NRI Remittances Reach All-Time High of $129.4 Billion in 2024, India Maintains Leading Position
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Synopsis
In 2024, Indians abroad sent a record $129.4 billion home, with $36 billion in the last quarter, maintaining India's position as the top remittance recipient, well ahead of Mexico and China.
Key Takeaways
- Indians abroad sent home a record $129.4 billion.
- Remittances rose 5.8% compared to 2023.
- Major inflow of $36 billion in Q4 2024.
- India leads remittances, followed by Mexico and China.
- Global migrant share of Indians increased to over 6%.
New Delhi, April 1 (NationPress) Indians working overseas transferred a staggering $129.4 billion back home in 2024, with an all-time peak of $36 billion recorded during the October-December quarter, as per the latest statistics from the Reserve Bank of India (RBI).
India continues to lead as the top recipient of remittances in 2024, significantly ahead of Mexico, which stands at $68 billion.
China follows in third place with $48 billion, while the Philippines and Pakistan receive $40 billion and $33 billion respectively, based on data compiled by World Bank economists.
The remittance growth rate for 2024 is projected at 5.8 percent, a marked increase from the 1.2 percent noted in 2023, according to World Bank analysis.
The population of Indians living abroad has surged from 6.6 million in 1990 to 18.5 million in 2024, with their share of global migrants rising from 4.3 percent to over 6 percent in the same timeframe.
Indian expatriates in Gulf countries constitute approximately half of the total Indian migrants worldwide.
The rebound of job markets in high-income nations, particularly among the Organisation for Economic Co-operation and Development (OECD) countries, post-COVID-19 pandemic, has been a significant factor driving remittances.
This is especially evident in the United States, where employment levels for foreign-born workers have steadily recovered to 11 percent higher than the pre-pandemic figures recorded in February 2020.
Official remittances to low- and middle-income countries (LMICs) are predicted to reach $685 billion in 2024.
The World Bank reports that remittances are consistently surpassing other forms of external financial flows, such as foreign direct investment (FDI), to LMICs and are likely to keep increasing due to substantial migration pressures stemming from demographic changes, income disparities, and climate change.
Over the last decade, remittances have climbed by 57 percent, in contrast to a 41 percent decline in FDI. The World Bank report suggests that remittances will likely continue to rise, driven by ongoing migration pressures linked to demographic trends, income gaps, and climate change.
