Migrant workers sent US$685 Billion in remittances to families in 2024

The UN’s International Fund for Agricultural Development celebrated Tuesday's 10th anniversary of the International Day of Family Remittances. This recognizes the power of remittances and advocates for migrant workers’ sacrifice and contribution to rural development and poverty alleviation.

“Today, on the International Day of Family Remittances, we honour 200 million migrants who support 800 million loved ones back home. These flows now surpass aid and foreign direct investment in low- and middle-income countries. They fund food, health, education, and entrepreneurs,” said Alvaro Lario, the President of IFAD

In 2024, over 200 million migrant workers from low- and middle-income countries sent approximately US$685 billion in remittances to 800 million family members in their countries of origin.

Bibha lives with her family in the Chinnamastral region of Nepal, but her husband lives and works thousands of miles away in Qatar. Every month, he sends money home.

While Biba’s family has a small income, when remittances fail to arrive, the whole family’s economy is at risk.

In 77 other developing countries, like Nepal, remittances are a vital source of external capital, and in 30 of them, these flows represent more than 10% of GDP.

This staggering amount surpasses official development assistance (ODA) and foreign direct investment (FDI) combined in most developing countries.

Nearly one-third of these funds reach rural areas like Bibha’s village in Nepal.

IFAD’s experience demonstrates that families receiving as little as an average of US$300 per month (the global average) are more likely to invest in small businesses, home improvements, and climate-smart farming that help them adapt.

Digitalization can fast-track progress toward achieving the universal target of reducing remittance costs to 3% by 2030, potentially saving up to US$20 billion each year for those who need it most.

Looking ahead to the Fourth International Conference on Financing for Development (FfD4), IFAD urges governments, financial institutions, and international organizations to harness remittances' transformative power fully. This means putting the right tools, policies, and partnerships in place to ensure migrant contributions are protected and valued.

The UN’s International Fund for Agricultural Development (IFAD) is an international financial institution and a specialized agency of the United Nations dedicated to eradicating poverty and hunger in rural areas of developing countries.