Migrant Remittances and Household Wellbeing in Urban Zimbabwe

Abstract

Evidence from household surveying in December 2005 in Harare and Bulawayo, Zimbabwe, indicates that a wide network of international migrant remitters are ameliorating the economic crisis in Zimbabwe by sending monetary and in-kind transfers to over 50 per cent of urban households. The research combines quantitative measurement of scale and scope, with demographic and qualitative narrative to build a holistic picture of the typography of receiving and non-receiving households. A complex set of interrelated variables helps to explain why some households do and others do not receive income and goods from people who are away, and the economic and social extent of their subsequent benefit from them. Moreover, the mixed methods approach is designed to capture inter-household and likely macroeconomic effects of how households receive their goods and money; and of how they subsequently exchange (if applicable), store and spend it. Evidence emerges of a largely informal, international social welfare system, but one which is not without adverse inter-household effects for some. These include suffering exclusion from markets suffering from inflationary pressures, not least as a result of other people's remittances. This paper explores the role of remittances, within this internationalised informal welfare system which we can map from our household survey, in reframing vulnerability and marginalization differentially among and between our subject households.

Financial innovation and economic growth: evidence from Zimbabwe

“…Such an increase in access to financial services boosts economic activity, including in marginalized areas, giving the country an impetus for economic growth. In Zimbabwe, technology and financial innovation have smoothened the flow of remittances, which is a major source of income, liquidity, funding and investment for the country (Bracking & Sachikonye, 2010).…”

Financial Determinants of International Remittance Flows to the Sub‐Saharan African Region

“…International remittances remain an important source of income for individuals and families for coping with poverty, humanitarian and economic crises in developing countries (Bracking and Sachikonye, ; Buch and Kuckulenz, ). Among all other sources of external finance to developing countries, remittance inflows rank second behind foreign direct investment FDI flows (Mohapatra and Ratha, 2011; Aggarwal et al, ; Aggarwal et al ).…”

The Congolese diaspora and the politics of remittances

“…Most Congolese migrants send home between 20 and 40 percent of their income and the overall remittances flows represent an enormous potential to poverty reduction and economic development (see Bracking and Sachikonye 2010). In DRC, transfers can represent 80 to 100 per cent of cash available to households (Sumata, 2001).…”