Over recent years, remittance flows - funds sent by people living and working abroad to their home countries - have been increasing rapidly. Today, they represent the largest source of external finance for many developing countries, ahead of Official Development Assistance (ODA) and Foreign Direct Investment (FDI). While private capital mainly flows to emerging countries, remittances are particularly important in poorer countries where they can represent over a third of Gross Domestic Product (GDP). They are also an important contributor to resilience in the face of economic or humanitarian crises.
Top 10 recipient countries, 2013-2015 average, % of GDP
Source: DAC statistics and World Bank data on remittances