Myths and Assumptions about Remittances

There are amply cited statements about remittances that typically reflect value judgements rather than informed opinions based on empirical evidence. Among these so-called myths, the following can be mentioned:

Myth 1. “Remittances need to be used more productively”

Myth 2. “Remittances are expensive”

Myth 3. “Sending money through banks is inherently cheaper”

Myth 4. “Remittance companies are too risky to bank”

Myth 5. “Remittances are a form of aid”

Myth 6. “Remittances and development are one in the same”

Myth 7. “The majority of remittances are informal”

Myth 8. “Mobile transfers are a game changer”

Myth 9. “Bitcoin is revolutionizing the remittance market”, and

Myth 10. “Remittance flows tend to stem from husbands that transfer to their wives and children back home”.

This article challenges these assumptions with empirical data. Read the article here.