Question : remittances to India would decrease in 2020 by —
(a)9 %
(b)8 %
(c)12 %
(d)7 %
Answer (a)
Related facts
- The World Bank has recently(October 2020) said remittances to India would decrease this year by nine percent to USD 76 million.
- It is projected to decline fourteen percent by 2021 compared to the pre-COVID-19 levels in 2019.
Reason
- It is due to the ongoing coronavirus pandemic and global economic recession.
Top five countries in 2020
Top five remittance receiver countries are — China>Mexico>Philippines>Egypt>India.
LMICs
- Remittance flows to these countries are projected to fall by 7 percent to USD 508 billion in 2020.
- Decline may continues in 2021 by 7.5 pecent(USD 470 billion).
LMICs stands for — Low and middle-income countries.
Region wise decline in remittance
- Region wise decline in remittances are as follows : —
| Region | Decline in remittance(%) (2020) | Decline in remittance(%) (2021) |
| Europe and Central Asia | 16 | 8 |
| East Asia and the Pacific | 11 | 4 |
| Middle East and North Africa | 8 | 8 |
| Sub-Saharan Africa | 9 | 6 |
| South Asia | 4 | 11 |
| Latin America and the Caribbean | 0.2 | 8 |
By — Pankaj Pandey.