Migrating Money and People

Migrant Workers beginning their journey in Africa

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Each year, 200 million migrant workers send about $300 billion back to their home countries. Workers send $45 billion back from the U.S. alone. These remittances are worth more to poor nations than development aid or foreign direct investment. Take the example of two countries, Moldova and Tajikistan. Remittances there make up over 30 percent of national income.

How has the financial crisis impacted this flow of money?  Millions of migrant workers have lost their jobs or seen their incomes cut. The value of remittances is expected to fall for the first time since records have been kept. For migrant workers, it’s a difficult journey to Europe and the U.S., with less payoff today.

On this weeks podcast we see the impact of smaller remittances in New York City, Madrid, Senegal, and North Dakota.