Publication

This paper examines the issue of remittances in the wake of the global financial crisis. Based on a model of remittance outflows' determinants, and by using information on past systemic banking crises, the authors estimate that remittances to developing countries could drop between 25 and 67 billion US dollars in 2009. The authors conclude that Latin America, the Caribbean, East Asia and the Pacific will be affected more negatively than other regions due to their relatively high share of remittances received from high income countries that are more affected by the crisis.