Poorer countries’ remittances to grow again this year
WASHINGTON: Remittances, a major source of revenue for the world’s poorest countries, are due to grow again this year after falling two years in a row, the World Bank said.
Such cash transfers to low and middle-income countries are on course to rise by 4.8 per cent in 2017, reaching US$450 billion.
Economic expansion in Russia, Europe and the United States will see migrants and families send increasing amounts of cash back to Sub-Saharan Africa, Europe, Central Asia, Latin America and the Caribbean, according to a World Bank report.
But growth will be subdued for East Asia and South Asia, home to major recipient countries, the report found.
As oil prices fall, Gulf countries, traditionally large sources of outbound remittance flows, are spending less and discouraging recruitment of foreign workers.
“Remittances are a lifeline for developing countries,” Dilip Ratha, lead author of the bank’s Migration and Development Brief, said in a statement.
“This is particularly true following natural disasters, such as the recent earthquakes in Mexico and the storms devastating the Caribbean.” But fees remain high.
Sending US$200 home cost 7.2 per cent on average in the third quarter of this year, well above the Sustainable Development Goal target of three per cent, according to the report.
Ratha called on countries to lower costs associated with remittances.
Exclusive relationships between postal services and money trans- fer companies drive up prices.
Strict money-laundering regulations are also barriers, causing banks to close accounts, he said.
India is on track to be the top recipient in 2017, taking in US$65 billion, followed by China, with US$61 billion, and the Philippines, with US$33 billion, while Mexico would reach a record at US$31 billion.
The World Bank forecasts remittances to low and middle-income countries will rise by 3.5 per cent next year. — AFP LONDON: Uber’s new chief executive held ‘constructive’ talks with London’s transport authority, the ride hailing firm said after last month’s decision not to renew its operating licence in the British capital.
Uber said the meeting between its CEO Dara Khosrowshahi and Transport for London (TfL) commissioner Mike Brown was designed “to make things right”, 11 days after the body ruled against the US company.
Tuesday’s talks were described as “constructive” in separate statements to AFP from the offices of London Mayor Sadiq Khan, Uber and TfL.
Uber currently employs around 40,000 drivers in London and has a customer base of 3.5 million in the capital, more than 800,000 of whom have signed an online petition protesting TfL’s decision.
TfL has criticised Uber’s approach to reporting serious criminal offences and to obtaining criminal record checks for drivers as factors in its decision.
Uber has until October 13 to lodge its own appeal against the ban, and can continue to operate until the appeals process has concluded.
“We hope to have further discussions over the coming weeks as we are determined to make things right in London,” an Uber spokesman said after the meeting.
Discussion focused on “what needs to happen to ensure a thriving taxi and private hire market in London where everyone operates to the same high standards”, according to a TfL spokesman, adding that “further steps” would be taken in the coming weeks. — AFP
Remittances are a lifeline for developing countries. Dilip Ratha, Migration and Development Brief lead author Uber boss holds ‘constructive’ London talks after ban