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Leveraging Efforts on Remittances and Financial Intermediation

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  • Orozco, Manuel
  • Fedewa, Rachel

Abstract

This report seeks to analyze the efforts among financial institutions to leverage the relationship between financial intermediation and remittance transfers. The impact of family remittances has been highlighted in the literature as an important one for development. A development impact is one that addresses issues relating to the distribution of wealth and overall improvements in the quality of people's lives. More recently, policy recommendations have stressed the importance of linking remittances to financial intermediation as a strategy to harness the development impact of such earnings. This paper attempts to identify emergent trends in the remittance and finance world that potentially point to a deepening connection between remittances and development vis-à-vis financial intermediation. It is a case study analysis of nine financial institutions, and focusing on three basic indicators: institutional ability to provide remittance transfers to its clients and community, to offer low cost remittance services, and to compliment transfer services with other financial services.

Suggested Citation

  • Orozco, Manuel & Fedewa, Rachel, 2006. "Leveraging Efforts on Remittances and Financial Intermediation," IDB Publications (Working Papers) 2635, Inter-American Development Bank.
  • Handle: RePEc:idb:brikps:2635
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    Citations

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    Cited by:

    1. Christian Ambrosius & Barbara Fritz & Ursula Stiegler, 2014. "Remittances for Financial Access: Lessons from Latin American Microfinance," Development Policy Review, Overseas Development Institute, vol. 32(6), pages 733-753, November.
    2. Ambrosius, Christian, 2011. "Are Remittances a 'Catalyst' for Financial Access? Evidence from Mexico," Proceedings of the German Development Economics Conference, Berlin 2011 5, Verein für Socialpolitik, Research Committee Development Economics.
    3. Barbara Bonciani, 2018. "The role of collective remittances in community development: the case of Hometown Associations," IRCrES Working Paper 201801, CNR-IRCrES Research Institute on Sustainable Economic Growth - Moncalieri (TO) ITALY - former Institute for Economic Research on Firms and Growth - Torino (TO) ITALY.
    4. Ambrosius, Christian & Cuecuecha, Alfredo, 2014. "Do remittances increase borrowing?," Discussion Papers 2014/19, Free University Berlin, School of Business & Economics.
    5. Mallela, Keerti & Singh, Sunny Kumar & Srivastava, Archana, 2023. "Remittances, financial development, and income inequality: A panel quantile regression approach," International Economics, Elsevier, vol. 175(C), pages 171-186.
    6. Kazi Abdul, Mannan & Farhana, Khandaker Mursheda, 2023. "Digital Financial Inclusion and Remittances: An Empirical Study on Bangladeshi Migrant Households," MPRA Paper 118936, University Library of Munich, Germany, revised 2023.

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