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About the International Day of Family Remittances
Career , Technology & Telecom
Ends: Jun 16, 2023
DESCRIPTION:
The International Day of Family Remittances (IDFR), observed on 16 June, recognizes the contribution of over 200 million migrants to improve the lives of their 800 million family members in their home countries. This globally recognized day brings attention to the significant impact that these financial contributions have on households, communities, countries, and regions. It encourages governments, private sector entities, and civil society to maximize the impact of remittances.
The theme for the 2023-24 IDFR campaign highlights the role of digital technologies in enhancing financial inclusion in low- and middle-income countries (LMICs). It also focuses on reducing the cost of remittances to the target of 3% as outlined in Sustainable Development Goal (SDG) 10.c. The United Nations calls for promoting digital and financial solutions for remittances to foster greater social and economic resilience and inclusion.
In 2022, international remittances to LMICs totaled US$626 billion. These funds, typically transferred monthly in amounts between US$200-US$300, support basic household needs and have transformative effects on both households and local communities, enabling many families to achieve their ‘own’ SDGs. However, the cost of transferring funds remains high —averaging 6% for a US$200 transfer in the second quarter of 2022. The adoption of digital technologies in remittance services offers potential for reducing these costs and increasing efficiency, with mobile providers offering the best rates at 3.5%, though less than 1% of transactions are currently made through digital channels.
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