In Europe, immigrants from developing countries come in to work and then often send back money to families. There are also alot of foreign workers in the higher income countries in Asia and the Middle East. According to a World Bank Report, the developing world is expected to receive $414 billion in migrant remittances in 2013, an increase of 6.3 percent from 2012. The report states that the top recipients of officially recorded remittances for 2013 are India (with an estimated $71 billion), China ($60 billion), the Philippines ($26 billion), Mexico ($22 billion), Nigeria ($21 billion), and Egypt ($20 billion). Other large recipients include Pakistan, Bangladesh, Vietnam, and Ukraine. As a percent of GDP the largest recipients include Tajikistan, Kyrgyz Republic, Nepal and Lesotho (25 percent of GDP or higher).
I guess an important question is as follows. In some of these countries, foreign remittances are obviously a very important income source and provide resources for families at home, raises their living standards and probably generates pools of local saving for investment and subsequent economic growth. At the same time, does the migration of these workers out of developing countries harm long-term development prospects given that the human capital is being employed elsewhere? Given that this phenonomenon is increasing over time, what are the long term development implications?