RemittancesGateway.org

Source: Poder 360

Banco Central reported that remittances from Ecuadoran migrants sent back to the country shrank 11.6% in 2009

According to a report by Banco Central, remittances Ecuadorans send their families in the country totalled $2,495 million in 2009, compared with $2,822 million in 2008, representing an 11.6% decrease. The central bank specified that "it's the first time that remittances shrank in relation to a previous year since we've begun analyzing their flow in 2000. Up till 2009, the average annual growth was 17%, although it began slowing in 2006, dropping considerably beginning in 2008 when the world economic crisis affected the employment levels and the incomes of migrants in countries such as the U.S., Spain and Japan."

Source: The Kathmandu Post

Nepal is unlikely to see the robust growth from remittances in the near future. This has been revealed by the International Monetary Fund (IMF)'s Consultation Mission on Sunday. The IMF's Mission has also suggested the government to make policy changes in view of slowdown in remittances. "The remittance growth is expected to slow down and the economy will need to adapt," states IMF's Mission's report on 'Remittances in Nepal and South Asia'. "The government should focus on policies for domestic growth," said Laura Papi, Mission chief. "It should give more attention to structural issues like power, labour relation and infrastructure."

The Mission's report shows remittance growth in Nepal will hover at just over 10 percent in the next two fiscal years. Nepal had registered robust growth in remittance inflow in the last two fiscal years.