India is on track to become the first country to receive $100 billion in remittances annually

With around 18 million souls, Indians form the largest diaspora in the world. This resulted in India receiving more remittances over the years. By 2022, it would have reached $100 billion, making it the first country in history to reach this figure, according to the World Bank .

“Remittance flows to India have been driven by rising wages and a strong labor market in the United States and other OECD countries,” the World Bank said in a Nov. 30 publication.

Between January 2015 and September 2021, 8,81,254 people renounced their Indian citizenship. This trend has accelerated since the pandemic, as countries such as Canada, New Zealand, Germany and Ireland have relaxed immigration policies to attract skilled workers.

This migration has previously shifted from the Arabian Gulf for low-skilled, informal jobs to developed countries such as the US and UK for high-skilled jobs. In 2020-21, the US became the largest remittance sender to India due to the country’s massive stimulus package and rising wages during the pandemic months and beyond. “Structural changes in skills and destinations have accelerated the growth of remittances linked to high-paying jobs, particularly in the service sector,” the report said.

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