Macroeconomic Factors Influencing Foreign Remittances: The Case of Bangladesh

Mohammad Bayezid Ali ()
Additional contact information
Mohammad Bayezid Ali: Jagannath University

International Journal of Academic Research in Accounting, Finance and Management Sciences, 2012, vol. 2, issue 3, 217-229

Abstract: This paper examines the influence of few selected macroeconomic factors which are assumed to have influence on the flow of foreign remittances in Bangladesh. Yearly data between 1976 and 2011 have incorporated and a multivariate time series regression model have been designed to estimate the absolute relationship between remittances and macroeconomic determinants. It has found that professional and unskilled migrant have very low negative but significant regression coefficients but semi-skilled migrants have positive significant coefficient. Among other macroeconomic factors deposit interest rates and foreign exchange rates are also found to have statistically significant coefficients. Test of Granger causality reveals that foreign remittances have bi-directional causality with semi-skilled and un-skilled migrants and have uni-directional causality from professional migrants to remittances and remittances to DSE all share price index. However, extensive investigation is very essential to identify other macro economic factors that might cause the flow of foreign remittances in Bangladesh.

Keywords: Foreign Remittance; Migrant; Macroeconomic Determinants; Host Country; Granger Causality (search for similar items in EconPapers)
JEL-codes: E24 E44 E66 (search for similar items in EconPapers)
Date: 2012
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (1)

Downloads: (external link)
http://www.hrmars.com/admin/pics/1145.pdf (application/pdf)
http://www.hrmars.com/admin/pics/1145.pdf (text/html)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:hur:ijaraf:v:2:y:2012:i:3:p:217-229

Access Statistics for this article

More articles in International Journal of Academic Research in Accounting, Finance and Management Sciences from Human Resource Management Academic Research Society, International Journal of Academic Research in Accounting, Finance and Management Sciences
Bibliographic data for series maintained by Hassan Danial Aslam ().