December 18th is International Migrants Day. According to the United Nations, in 2005 there were 191 million persons, or 3% of the world's population, residing outside of their country of origin. Some interesting facts -
- Migrants account for 1 in 10 people in developed nations, compared to 1 in 70 in developing regions.
- Where do most migrants live? Europe is first (64 million), Asia is second (53 million), and North America is third (46 million).
- Half of migrants are women.
Not surprisingly, developed nations have an overall net gain of migrants and developing nations have a net loss. Migrants typically fill labor needs in the recipient countries, many of which have stagnant or negative population growth.
In the United States, remittances, money sent to families back home, is seen by many as a drain on the economy. Contrary to this view, many studies have shown that remittances are beneficial to both countries of origin and destination. The foreign capital benefits low and middle income families and is often used for income-generating projects. The investment reduces borrowing by the country of origin.
The driving force behind this phenomenon is an estimated 150 million migrants worldwide who sent more than US$300 billion to their families in developing countries during 2006, typically US$100, US$200 or US$300 at a time, through more than 1.5 billion separate financial transactions. These funds are used primarily to meet immediate family needs (consumption) but a significant portion is also available for savings, credit mobilization and other forms of investment. In other words, the world’s largest poverty alleviation programme could also become an effective grass roots economic development programme, particularly in the rural areas that present some of the greatest challenges to financial inclusion. (IFAD)
Wealthier developed countries depend on migrant labor supplied by poorer developing countries, which in turn benefit from remittances and lessening dependence on foreign aid. The number of migrants in the world is increasing, and it is important to acknowledge their role in the global economy and to protect their Human Rights.