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Outline of work in progress

South-South Migration and Remittances Dilip Ratha World Bank High-Level Dialogue on Migration and Development United Nations, New York September 14, 2006. Outline of work in progress. Data Determinants Socio-economic impacts Policy implications. Definition: South = Developing Countries.

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Outline of work in progress

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  1. South-South Migration and RemittancesDilip RathaWorld BankHigh-Level Dialogue on Migration and DevelopmentUnited Nations, New YorkSeptember 14, 2006

  2. Outline of work in progress • Data • Determinants • Socio-economic impacts • Policy implications Definition: South = Developing Countries

  3. Preliminary results • South-South migration is almost as large as South-North migration. South-South remittances appear to be between 10-29% of total flows to the South. • South-South migrants enjoy much lower increases in income (than South-North migrants), are more likely to be irregular. • South-South migration can generate significant welfare gains as these migrants are more likely to be poor, or escaping war or famine. • South-South remittances tend to be more costly than North-South remittances.

  4. Migration to the South is significant Source: United Nations

  5. Global migrant stocks (millions) Source: United Nations

  6. Global migrant stocks (millions) Source: World Bank staff calculations based on migration data from University of Sussex, United Nations, and World Bank

  7. Destinations of migrants from the South

  8. South-South remittances were likely between $19 to $53 billion in 2005 Source: World Bank Staff estimates

  9. South-South remittance costs tend to be higher than North-South costs

  10. Determinants of South-South migration 80% of South-South migration takes place between neighboring countries

  11. Determinants of South-South migration • Almost 80% of identified South-South migration takes place between neighboring countries. • Income differences do not appear to matter as much as in the case of South-North migration • Other factors and motivations: Networks, Seasonality, Ecological disasters, Civil conflict, Transit to North, Petty trade

  12. Socio-Economic Implications • South-South migration results in smaller wage increases for the migrants and natives • Irregular migration is more common in South-South than in South-North migration • Employer exploitation (and trafficking of women) may be common in the South. • Migration flows between developing countries may be less stable due to conflict and economic volatility.

  13. Future work • Improving bilateral migration data • Understanding impacts (on incomes, inequality, health, gender, and migrant rights) • Better management of migration • Reducing remittance costs

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