Role of Migrant Remittances to Development

Write a 1500 word paper answering; Reduction of poverty in the developing countries (Adams JR. & Page, 2005, P. 1647). middle and low-class earners in the less developed countries are able to receive higher incomes through remittances from their relatives who live in foreign countries. The standards of living of people who earn low incomes are also improved due to the availability of remittances. Individuals are also able to obtain assets using the remittances and they can also invest in the money thus improving the economy of their country as a whole. With investments, more employment opportunities are created. Thus, with more people being employed, the economic growth of the home country will be higher leading to an increase in the per capita income (Adams JR. & Page, 2005, P. 1649).Research shows that most of the families who have access to migrant remittances in Zimbabwe experienced 91% of food security and 76% security in terms of medicine and medical treatment (Tevera & Chikanda, 2009, P. 20).Impact on Agriculture. Research shows that migrant remittances contribute significantly to the agricultural industry of developing countries. Haas refers to this as an indirect benefit that is realized through migrant remittances (Haas, 2007, P. 16). As much as it is argued that migration reduces the number of people available to provide farm labor, with migrant remittances this is fully countered and in turn, there is a positive impact on agriculture. The people who receive migrant remittances are able to hire even more skilled farmworkers than the ones who migrated (Vargas-Lundius, Lanly, Villareal & Osorio, 2008, P. 32). They can also be able to invest in current technology and use of heavy machinery to increase their farm yield. In countries such as Ghana and Albania, it has been proven that though with a high rate of migration, the agricultural industry has not been affected due to the availability of remittances.

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