Remittances Review

ISSN:2059-6588 | e-ISSN: 2059-6596

ISSN:2059-6588 | e-ISSN: 2059-6596

The Impact of International Remittances on Poverty Alleviation in Bangladesh

Authors:
Bezon Kumar
Keywords
remittances, poverty, FGT index, logit model, Bangladesh ,

Abstract

This article mainly explores to what extent international remittances alleviate household poverty in Bangladesh. This study uses primary data collected from 216 households and employs multi-methods. Firstly, I measure the level of household poverty through Foster-Greer-Thorbecke index. The article secondly focuses on the impact of remittances on household poverty using a binary logistic regression model. I found that the level of poverty among remittance recipient households is notably lower than households that are not receiving remittances. Similarly, the probability of a household being poor is alleviated by 28.07 per cent if the household receives remittance. It can be suggested that nursing international remittances can be useful for poverty alleviation in Bangladesh.