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Caribbean – Remittances Slowed in 2023 Says World Bank

NEW YORK CARIB NEWS — “The resilience of remittances underscores their importance for millions of people,” said Dilip Ratha, lead economist and lead author of the report. “Leveraging remittances for financial inclusion and capital market access can enhance the development prospects of recipient countries. The World Bank aims to reduce remittance costs and facilitate formal flows by mitigating political and commercial risks to promote private investment in this sector.”
The post Caribbean – Remittances Slowed in 2023 Says World Bank first appeared on BlackPressUSA.

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New York Carib News

Washington, DC – After a period of strong growth during 2021-2022, officially recorded remittance flows to low- and middle-income countries (LMICs) moderated in 2023, reaching an estimated $656 billion, according to the World Bank’s latest Migration and Development Brief.

The modest 0.7% growth rate reflects large variances in regional growth, but remittances remained a crucial source of external finance for developing countries in 2023, bolstering the current accounts of several countries grappling with food insecurity and debt issues. In 2023, remittances surpassed foreign direct investment (FDI) and official development assistance (ODA).

Looking ahead, remittances to LMICs are expected to grow at a faster rate of 2.3% in 2024, although this growth will be uneven across regions. Potential downside risks to these projections include weaker than expected economic growth in high-income migrant-hosting countries and volatility in oil prices and currency exchange rates.

“Migration and resulting remittances are essential drivers of economic and human development,” said Iffath Sharif, Global Director of the Social Protection and Jobs Global Practice at the World Bank. “Many countries are interested in managed migration in the face of global demographic imbalances and labor deficits on the one hand, and high levels of unemployment and skill gaps on the other. We are working on partnerships between countries sending and receiving migrants to facilitate training, especially for youth, to get the skills needed for better jobs and income at home and in destination countries.”

In 2023, remittance flows increased most to Latin America and the Caribbean (7.7%), followed by South Asia (5.2%), and East Asia and Pacific (4.8%, excluding China). Sub-Saharan Africa saw a slight decline of 0.3%, while the Middle East and North Africa experienced a nearly 15% drop, and Europe and Central Asia saw a 10.3% fall.

“The resilience of remittances underscores their importance for millions of people,” said Dilip Ratha, lead economist and lead author of the report. “Leveraging remittances for financial inclusion and capital market access can enhance the development prospects of recipient countries. The World Bank aims to reduce remittance costs and facilitate formal flows by mitigating political and commercial risks to promote private investment in this sector.”

Sending remittances remains too costly. In the fourth quarter of 2023, the global average cost of sending $200 was 6.4% of the amount being sent, slightly up from 6.2% a year earlier and well above the SDG target of 3%. Digital remittances had a lower cost of 5%, compared with 7% for non-digital methods, highlighting the benefits of technological advancements in reducing the financial burden on migrants.

With remittances growing in importance, accurate data collection is essential to support the UN Sustainable Development Goals on reducing costs and increasing volume. However, statistical data remain inconsistent and incomplete. The global gap between inward and outward remittance flows has widened, with informal channels being a major factor, such as migrants carrying cash by hand when they return home. The International Working Group to Improve Data on Remittance Flows (RemitStat) will release a report later this year with recommendations for improving data.

Regional Remittance Trends

Remittances to East Asia and Pacific, excluding China, grew by 4.8% to $85 billion in 2023. Remittances are crucial for Pacific Island economies like Palau, Samoa, Tonga, and Vanuatu. Notably, Tonga was the most dependent globally, with remittances amounting to 41% as a share of GDP. Excluding China, remittance flows to the region are projected to grow by 3.2% in 2024. The cost of sending $200 to the region averaged 5.8% in late 2023, with costs as high as 17.1% in the most expensive corridor.

Remittances to Europe and Central Asia fell by 10.3% to $71 billion in 2023. The decline was driven by reduced transfers from Russia to many Central Asian countries. Additionally, the Russian invasion of Ukraine contributed to weaker-than-expected remittances to Ukraine and Russia. Remittance flows to the region are projected to decline by 1.9% in 2024. The cost of sending $200 to the region (excluding Russia) averaged 6.7%, up from 6.4% a year before.

In Latin America and the Caribbean, remittance growth slowed to 7.7% in 2023, reaching $156 billion, supported by a strong U.S. labor market. Mexico received $66.2 billion, a 7.8% increase, maintaining its position as the top recipient in the region. Growth varied widely, from a 44.5% increase in Nicaragua to a 13.4% decline in Argentina. Flows are expected to grow by 2.7% in 2024. The cost of sending $200 averaged 5.9%, largely unchanged from the previous year.

Remittances to the Middle East and North Africa fell by 15% to $55 billion in 2023, primarily due to a sharp decrease in flows to Egypt. The divergence between official and parallel foreign exchange rates likely diverted remittances to unofficial channels. Official remittance flows to Egypt are reported to have rebounded once the exchange rates were unified in March 2024. Remittance flows among countries in the region were impacted by slower growth in the GCC countries. Flows are projected to recover by 4.3% in 2024. The cost of sending $200 to the region averaged 5.9%, down from 6.7% a year before.

Remittances to South Asia grew by 5.2% in 2023, reaching $186 billion, tapering off from a 12% increase in 2022. Growth was driven by India, which saw a 7.5% increase to $120 billion, supported by strong labor markets in the United States and Europe. Reduced outflows from the GCC countries, impacted by declining oil prices and production cuts, contributed to the slowdown. Flows are projected to grow by 4.2% in 2024. The cost of sending $200 to the region averaged 5.8%, up from 4.2% a year before.

Remittance flows to Sub-Saharan Africa reached $54 billion in 2023, a slight decrease of 0.3%. Remittances supported the current accounts of several African countries that were dealing with food insecurity, drought, supply chain disruptions, floods, and debt-servicing difficulties. Countries heavily dependent on remittances include the Gambia, Lesotho, Comoros, Liberia, and Cabo Verde. Flows are projected to grow by 1.5% in 2024. Sending $200 to the region cost an average of 7.9%, almost unchanged from a year before. (World Bank)

The post Caribbean – Remittances Slowed in 2023 Says World Bank first appeared on BlackPressUSA.

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#NNPA BlackPress

Chavis and Bryant Lead Charge as Target Boycott Grows

BLACKPRESSUSA NEWSWIRE — Surrounded by civil rights leaders, economists, educators, and activists, Bryant declared the Black community’s power to hold corporations accountable for broken promises.

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By Stacy M. Brown
BlackPressUSA.com Senior National Correspondent

Calling for continued economic action and community solidarity, Dr. Jamal H. Bryant launched the second phase of the national boycott against retail giant Target this week at New Birth Missionary Baptist Church in Atlanta. Surrounded by civil rights leaders, economists, educators, and activists, Bryant declared the Black community’s power to hold corporations accountable for broken promises. “They said they were going to invest in Black communities. They said it — not us,” Bryant told the packed sanctuary. “Now they want to break those promises quietly. That ends tonight.” The town hall marked the conclusion of Bryant’s 40-day “Target fast,” initiated on March 3 after Target pulled back its Diversity, Equity, and Inclusion (DEI) commitments. Among those was a public pledge to spend $2 billion with Black-owned businesses by 2025—a pledge Bryant said was made voluntarily in the wake of George Floyd’s murder in 2020.“No company would dare do to the Jewish or Asian communities what they’ve done to us,” Bryant said. “They think they can get away with it. But not this time.”

The evening featured voices from national movements, including civil rights icon and National Newspaper Publishers Association (NNPA) President & CEO Dr. Benjamin F. Chavis Jr., who reinforced the need for sustained consciousness and collective media engagement. The NNPA is the trade association of the 250 African American newspapers and media companies known as The Black Press of America. “On the front page of all of our papers this week will be the announcement that the boycott continues all over the United States,” said Chavis. “I would hope that everyone would subscribe to a Black newspaper, a Black-owned newspaper, subscribe to an economic development program — because the consciousness that we need has to be constantly fed.” Chavis warned against the bombardment of negativity and urged the community to stay engaged beyond single events. “You can come to an event and get that consciousness and then lose it tomorrow,” he said. “We’re bombarded with all of the disgust and hopelessness. But I believe that starting tonight, going forward, we should be more conscious about how we help one another.”

He added, “We can attain and gain a lot more ground even during this period if we turn to each other rather than turning on each other.” Other speakers included Tamika Mallory, Dr. David Johns, Dr. Rashad Richey, educator Dr. Karri Bryant, and U.S. Black Chambers President Ron Busby. Each speaker echoed Bryant’s demand that economic protests be paired with reinvestment in Black businesses and communities. “We are the moral consciousness of this country,” Bryant said. “When we move, the whole nation moves.” Sixteen-year-old William Moore Jr., the youngest attendee, captured the crowd with a challenge to reach younger generations through social media and direct engagement. “If we want to grow this movement, we have to push this narrative in a way that connects,” he said.

Dr. Johns stressed reclaiming cultural identity and resisting systems designed to keep communities uninformed and divided. “We don’t need validation from corporations. We need to teach our children who they are and support each other with love,” he said. Busby directed attendees to platforms like ByBlack.us, a digital directory of over 150,000 Black-owned businesses, encouraging them to shift their dollars from corporations like Target to Black enterprises. Bryant closed by urging the audience to register at targetfast.org, which will soon be renamed to reflect the expanding boycott movement. “They played on our sympathies in 2020. But now we know better,” Bryant said. “And now, we move.”

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The Department of Education is Collecting Delinquent Student Loan Debt

BLACKPRESSUSA NEWSWIRE — the Department of Education will withhold money from tax refunds and Social Security benefits, garnish federal employee wages, and withhold federal pensions from people who have defaulted on their student loan debt.

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By April Ryan

Trump Targets Wages for Forgiven Student Debt

The Department of Education, which the Trump administration is working to abolish, will now serve as the collection agency for delinquent student loan debt for 5.3 million people who the administration says are delinquent and owe at least a year’s worth of student loan payments. “It is a liability to taxpayers,” says White House Press Secretary Karoline Leavitt at Tuesday’s White House Press briefing. She also emphasized the student loan federal government portfolio is “worth nearly $1.6 trillion.” The Trump administration says borrowers must repay their loans, and those in “default will face involuntary collections.” Next month, the Department of Education will withhold money from tax refunds and Social Security benefits, garnish federal employee wages, and withhold federal pensions from people who have defaulted on their student loan debt. Leavitt says “we can not “kick the can down the road” any longer.”

Much of this delinquent debt is said to have resulted from the grace period the Biden administration gave for student loan repayment. The grace period initially was set for 12 months but extended into three years, ending September 30, 2024. The Trump administration will begin collecting the delinquent payments starting May 5. Dr. Walter M. Kimbrough, president of Talladega College, told Black Press USA, “We can have that conversation about people paying their loans as long as we talk about the broader income inequality. Put everything on the table, put it on the table, and we can have a conversation.” Kimbrough asserts, “The big picture is that Black people have a fraction of wealth of white so you’re… already starting with a gap and then when you look at higher education, for example, no one talks about Black G.I.’s that didn’t get the G.I. Bill. A lot of people go to school and build wealth for their family…Black people have a fraction of wealth, so you already start with a wide gap.”

According to the Education Data Initiative, https://educationdata.org/average-time-to-repay-student-loans It takes the average borrower 20 years to pay their student loan debt. It also highlights how some professional graduates take over 45 years to repay student loans. A high-profile example of the timeline of student loan repayment is the former president and former First Lady Barack and Michelle Obama, who paid off their student loans by 2005 while in their 40s. On a related note, then-president Joe Biden spent much time haggling with progressives and Democratic leaders like Senators Elizabeth Warren and Chuck Schumer on Capitol Hill about whether and how student loan forgiveness would even happen.

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VIDEO: The Rev. Dr. Benjamin F. Chavis, Jr. at United Nations Permanent Forum on People of African Descent

https://youtu.be/Uy_BMKVtRVQ Excellencies:       With all protocol noted and respected, I am speaking today on behalf of the Black Press of America and on behalf of the Press of People of African Descent throughout the world.  I thank the Proctor Conference that helped to ensure our presence here at the Fourth Session of the […]

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Excellencies:

      With all protocol noted and respected, I am speaking today on behalf of the Black Press of America and on behalf of the Press of People of African Descent throughout the world.  I thank the Proctor Conference that helped to ensure our presence here at the Fourth Session of the UN Permanent Forum on People of African Descent.
      The focus on AI and digital equity is urgent within the real time realities today where there continues to be what is referred to as the so called mainstream national and international media companies that systematically undergird racism and imperialism against the interests of People of African Descent.
         We therefore call on this distinguished gathering of leaders and experts to challenge member states to cite and to prevent the institutionalization of racism in all forms of media including social media, AI and any form of digital bias and algorithmic discrimination.
            We cannot trust nor entertains the notion that  former and contemporary enslavers will now use AI and digital transformation to respect our humanity and fundamental rights.
              Lastly we recommend that a priority should be given to the convening of an international collective of multimedia organizations  and digital associations that are owned and developed by Africans and People of African Descent.
Basta the crimes against our humanity!
Basta Racism!
Basta Imperialism!
A Luta Continua!
Victory is certain!
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