On June 16 each year, the International Day of Family Remittances is observed to commemorate the contributions that more than 200 million migrants have made to the lives of their relatives back home. The United Nations General Assembly established the day, making it a worldwide holiday. The majority of these remittances are sent to rural areas, where they can have a significant impact. This day aims to raise awareness of these contributions' effects on families, communities, and nations.
The history of the International Day of Family Remittances Remittances, or relatively small cross-border payments from one person to another, are essential to the developing world. Although individual remittances may have a low value, these flows are three times larger than official development assistance worldwide. In the developing world, many households are entirely dependent on these funds. These remittances enable them to run their homes, send their children to school, and pay for medical care.
The Global Compact for Safe, Orderly, and Regular Migration (Objective 20) encourages a reduction in transfer costs and greater financial inclusion through remittances, making the International Day of Family Remittances a key initiative. During economic downturns in recipient nations, remittance flows have increased fivefold over the past two decades, acting as a countercyclical force.
Because approximately 800 million family members are recipients, the International Day of Family Remittances is significant. The day emphasizes the perseverance and resilience of numerous migrant workers in the face of financial uncertainty as well as natural and climate-related catastrophes. The financial component of the social contract that binds migrants to their home families is represented by remittances. These inflows amount to billions of dollars, but the average remittance is between $200 and $300 per month. Digital and financial solutions for these flows that promote greater social and economic inclusion have been urged on governments, the private sector, development organizations, and civil society on numerous occasions by the United Nations.
International Day of Family Remittances, 19th Century Not a New Phenomenon Several European nations, including Ireland, Spain, and Italy, rely heavily on emigrant remittances.
1901: The first nation in the world to enact a law to safeguard remittances is Italy.
1960: Lower Costs Spain was the first nation to sign a treaty with Argentina to lower the cost of received remittances.
2008: Launch of a Database In September, the World Bank launches the world's first database of remittance prices.
Questions and Answers About the International Day of Family Remittances: What Does It Mean When Someone Asks for a Remittance?
A sum of money sent to a family member's home country by a worker abroad is referred to by this name.
How do remittances benefit a nation?
Remittances have the potential to boost both the economy of the receiving nation and the well-being of family members who have been left behind.
Family remittances: what are they?
People who live abroad send money to family members in their home country through family remittances.
How to Celebrate International Day of Family Remittances? Spread the word: Tell your friends and family about International Day of Family Remittances and its purpose so they can learn about this significant phenomenon as well. Give migrant workers a meal to honor their hard work and separation from their families if you know of any.
Post on your social media accounts: A simple and effective way to support the cause is to post on your social media accounts about the issue and the difficulties migrants have sending money home. You could make new awareness campaigns and hashtags.
Share your ideas with the authorities to see how you can directly affect the world. Share your accomplishments, current projects, and ideas. You are deserving of recognition for the sacrifice you make as a migrant worker sending money home.
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India beat the rundown
India has been the biggest beneficiary of settlements beginning around 2008.
Tonga has a 38% share of remittances as a percentage of gross domestic product, placing it first on the other list.
Around one in nine people worldwide receive assistance from funds brought home by migrant workers.
Rural areas receive approximately half of all remittances, where 75% of the world's poor and food insecure live.
Sending remittances can be expensive; conversion costs and fees typically amount to 7% of the total amount sent.
Why is it important to celebrate International Day of Family Remittances? People rely on it for basic needs. About 75% of remittances are used to buy food, pay for medical bills, and pay for housing or school fees. Due to crop losses or family emergencies, migrant workers may send more money home during times of crisis.
It values the work of migrants Migrants' remittances make a significant contribution to the United Nations' Sustainable Development Goals. They help bring an end to hunger, poverty, health, education, access to clean water and sanitation, decent work, economic growth, and a reduction in inequality.
It helps people from other countries The day helps one billion people achieve their own Sustainable Development Goals. One-seventh of the world's population consists of this.
Frequently Asked Questions: What is Family Remittance Day?
Over 200 million migrants are honored on this day for their efforts to create a better future for their children and the 800 million family members they left behind. Rural areas, where poverty and hunger are most prevalent and where remittances are most important, receive half of these flows.
What is the purpose of the International Day of Family Remittances?
The purpose of the International Day of Family Remittances is to raise awareness of the selfless contributions that migrant workers make to the development of their home countries. The day represents the sacrifices made by people who work overseas.
The International Day of Family Remittances' theme is:
“Digital remittances towards financial inclusion and cost reduction” is the United Nations' suggested theme for the 2023 International Day of Family Remittances.
What is the significance of Family Day celebrations?
As a result, Family Day serves as a reminder of the significance of family and the necessity of strengthening family ties. It's a day to remember the past and celebrate the progress families have made in overcoming obstacles that used to separate them.
Why is it referred to as remittance?
Remittance generally refers to any payment of an invoice or bill. However, nowadays, the term is most commonly used to describe a sum of money sent to a family member's home country by a worker abroad. The word "remit," which means "to send back," is the root of the phrase.