Abstract:

Purpose - This study aims to analyze the impact of remittances on poverty in the largest remittance-receiving 10 developing countries in 2019 in the light of World Bank data. Methodology – Due to lack of data and insufficient observations, this study employed static panel methods including pooled OLS, fixed effect and random effect estimations. Findings- Empirical findings obtained in the study show that remittances have statistically significant and negative effects on all poverty measures considered. In addition, while the increase in per capita income in the long run has poverty-reducing effects, the rise in inflation rates deepens poverty. Conclusion- With the increase in global migration movements, the importance of remittances in the socio-economic development of countries is increasing. For this reason, it is important that countries receiving remittances develop well-considered policies to manage remittances correctly.

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