Remittances: Trends, Constraints, and Global Business Prospects
Remittances sent by migrants to their family and friends in developing countries is nearing $500 billion.The size of the global market for small-value transfers, of which migrant remittances are only a part, is significantly larger. Remittance flows have grown five-fold in the past 15 years, dwarfing official aid and, by now, also foreign direct investment flows to developing countries excluding China. Will this pace of growth continue in the medium to long term? What are the major constraints and emerging risks affecting this market? The global agenda on remittances goes well beyond retail payments to impacting people's lives in a myriad of ways. What are the innovations already taking place, and what is the untapped potential? Is there another billion-dollar business waiting to be created in this space?
Faisal Khan, CEO, Faisal Khan & Company