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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.”
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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)

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OP-ED – Reimagining America: Biden is Not the Only Way Democrats Can Win

NNPA NEWSWIRE: We need a leader who understands the struggles of everyday Americans and has the vision and stamina to lead for the next eight years. Vice President Kamala Harris embodies these qualities.
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By Rep. Ron Reynolds

After last week’s highly anticipated debate, I couldn’t shake a deep sense of unease. I watched the debate in its entirety, and I was deeply disturbed. I didn’t want to react out of frustration or emotion, so I took a night to reflect. The next day, my disappointment had not subsided. As a Biden DNC National Delegate, I firmly believe we need to make significant changes.

It’s time to replace President Biden at the convention and nominate Vice President Kamala Harris. This isn’t a cavalier statement; it’s one I stand by. I welcome debate and criticism, but my primary goal is clear: we must defeat Trump and the MAGA movement for the future of all Americans.

Recently, I have been criticized and even threatened with censure for expressing my belief that the Democratic Party might fare better against Trump with a new nominee. This perspective was formed long before recent public opinion polls supported my concerns. To be clear, I will continue to support President Biden if he remains our nominee. Nonetheless, I will persist in making good trouble, fighting, and speaking truth to power.

Democrats claim to support free speech but then criticize each other for speaking their minds. This kind of internal conflict plays right into the hands of Republicans, who benefit from our division. To truly stand united, Democrats must encourage open dialogue and respect differing opinions within our party.

Our nation faces unprecedented challenges that require fresh, dynamic leadership. To meet these challenges head-on, the Democratic Party must embrace innovation and diversity. We need a leader who understands the struggles of everyday Americans and has the vision and stamina to lead for the next eight years. Vice President Kamala Harris embodies these qualities.

The Democratic Party prides itself on being a party of inclusion, representing a broad coalition of people from all walks of life. Yet, our leadership doesn’t always reflect this diversity. It’s time for a change!

We need leaders who reflect the realities of America today and understand our unique challenges—those who can garner a wide base of supporters. Kamala Harris has a proven track record of fighting for justice and equality. She knows how to build coalitions that include people of all races, genders, and backgrounds. She can energize young voters, women, and people of color—voters crucial to our success.

Innovation is not only about who leads but also how we lead. The Democratic Party must adopt new strategies and technologies to effectively engage voters. We need to leverage social media, data analytics, and grassroots organizing to build a movement capable of countering the well-funded forces of the right. We must engage voters on the issues that matter most to them, from healthcare and education to climate change and economic inequality.

Moreover, we need leaders willing to take bold stands on critical issues. We need leaders who will fight for a living wage, affordable healthcare, and comprehensive immigration reform. Leaders who will stand up to special interests and prioritize the common good. We need leaders who will advocate for peace and stability globally, calling for ceasefires in conflict zones and working towards lasting solutions.

The Democratic Party has a proud history of innovation and progress, from FDR’s New Deal to Obama’s Affordable Care Act. It’s time to renew that legacy. We need leaders who reflect our multicultural society, embrace innovation, and fight for a brighter future, not the status quo.

America deserves better than the status quo. We need leaders who can inspire and unite us. This is our moment to infuse new energy and vision into our party and country. Let’s nominate a leader who can lead us to victory with the passion and dedication that our great nation requires. It’s time for a change, and I firmly believe Vice President Kamala Harris is the leader we need.

Disclaimer: The views and opinions expressed in this article do not necessarily reflect the official policy or position of BlackPressUSA.com or the National Newspaper Publishers Association.

 

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Celebrate America’s Birthday by Thanking Those Who Teach Our Youngest Learners

NNPA NEWSWIRE — The CDA Credential is the most widely recognized credential in early childhood education and it’s a key steppingstone on the path of career advancement in the sector. The CDA is based on a core set of competency standards that guide early childhood professionals toward becoming qualified educators of young children.
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Andrew Davis, Chief Operating Officer, Council for Professional Recognition

As we mark America’s Independence Day, I’m reflecting on the role education played in my family’s journey to this incredible country and the educators who helped make it happen. I was born in Antigua in the Caribbean, where my father’s family had lived for many generations. They coped with extreme poverty and many challenges — my grandmother was blind, for instance. Yet, from a very early age, teachers pushed my father to fulfill his potential. Their encouragement led him to attend university in Barbados and eventually earn his doctorate at the University of Sussex in England. Later, we settled in the United States, where my dad is a professor at Howard University in Washington, D.C.

Each step of the way, a mentor encouraged him to keep growing and expanding his mind. Their support not only changed his life but also paved the way for future generations of our family. I was so excited to spend time recently with about 150 students at Florida International University in Miami who completed their Child Development Associate (CDA) Credential coursework through the Professional Development Institute at the Early Learning Coalition of Miami-Dade/Monroe. Through articulation agreements with higher education institutions in Florida, these students can receive college credits toward an associate or bachelor’s degree in early childhood education.

Davis (left) met with education leaders and supporters who helped students complete their Child Development Associate (CDA) Credential coursework through the Professional Development Institute at the Early Learning Coalition of Miami-Dade/Monroe.

Davis (left) met with education leaders and supporters who helped students complete their Child Development Associate (CDA) Credential coursework through the Professional Development Institute at the Early Learning Coalition of Miami-Dade/Monroe.

The CDA Credential is the most widely recognized credential in early childhood education and it’s a key steppingstone on the path of career advancement in the sector. The CDA is based on a core set of competency standards that guide early childhood professionals toward becoming qualified educators of young children. Our nonprofit, the Council for Professional Recognition, works to ensure that the nationally transferable CDA is a credible and valid credential, recognized by the profession as a vital part of professional development. CDA educators know how to put the CDA Competency Standards into practice and have an understanding of why those standards help children move with success from one developmental stage to another. Put simply, CDA educators know how to nurture the emotional, physical, intellectual, and social development of children.

It was an honor to recognize and celebrate these scholars, who participated in 120 hours of instruction and at least 480 hours of on-the-job training. They also compiled a professional portfolio and created a center-based capstone project. At the graduation ceremony, I told these students that they should feel proud of their achievements and be empowered to become advocates for early childhood education. I emphasized the importance of cultivating resilience in the face of challenges and embracing lifelong learning. That lifelong learning can include earning additional degrees as well as serving as CDA Professional Development Specialists, who use their expertise to assess CDA candidates’ competencies and facilitate reflective conversations with candidates for the credential.

Most importantly, the CDA scholars I met in Miami and other ceremonies this year are now serving as early childhood educators in communities across the U.S. They’re professionals who support safe and healthy learning environments, provide positive guidance, successfully engage, and interact with families and contribute to ensuring an early learning program is well run. I know their work will pay off. Years ago, my dad’s teachers had no way of imagining where their influence would lead. Indeed, when I look up to the sky on the Fourth to watch the fireworks, I’ll keep in mind the educators who help their students reach higher and higher for spectacular results and the bright futures they create.

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LIVE! : Make it Plain at the White House

NNPA NEWSWIRE — Rev. Mark Thompson interviews Deputy Treasury Secretary Wally Adeyemo LIVE from the White House.
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Rev. Mark Thompson interviews Deputy Treasury Secretary Wally Adeyemo LIVE from the White House.

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