World Banker and His Cash Return Home

Remittances, once treated as an insignificant rounding error, eclipse the world’s combined foreign aid by threefold. A migration scholar with the World Bank, Dilip Ratha, calculated the magnitude of remittances and brought them to the world’s attention. Critics suggest that “behind every remittance is a separated family” and argue that remittances contribute to consumption rather than development. However, supporters counter that increased consumption can transform impoverished villages, and Ratha’s own experience, which includes growing up in the isolated village of Sindhekela and doing research for the World Bank, attests to the power of such income. Remittances may not be the most stable form of income and often may not be used as intended by senders, Ratha admits. Despite ambiguous results, each remittance represents a packet of concern, advice, knowledge and even punishment from individuals who still care about their families and place of birth. – YaleGlobal