Publication

This policy brief assesses the extent of the decline in remittances and its impact on developing countries and reviews initial policy responses. The authors propose policies for destination and home countries that take into account the long-term benefits of international labor migration particularly for migrants and their home countries. They argue that protectionist policies that shift the burden of adjustment onto labor migrants and their home countries are inappropriate and ultimately self-defeating in an increasingly interdependent world. Rather, host country governments should adopt a long-term perspective and gradually expand opportunities for international labor migration, not limited to high-skilled workers.