KATHMANDU, Nov 26: Remittance inflows in the first three months of the current fiscal year increased by 12.6 percent to Rs.258.86 billion despite projections made for the possible decline in the remitted money with the global spread of COVID-19. During the review period last year, the remittance amount had declined by 5.1 percent.
In the report entitled ‘The Migration and Development Brief’ released by the World Bank in October this year, the international lending organization had projected that remittance in Nepal would decline to $7.39 billion in 2020 from $8.25 billion the country received from migrant workers abroad in 2019. However, the Current Macroeconomic Report unveiled by Nepal Rastra Bank (NRB) on Wednesday, revealed that Nepal posted an encouraging amount of the remittance inflows during the first quarter that ended in mid October.
The central bank’s report shows that the workers looking for the foreign jobs, however, went down during the period. Number of Nepali workers (institutional and individual-new and legalized) taking approval for foreign employment decreased by 96.8 percent in the review period. Similarly, the number of Nepali workers (Renew entry) taking approval for foreign employment decreased by 78.6 percent in the review period, shows the report.
According to NRB officials, an increase in remittance inflows is due to the migrant workers sending their money through the formal channels instead of using informal ones, including hundi and money transfers, among others.