Due to deadly Coronavirus pandemic, Globally Remittance is projected to decline sharply by about 20 per cent this year globally due to current economic crisis. As per the World Bank report 2020, remittance in India is likely to see a drop of 23 per cent from $83 billion last year to $64 billion this year.
The projected fall is the sharpest decline in history, due to fall in the wages and employment of migrant workers, who tends to be more vulnerable to loss of employment and wages during an economic crisis
David Malpass, The President of World Bank said remittances are a “vital source of income” for developing countries.
“ The ongoing economic recession caused by Covid-19 is taking a severe toll on the ability to send money home and make it all the more vital that we shorten the time to recovery for advanced economies,’’ he said
Remittance flows are expected to fall across all World Bank Group regions, most notably in Europe and Central Asia (27.5 per cent), followed by Sub-Saharan Africa (23.1 per cent), South Asia (22.1 per cent), the Middle East and North Africa (19.6 per cent), Latin America and the Caribbean (19.3 per cent), and East Asia and the Pacific (13 per cent).
The projected decline is about 23 per cent in Pakistan, totalling about 17billion USD compared to total USD of 22.5 billion last year, when remittances grew by 6.2 per cent. Bangladesh remittance is projected at 14 billion USD this year a likely fall of about 22 per cent. Nepal and Sri Lanka remittance are expected to decline by 14 per cent and 19 per cent, respectively, this year.
2,638,020 people are infected so far due to deadly Coronavirus and claimed more than 184,230 lives across the globe.
-Davinder singh, NMTV News