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Worker's Remittances and GDP Growth in Pakistan

Author

Listed:
  • Rashid Hussain

    (University of Engineering and Technology, Lahore (UET), Pakistan.)

  • Ghulam Abbas Anjum

    (University of Engineering and Technology, Lahore (UET), Pakistan.)

Abstract

The worker's remittances are considering second largest source of finance in developing countries after FDI. Worker's remittances and GDP growth has analyzed for Pakistan for the period from 1973 to 2011. The Generalized method of moments (GMM) has used to control endogeniety problem and GMM also employed to handle unobservable effects. The study showed that worker's remittances are positive as well as significant with GDP growth and also playing an active role in Pakistan economy. Impact of financial sector on GDP growth is also positive and significant as trade openness and world growth GDP. The vital policy based on our finding is financial sector should be improve for smooth and horizontal transection of remittances and also this sector perform productive investment.

Suggested Citation

  • Rashid Hussain & Ghulam Abbas Anjum, 2014. "Worker's Remittances and GDP Growth in Pakistan," International Journal of Economics and Financial Issues, Econjournals, vol. 4(2), pages 376-381.
    • Handle: RePEc:eco:journ1:2014-02-14
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    References listed on IDEAS

    as
    1. Ms. Yan M Sun & Udo Kock, 2011. "Remittances in Pakistan: Why have they gone up, and why Aren't they coming down?," IMF Working Papers 2011/200, International Monetary Fund.
    2. Qayyum, Abdul & Javid, Muhammad & Arif, Umaima, 2008. "Impact of Remittances on Economic Growth and Poverty: Evidence from Pakistan," MPRA Paper 22941, University Library of Munich, Germany.
    Full references (including those not matched with items on IDEAS)

    Citations

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    Cited by:

    1. Nedzad ISAKOVIC & Erkan ILGUN, 2015. "Cyclical Properties of Workers' Remittances: Evidence from Bosnia and Herzegovina," International Journal of Economics and Financial Issues, Econjournals, vol. 5(1), pages 172-187.
    2. Soma Rani Sutradhar, 2020. "The impact of remittances on economic growth in Bangladesh, India, Pakistan and Sri Lanka," International Journal of Economic Policy Studies, Springer, vol. 14(1), pages 275-295, February.
    3. Hina Ali & Saba Tahir, 2017. "A Way towards Economic Growth in Pakistan: Role of Worker’s Remittances Revisited," Pakistan Journal of Humanities and Social Sciences, International Research Alliance for Sustainable Development (iRASD), vol. 5(1), pages :1-14, June.
    4. repec:eco:journ1:2014-03-23 is not listed on IDEAS
    5. Greg Ekpung Edame & Okoiarikpo Benjamin Okoi, 2015. "Fiscal Deficits and Economic Growth in Nigeria: A Chow Test Approach," International Journal of Economics and Financial Issues, Econjournals, vol. 5(3), pages 748-752.
    6. Emon Kalyan Chowdhury & Bablu Kumar Dhar & Md.Abu Issa Gazi, 2023. "Impact of Remittance on Economic Progress: Evidence from Low-Income Asian Frontier Countries," Journal of the Knowledge Economy, Springer;Portland International Center for Management of Engineering and Technology (PICMET), vol. 14(1), pages 382-407, March.
    7. Ummya Salma & Md. Fazlul Huq Khan & Md. Masum Billah, 2023. "Foreign Capital and Economic Growth: Evidence from Bangladesh," Papers 2312.04695, arXiv.org.
    8. Mosab I. Tabash & Suhaib Anagreh & Bilal Haider Subhani & Mamdouh Abdulaziz Saleh Al-Faryan & Krzysztof Drachal, 2023. "Tourism, Remittances, and Foreign Investment as Determinants of Economic Growth: Empirical Evidence from Selected Asian Economies," Economies, MDPI, vol. 11(2), pages 1-15, February.
    9. Md. Golam Mostafa & Md. Abdul Wadud, 2024. "Impacts of Remittance and FDI on Economic Growth in South Asian Countries: A Panel Data Analysis," International Journal of Science and Business, IJSAB International, vol. 40(1), pages 92-106.
    10. repec:aly:journl:202047 is not listed on IDEAS

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    More about this item

    Keywords

    remittances; volatility; FDI; GMM; financial development;
    All these keywords.

    JEL classification:

    • E01 - Macroeconomics and Monetary Economics - - General - - - Measurement and Data on National Income and Product Accounts and Wealth; Environmental Accounts
    • F24 - International Economics - - International Factor Movements and International Business - - - Remittances
    • F43 - International Economics - - Macroeconomic Aspects of International Trade and Finance - - - Economic Growth of Open Economies

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