RBI’s Remittances Survey 2025:
The RBI’s 2023-24 Remittances Survey reveals a historic shift: Advanced Economies (AEs) now contribute over 50% of India’s remittances, surpassing the Gulf (37.9%) for the first time. This reflects changing migration patterns and economic priorities.
Key Findings of RBI’s Remittances Survey (2023-24):
- Dominance of Advanced Economies: USA (27.7%), UK (10.8%), Singapore (6.6%), Canada (3.8%), and Australia (3.1%) lead remittance inflows. E.g. The US alone contributes more than Saudi Arabia (6.7%) and Kuwait (3.9%) combined.
- Decline in Gulf Contributions: GCC’s share dropped from 46.7% (2016-17) to 37.9% (2023-24). E.g. UAE’s share fell from 26.9% to 19.2% due to job nationalization policies like Saudisation.
- Skilled vs. Unskilled Remittances: 78% of Indian migrants in the US work in high-paying sectors (IT, finance, healthcare), sending larger sums. E.g. One Silicon Valley engineer remits ≈10x Gulf construction worker’s earnings.
- Student Mobility Driving Flows: 13.4 lakh Indian students abroad (Canada: 32%, US: 25.3%) boost remittances via education loans and post-study earnings.
- Resilience During Crises: Remittances from AEs stayed stable during COVID-19, while Gulf flows dipped sharply.
- Oil price volatility and nationalization policies (e.g., UAE’s Emiratisation) reduced low-skilled jobs for Indians.
- Purchasing power parity and stronger currencies (USD, GBP) amplify remittance values.
- STEM professionals in the US/UK earn 3-5x Gulf salaries. E.g. Indian IT workers in the US remit $15–20K/year.
- UK’s Graduate Visa and Canada’s PGWP attract students who later transition to high-paying jobs.
- Bilateral pacts like India-UK Mobility Partnership (2021) tripled Indian migrants to the UK.
