Migrant Workers Remittance and Economic Growth: Evidence from Bangladesh

  • Md Shoaib Ahmed
  • Published 2013

Abstract

Migrant workers’ remittances constitute one of the most significant sources of external finance for many developing countries. Although it reveals an abating trend in recent years, Bangladesh met with regular and enormous labor migration to overseas from 1960s and it is still one of the most remittance gaining countries among the developing ones in Asia. Empirical studies conducted in different countries reveal that workers’ remittances may have rising, declining or neutral effect on economic growth. In this study, it is examined whether workers’ remittances have growth impact on Bangladesh economy, by using data pertaining to 1995-2006 period. The time series regression results demonstrate that remittance flows to Bangladesh have been statistically significant but have negative impact on growth. On the other hand, exports and domestic investments positively affect the economic growth, while foreign direct investment has no consequential effect.

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Cite this paper

@inproceedings{Ahmed2013MigrantWR, title={Migrant Workers Remittance and Economic Growth: Evidence from Bangladesh}, author={Md Shoaib Ahmed}, year={2013} }