A 17-fold increase in average remittances over a 27-year period
What you should know
In about 11 years, the number of households receiving remittances in Nepal has increased by more than three times. During the same period, the annual remittances received by the family increased from 18 thousand 215 to 3 lakh 15 thousand 539 rupees.
In a period of 27 years, the average remittance has increased by 17 times.
Center for the Study of Labor and Mobility (Seslam) has published 4 standard of living surveys since 1995/96 and the report titled 'Status of Remittances in Nepal' prepared by analyzing data and economic indicators published by Nepal Rastra Bank. In the
report, the comparative situation between the remittance receiving provinces has also been analyzed. It is written in the report - In 2023, households in Gandaki, Koshi and Bagmati received an average of 4 lakh rupees or more in remittances. While the households of Far West, Karnali and Madhesh only have about half of that.
In the last 29 years, there seems to be a significant increase in per capita remittances sent by Nepalis. According to the report, in 1996, one person used to send 16 thousand 227 rupees annually to Nepal, and in 2023, this amount has increased 4 times to 24 thousand 744 rupees.
Meanwhile, the share of remittances sent from India seems to be decreasing every year. With the increasing trend of Nepalese going to labor destinations other than India in search of work, the share of remittances received from India has started to decrease. Out of the total remittances received by Nepal in 2023, the remittance received from India is only 13.9 percent. The
report has also made policy recommendations to the government. In order to reduce the regional disparity in remittances, it has been suggested that policies should be made, remittances coming through informal channels should be brought into the formal system, and easy ways to send remittances from India should be found.
