Remittance multiplier effect: do migrant remittances impact the mass of non-migrant households in Nigeria?

Type Working Paper
Title Remittance multiplier effect: do migrant remittances impact the mass of non-migrant households in Nigeria?
Author(s)
Publication (Day/Month/Year) 2015
URL https://aisberg.unibg.it/retrieve/handle/10446/79089/132460/S&D_2016_40_01_02.pdf
Abstract
Remittances to Nigeria, like to the rest of the developing world, show rapid growth in the last
two decades. This work estimated the effects of these emergent migrant transfers on the Nigerian
non-migrant households who do not receive the funds. These non-migrant households constitute
the larger population share, and like the remittance dependent households, are often
characterised by low income, inadequate access to resources and found mostly in agricultural
related risk coping strategies. The Nigerian General Household Survey and the National Living
Standard Survey were sources of a pooled data used for the analyses. Both surveys conducted
by the Nigerian Bureau of statistics gained supports from the World Bank. From the
perspective of the compound multiplier theory, the “two stage least square” technique was employed
in the data analysis. Results showed that remittances did not only improve migrant
household consumption, it also increased incomes of non-migrants’ households through its
multiplier effect.

Related studies

»