girl, are removed from the camp in order to be hospitalized.

Reaping the blessing of migration in MENA: Mobilizing diaspora resources for private sector development

Sherif Maher Hassan's picture

MENA has always had low private investment both domestic and foreign. However, the political and economic unrests post the ‘Arab Spring’ raised the necessity of a dynamic and growing private sector than ever before. The dominant economic role of the public sector in MENA cannot endure, especially with the escalating unemployment rates, budget deficits, heavy dependence on food and manufactured imports, vulnerability to oil and foreign currency swings besides the challenging social and political environments.

I am a migrant

Jim Yong Kim's picture

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​In 1964, I came to the United States from South Korea, then an extremely poor developing country that most experts, including those at the World Bank, had written off as having little hope for economic growth.

My family moved to Texas, and later to Iowa. I was just 5 years old when we arrived, and my brother, sister, and I spoke no English. Most of our neighbors and classmates had never seen an Asian before. I felt like a resident alien in every sense of the term.

Will nationalization policies in Saudi Arabia impact migrants and remittance flows?

Kirsten Schuettler's picture

Saudi Arabia hosts the largest number of migrants in the Gulf region. The country is the second largest remittance sender after the USA. A new Saudization program since 2011, the so-called “Nitaqat program”, seeks to increase the number of Saudi nationals employed in the private sector. Will this have an impact on migrants and remittance outflows from Saudi Arabia? 

Climate induced migration in MENA

Andrea Liverani's picture

The rise of early Nile basin civilizations can be traced back to one of the most significant climatic changes of the last 11,000 years, a period of protracted hyperaridity that led not only to North Africa’s deserts we know today, but also to a multi-generational exodus depicted in much Saharan rupestrian art.

Implications of “Nitaqat”, Saudi Arabia's Indigenization Program, Likely to be Modest for Migrants

Sanket Mohapatra's picture

Saudi Arabia's recent indigenization effort titled "Nitaqat" came into effect on September 10. Saudi firms have been color coded to four categories - Red, Yellow and Green, and Blue/VIP.  Firms labeled "Red" will not be able to renew their foreign workers' visas and have until November 26 2011 to improve their status by hiring more Saudi natives.  "Yellow" firms have until February 23 2012 to improve their status and will not be allowed to extend their existing foreign employees' work visas beyond six years.  "Green” or “Excellent” firms with high Saudization rates will be allowed to offer jobs to foreign workers that are employed by firms in the Red and Yellow categories and transfer their visas. And firms in the highest “VIP” category will enjoy the ability to hire workers from any part of the world using a web-based system with minimal clearance.

Can the Diaspora contribute to the creation of jobs in the Middle East and North Africa?

Sonia Plaza's picture

Recent attention has shifted from analyzing the impact of skilled migration on sending country labor markets to a broader agenda that also considers the channels by which diasporas promotes trade, investment, innovation and technological acquisition. Several developed and developing countries are increasing their ties with their Diasporas to take advantage of these transfers beyond remittances. It will be important to assess what could be the potential of strengthening the linkages with their Diasporas for countries in the Middle East and North Africa. Can these countries tap into their Diasporas as a source and facilitator of innovation, research, technology transfer, trade, investment and skills development?

Nolland and Pack (2007) have analyzed whether Arab-communities in North America and Europe can play a similar role as countries in Asia (China, India, South Korea and Taiwan, China) in revitalizing the Middle East. The authors also indicated that “given the limited extent of manufacturing activity in the Middle East and the lack of equivalents to the Indian Institutes of Technology, it would make difficult to benefit from this option.”

Qatar's winning World Cup bid is a win for migrants

Dilip Ratha's picture

I was in Dubai last week when the news broke about Qatar's World Cup bid. Qatar winning the vote to host World Cup in 2022 will produce significant increases in migration flows from, and remittance flows to, South Asia, East Asia and East and North Africa.
 
Qatar employs just short of 1.5 million migrant workers currently. It is the largest host country for migrants in the world: the share of migrants in the population exceeds 85%, for every adult Qatari national, there are 10+ migrant workers (see Factbook, my earlier blog post). Although it does not report data on remittances to the IMF, newspapers quoting Qatar Central Bank reported outward remittances approaching $7 billion in 2010. The sheer increase in the demand for workers for constructing stadiums and developing infrastructure is expected to result in huge migration flows from South Asia, but also from East Asia (the Philippines, but also China). Outward remittances will rise more than proportionately, first because wages will rise, and second, because the authorities will provide greater scrutiny to recruitment practices and working conditions for migrant workers.

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