Human Resource Development (HRD) and Foreign Remittances: The case of South Asia


Muhammad Abdul Wahab, Vaqar Ahmed & Hamid Mahmood

Published: December 2013


This study tries to document linkages between HRD, migration and remittances in South Asia. We have explained in detail the various channels through which HRD promotes migration and remittances, and a case has been made not to consider this process as brain drain – rather it should be viewed by public policy practitioners as brain circulation which can in turn result not just in increased foreign exchange reserves but also increased prospects for transfer of technology and creative ideas. Econometric results suggest that infant mortality, gross primary school enrolment and real per capita GDP have a negative relationship with remittance inflows in South Asia, whereas gross tertiary school enrolment and access to financial instruments have a positive relationship with remittances in these countries. The result indicates that higher levels of education facilitate mobility of labour and allow better opportunities for working abroad.



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