Indian Expats Lead Remittances From The UAE; Pakistan, Philippines Trail

India expats in the UAE remitted a total of Dh17.32 billion accounting for nearly 39% of total remittances in the second quarter of this year. There are over 2 million Indian expats living in the UAE, which is about 27% of UAE’s total population. India expats were distantly followed by Pakistan and the Philippines according to Khaleej Times.

Remittances by expats in the UAE climbed to 13.1% to Dh88 billion from Dh77.8 billion during the same 2017 period as the dollar-pegged dirham relentlessly. The three-month period saw a jump of 8.8% in transfers to Dh44.4 billion as against Dh40.7 billion during the same period last year, data from the Central Bank of the UAE data shows.

Other top recipient countries in the second quarter included Pakistan, which received 8.5% or Dh3.55 billion of total remittances; the Philippines, accounting for 7.1% or Dh3.15 billion; Egypt, with a share of 5.4% or Dh2.4 billion; the US, making up 4.9% or Dh1.95 billion; the UK with 3.8%; and Bangladesh with approximately 2.6%.

“Most of the expatriates in the UAE are from South Asian countries, where currencies get weaker against the dollar. Since the UAE dirham is pegged to the USD, it stands strong and steady, enabling expatriates to send more money home.

“Currency fluctuations have contributed to the hike in remittances out of the UAE in the first half of the year. Adding to it, there has been a spurt in economic activity in the region, which has allowed greater employment opportunities for expats, when compared to the previous year. All these factors and more have helped expats transfer more money to their home country.

According to the Reserve Bank of India, the UAE has emerged as the top source of remittances to India, while Kerala has been the top recipient of funds sent from abroad. The UAE’s share in total remittances to India, world’s top remittance recipient nation, was 26.9% followed by the United States 22.9%, Saudi Arabia 11.6% and Kuwait 5.5%.

In 2017, India retained the position as the world’s number one recipient of remittances with its diaspora sending about $69 billion back home last year, according to the World Bank. According to the World Bank, in 2018, global remittances are expected to continue to increase by 4.1 per cent to reach $485 billion.

More News at EurAsian Times

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