Measuring migrants ’ and temporary worker remittances in balance of payments statistics - PowerPoint PPT Presentation

betty_james
measuring migrants and temporary worker remittances in balance of payments statistics l.
Skip this Video
Loading SlideShow in 5 Seconds..
Measuring migrants ’ and temporary worker remittances in balance of payments statistics PowerPoint Presentation
Download Presentation
Measuring migrants ’ and temporary worker remittances in balance of payments statistics

play fullscreen
1 / 13
Download Presentation
Measuring migrants ’ and temporary worker remittances in balance of payments statistics
136 Views
Download Presentation

Measuring migrants ’ and temporary worker remittances in balance of payments statistics

- - - - - - - - - - - - - - - - - - - - - - - - - - - E N D - - - - - - - - - - - - - - - - - - - - - - - - - - -
Presentation Transcript

  1. Measuring migrants’ and temporary worker remittances in balance of payments statistics Poland – a case study Paweł Michalik National Bank of Poland International Technical Meeting on Measuring Migrant Remittances, January 24-25, 2005

  2. Measurement of remittances for balance of payments statistics in Poland Central Bank approach • To measure money flows • To ask intermediary (bank) about officialmoney transfers • To follow other money flow (banknotes)

  3. Information provided by banks about cross border payments related to: • Compensation of employees • Workers’ remittances

  4. Compensation of employees • Inflow – compensation of Poles (residents) working for nonresidents (abroad and in Poland). In practice we measure this part of compensation which is officiallytransferred to Poland. • Outflows – compensation of nonresident workers employed by Polish (resident) entities.In practice it constitutescompensation flows to nonresident’s accounts in Polish banks.

  5. Workers’ remittances • Inflows –moneysend by nonresidents of Polish origin (migrants) to their families in Poland. In practice we asks commercial banks about money send from abroad to “special” residents foreign currency accounts. • Outflows – money send by residents of foreign origin to their families abroad.

  6. We focus our attention on workers’ remittance flows • Reason – long lasting constant inflow of money • Information about official money transfers is not sufficient • Approach taken – to follow foreign banknotes transaction in Poland

  7. System of monitoring cash (foreign currency banknotes) transaction of Polish banks Information available: • Amount of foreign banknotes purchased from/sold to individual clients • Amount of foreign banknotes put on/withdrawn from special foreign currency accounts • Total net amount of inflow/outflow of foreign banknotes

  8. Assumption: holdings of foreign banknotes by households are stable This total net amount = result of balance of payments transactions • estimation of travel • estimation of shuttle trade = estimation of net workers remittances

  9. Cross checked/corrected by stability analyses • Cross checked/corrected by migrant statistics • Geographical breakdown is based on migrant’s statistics (similarly to Ann Harrison paper)

  10. USD millions

  11. Existing weaknesses of measurement remittances in balance of payments statistics • Compensation of employees are underrecorded • Underrecording of outflows (debits) • Introduction of reporting threshold in the amount of € 12500 for banks due to EU legislation has significant negative impact on data (from January 2004)

  12. Possible way forward New system has to be created • Compensation of employees • Estimation may possibly by based on administrative data and/or households survey • Outflows - own administrative data • Inflows - information from other countries • Workers’ remittances • Estimation based on migrants statistics • Households survey

  13. Thank you