According to the most recent Migration and Development Brief from the World Bank, LMICs moderated in 2023 and reached an anticipated $656 billion.

Source: newsthemegh.com/Compiled By: Prince Henry Danquah, Bora Capital Advisors Ltd.

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, released yesterday.

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).