Do remittances promote financial development?

• 成果类型: Article
• 署名作者: Aggarwal, Reena; Demirguec-Kunt, Asli; Peria, Maria Soledad Martinez
• 署名单位: The World Bank; Georgetown University
• 刊物名称: JOURNAL OF DEVELOPMENT ECONOMICS
• ISSN/ISSBN: 0304-3878
• DOI: 10.1016/j.jdeveco.2010.10.005
• 发表日期: 2011
• 页码: 255-264
• 关键词: remittances; financial development; Financial institutions

摘要

Workers' remittances to developing countries have become the second largest type of flows after foreign direct investment. This paper uses data on remittance flows to 109 developing countries during 1975-2007 to study the link between remittances and financial sector development. In particular, we examine the association between remittances and the aggregate level of deposits and credit intermediated by the local banking sector. This is an important question considering the extensive literature that has documented the growth-enhancing and poverty-reducing effects of financial development. We provide evidence of a positive, significant, and robust link between remittances and financial development in developing countries. (C) 2010 Elsevier B.V. All rights reserved.