Remittances of Indian Migrants to the Middle East!

Working Papar #o. I82

Remittances of Indian Migrants to the Hi6610 Baati An Aesesbbent 4th special reference to niQrante frcrs Xerala 8fata

Centre for Dev~lopmentstuciic: Ullmr, Trivendrum 695011 licrals -List -...of -Ebl-.----zs

I. ihticr.2.l mJ. 5kpa'tria.l;~L:>olk- Force in 7iva ;#LC jor i~iiddle&fitern Countries 57 2, Lil.lim i.li~~?ntWorkers in the Xid(9e Ezc;.t 5s

. - 5. Skill Coaposltidn c;f Pxy,atriatc ~oz!:t?~sin the; Xiddle htzc~orii.h>& to their :IOU:?COUI~JT-~ 6 1

7. Trend . Ln hr;',z's Rm,ittecccc Roccipts fj?

10, L-cl:,zah+; i'ower ~f Remitt~mcesfor Inas adother IC>!O!~ Ecprtik- hmtrics 66

'12. Lndic,'~Tta::lttmcc R~cciptufron the iliddlc &at ad o thcr Rccions 60 15,: Belctive Giportmce of Tcrsi.~:Eahul;,.:u llecol~tsfrola 3-2 PLiditl c East 69

$8, Consuiytion mc! ;.lous:n~ >itt 1::rne ir. sel ecterl Eatrict~ x,d in Kerala 7.1 )9. Statewise 5ie.tribution of ;'or ?;pita 3d: 1)s;osits ir7 I~ldiz, 'sclectcrl years 75 80, Ccst of tiviw Lidex hllbore LTLSeicctccl Centres or iCerda, 7530-82 76 . kplgynent 9f wcrkars by the Overscan Dovclopr.l.?nt and Ehplo~kni;;?comot.ir!n Consul tar.t s Ltd. of Kor- State, 197942 77 PART I l*Sgration to the Pliddle East

1. &qa.triats Labour in -tne :!iddlo &st 2. Migation fror- h,fia 3. Hlmatior! fro11 Eorala Skt~ f Skill Coaposition of -.ts

?ST 11 Inflow of Rmitt;~oss

7. fqgceete ~+ai$tmccRecaiptti 2. Remittances on!) BQlla~.teof Paplonts 3. hrixin 01' Hemittancea 2emit.tancos UI~other Foreil.3 EScc-e Xeceipts from the b!iddle &st

. n Macro Level %idonce from Ibr2la 1. hcone 2: Con~uuption 3. i'ricz~

PUB!,Fi Policies adl;rocedur?s

?ART .V Futuro.imspects and 2olicy Li;>lioatiqns 1-lfgmtion at' ~arkersto otha countzieo is not dmething new in India, Over t>:e past one fnmrked yoao or little .aoye,

'the= havo been a few major waveE of errlszticn. 'hkero £-.am

India went to oountziea SFI fax as the present G\l;ysuls, and Surirsn

In re0ent ym, s god ::miber of woS:ax~fxom kdla mipa- ted to tbe U.K. %at of tMs nipation took plae Fn tfre wLeand eady 60's. Iltlring t;le Gane period, anC poaeibly for acqo' time thmeafter, there also took place a oiaesble nwz:wnt of wdrhs b

-the kite&Staten c r'd Canada. Th~m, it 2s eljthted that to&,.. , ecroa

750,000 persons of Lidkn o,-igh live .3a the U.K., 200,OCO in Canada

2!j0,000 in the 3.S.L Diese mbors dn&lude m>keze and the

mmtion of workerr frm India. !Phi3 wave has been directed to&

.Che i'Uddle East, etqeoially toxsd~the oil &qmting muntriea banlezing the Pezsian Gul.

Inflow of remittances it; the reverse of the ;;ma cob *i&

8. lw'migration of workers on one ~ide, ht the nature, 'extent du9ation of xewittanc'e irdlow cebound to differ fzorndgratich.1 , - tb. migration .beauee each migration has its own qocial f~etmh..

Alho, tha a,&nificance of rtaitt~me'Mow Ufcrs -QW be.to the, 'depm~~lkp~pan the varj.oua eoomdo circwetam(a'.@-.. , *the labour .expdrth oomtry. It is the purpose of thi~paper to analyse the remittarme inflow resulting froia the migration cf Indian workers to t!~eMiddle

East &I the context. of the currCr!t ccononic oi-tuation in India.

Shoe the rnajor past of the o~itflowof ampower to the Middle East has.baen scntribmted by the State of Xerda, the ma1ysi0 4s

.specially focuased on the migratior, fr~mKerda.

The pa.per i6 divided into five parts; Part I reviews the experience- so far Fn the migration from India to the Middle &st.

It is still en on-gahg eqerimoe and its fukre course is a natter of one's Judgment. me contribution of the State of Kerala in this oukflow of mpower frm Idia has also been assessed in this secticn.

Sn -Past Il, a review of the trend in Lnala'a remittance receipts ie f oUowed by an attempt at cstinfiting,%he contribution of Middle ht. to .this inflow. 'Ahat part of the reinittam; receipts flow intc Kerds

State has dso be$ attempted. me imwct cf remittmcea on the- economy, of hdiz is doalt r.ri't1.l . A Pqt TI I.. %re, use has been made nf not only the nacre level evidence but ~GJthe micro-level find-

Inga. of a few =&dies of village= of hi& migration in eral la Stzte,

Wcb were conducted ILn recent years. Part IV describes atld a-@yses ik$ va~iouqpolicies and procedurec followed in India wi-t;h respect to both the e&)ort of manpower as woll as the inflod of mittances.

In the following src$iori, ktV, n review is made of the future pee- f pots with regard to mig-r,ztior, to .tho Kiddle rkt frop the developing cowtries in and-ldia in-particular and the policy reqoniies mneral *. that the cbg9lng situation my pasib$ woke. The papex concludes with c?. few gmeml obsmtions. (I) Fkpatriatc Jaw ~''O~CGiri the MiLdlc. E&

Acoording to one estimate (-~oeTa3le 1 ) the orp:.~i;riate,non- netimd, laboljx force in five Laajor labour import- coxmkies of the

I'Ziddle Eh~t(Saudi Arabis, Libya, Kuwait, .G!a*ta an2 United Arab Eniratee) wag around 2.5 aillion in 1980. iletwem 1975 and 198d, thi3 labour foroa grew nt about 8 per cont annlly. (~ccScra@ldh~ md Sockrilt,

1980, ~*33.>

That tile dependence in the Middle &.st on expatriate lc-bow, wkich was airs* considerable 2-mn i7i 1975, has increased further Fn recent yei,,rs is nlao brought out in T~ble1, According to a more reoent report (see The Eu&stern Econoxic Rwicw, I\Ja.rch 3, 198:) 70 per cent of tire workers in Szudi Arzbic. in 1982-83 were expatriates. T!ie eati- mte fox 1380, ci>ed earlier, wm Wt Saudi dependence ar expatriate workers was of the order of 51 per cent.

Probably, mnrc .th:-m t!ic: ovo3?Yll depende:lcc; on eqatriatc lab~ur,

betji6nUic.ul.t ~!C\>.,L;C j.n rscclit yecs i?-tIie iiliddle k3t' 1.h~=?cet

h been ~1,;lectlxit: co:;rposition o: tj:~>m~?triat~ labow force. &L

mpdlng p~,t,psrL.:ton01' the cxp-1;rj.t~lilbour in tht rlidrlle Fkst is

be'* hun, ir~roc2nt ydkrs, fro::; nc:n-k~*:.i~ souc;?c. In 1375, more

h-70 per cent of mii:r:u~t wer!ccr3 i;. ~IIE1c~bou.r ir;lportL?g if:idcflz bat

awrrtrio~c,ms i'nxn the nsi& boU.in;* h::b so~mtriso, Thih prc-portion,

it is rcportcd, i\.= boen on tti~docline we: since. (sex 3irh and Sinalb, 1980, p34). An incr :.lsir_g dependenoe ox Asian labour force

was in evidence in &hrain, Uit, @tax at? UAE alzoady in the first

half of the 1970'8; in 1975, 46 per cent or' migrant workers in these

countries weze fmm Asia. On the other hand, in 1975 Lxbs constitu-

ted 90 per cent of Zhe migrant worHorcs in Saudi Arabia, the largeet

eoonomy of the region. Even there tho corqosition of expatriate work-

forcs haa been changing markedly in favour of the hian6 shci: tnan.

('see Birka and SinclaLz, 1980, p.31).

India has emerged as one of the a&Jor participants in the recent

export of labourers to tho Middle Ehfd. No attempt has, however, been

made' thus far to collect in a ayetematio mznner information on Indian

m~tim,Availabla infomation from diffc~-r?ntmuroo8 ie not amenable

to eaffy aggregation and cornpaison. However, by piecing topther tho

information, certain bzwc;c! oidoru;: c;IupZitlLde arrd trend6 can bo dis-

oorned. Tablo 2 givca eetlmatee of hdlan. uigmt workers (and total

In the Middle &st, - It appease that tho nmbor .af mi@ant

vorkers from 3ndia .to Middlo East grew from 150 tlsousand in 1975 to

between 800 thousand and a million in .1983. 'Ibis approximat ea to a

growth rate of about 25 per oant per anrrum.

There ms possibly some accalcrntion i.11 tic: growth rste of In&m migmnt workam in thc Ijiddlc E~cti? qoro recent yeuz: from 20 per ce3t ~wudlybetwoen '1975 ad1977 tc' 25 ger cent bctwcen 1977 'ad

7 979 and to over 25 pcr cent batwen 1979 and 19@. Liatc;-ly, 'S-LC Indian

Labom PTinietry ha^ provided mual e~tizldiosof the nubar of Indian workers \<)lo regis tercd for c:L;le:;-i;ion, %eae cs sht3s &?proximats

&st they ase not complktely adequate :irii~cethw (1 ) iwlucle mipmts to countries beside8 t!lc ~icXle,&st so1.mtriuo; (2) d30 hcludc a nunbcr 01 worcers e;~iligJC SCOGY.? (or higher cjrder) vork oontract;

(3) do not c2.$ur2 th:: nmbcr of Fllog21 rnig~mtsj:-mi (4.j do not also c~gtursprofessional migrata &LO are not r~quircdto raginter,

PJSO rewn flow ha to bc &owcd for. Despite these deficiencies, ndbmrk in mind that thc scopi; for nLgrati.cn to countries other thhn those in the Middl.~&at h2s becq ejctronely limitad? tl:c figures on workers rc;@storad for zdgmtion can be taken sa UL in2Lcsti.on of the

~jmoof mipaticjn to the FUddls Fhst. Tilo nunber of workors rogisterod for mipation increased frmi l'j'O,W II- 1979 to 230,060 in 1790 :wid rorzohed 2'70, OCIO in 13el. T%c fi,wi!for 1982 ho-,evl;r, shor~sa decUna to 240,000 md t& wc~tions,based on thc fibes for the first few months of l9t3j3 arc that the nmbcr zight kc the sazc in this yq.

[~oehdon 1983; Indi?, IWstr~-of Labsirr, 1983). 'rJhilc pi11m thc wcaegs of data bees, it would not be right to read too mucll Lit0

of xy sigr&Cic:m$ deceloratiol~tl tho clutflcw of InkLan migrants to

.thz Middl0 %st.

1-1; vzs som abovc tht the totc:l ilflow of misr,nt workers in th~Midao &st hl~j:0b~0~1at 8 30r 01-:nt annually. Given their si@= .

dl ~5gr;mt~-m&zrs i.i thi Middle Bust i)lor&sOd frou only 8.5 per omt r\ I~E~h~;->p ncltcd above in Scudi. icabia'~;petf,'c!m of -imztion lo Importat fro):;the point of view of tho rni@ztior, of hdim workrxzs.

Pixstly, Sar;E c~~acitpto absorb labo:~is vory much larger and also. thc w=gc level^ W~zrcare significmtly abovc thosa in the other 1abol;r importing countries of. fhc region. Secondly, the proportion of n:kmt !>??kers in Sudi Akbia, !XLE been ol~tlic fncreasa; frou 2 pa ocnt in 1975 it jncrcaaed to about 8 percent.bl 1319 ?ad is, perhaps

15 per ccnt in 1.383. This ha possibly Scwi a major f=>tor susta-

Indi3rl ozigzation in the pest two three yens. Flow, thc largest single coucantration cl India-1 migrants is ko iongel- U33, 3nd the ahare of ncig uoaers. go* there has been -declii. Indscd, the ~tsolu- Let figcation since 1375 to Saudi bdijia h.13 alr5oo.t cs-y &ah ~~~.c;c tb. tot US. !s 2 consequcncc, Saudi tmbiats slue cf India nigmmts to dl Middle &st cour~tri::~ir~orenscil .€?om cbout a .I;cn%h in 19?3 to a +t littls wer ono fifth in 1573, to ::?:.ch h quarter in 1963.

(3) gsa-l;icri from Ker~ltsState

(a) Recent '*ride : Witilin India, the. r-etion to tho Midblb kt has been co,wc!ntrated to Y few regions. @A, ~~€ol-;7iti3n01% kh.2 sW jcct is neitiler comprc!~cnsive nor continxous. However, for tl?s state I

-.r &cor&Lng to a i~ostrecwft &sti.n~t.ezt+zcibatod t% L?Te d~;rendnhlc:info~lstion

in availablc;. The Stcti?'s Dircctorato of Rzon~~iice.?;xi 5tctistia;

conducts8 two ~czrveys, onc towasdn tiio mr! oi' 19-/'f uii ,b.other in the

be&-ii:ing of IYUO in cihic.11. irfozmtion ie,S ca?~lv::sscd311 ~::igrx,ts

%broad u~d'their lomtion. second c;l;rvzy alsc collcoted sopie in-

fon.uztion OR .ttlt: eciucs.tiord quitllCicctions &?dt!lc ~lcillof thc rnipmta.

f~acord* to tbs cccond ,?u.-vcg., out of 203 tk~ouaxdGrslitds working

abroad a9 .zny as 1S7 thuuszn.3 were working ir~the ihdiil e &st in

euly 1960. (~ecKexla, Erectorztc of &onornics ?-!I% SI;atistics,

Lidh workzrs in tho lbddle &st in 1979 (SCC Table 2) Kcrctlitoc could

thus bs said tc iu-ve foxned about half of the Indim 1zcrkers %ern.

abrpad fm?Xer.11a (~erc.il:;,Xrtztorat 2 of ~onc~ic.smc;. Stktistico,

1982, p.~).. 0Y tlicse, at lir-gt YO pcr cent, JLf not mre, migz~ted

to the N$d.fZe-E~et. &o19 &ble 2, it would Xlso be 962.7 tlmt th~?

total India1 ontflcw between 1977 ?ad 1979 is uat&ijn?.to(l at ribcut

140,000. 3ius it. wuld appem that not only did Kmda ilccount fox

.&*vmy ~jorpzxt of stock cf L~dimmigrants in the Middle East

'\ 'but also iM gontributiog tc tllc flow of nima>ts continued to be i

Since 1979, tht; avcragc WIIIKLoutflow of Indian workcrs to

ra-te of ~~ rwt outilow f02, ttlc tllruc yo= periods, 1079-62, - cttcdd .4;. 'kbecn sf th~'order ~f I80,@~09 P~~CTCon2 ~llowodfor so!;;c -- ...- - -I_-- -.------'"--.- ---.--a -- --- . .?, ,L ,..,.-,-I---- u I' Skc2 hkistc1si c~mua~l.ou.tflo;~ to t3c; _Niiddlc! E-2~-t:h?s 3321 ;l;~o'md

153,000 (A.hnd, 1982, p .1 ;; it vc;1il2 >,>$car t1-a?' :;!!@ ;z!,p Lcth-con the stock of I~d-i??_ad Pzkistani -1ror1:crs ir~the Nidcilo 'kst hzs been m-ount of return flow. Set ,a.gair?at the outflow of workora from me country es :dlcld, th, shms oof ;Cc3rzla i? tile outflow dur* the period secr~:s to have dsclinad ~ignific.~atly,About 1 5,000 workers reported -ti hvc rogistercd mWly for mimation at,the nfficee of

the hotoctors of Ehigrants within Korzla in tkte first two yam. - - Siqcc, at least-twice that nmber of Kerzlites m&stm out aid^ K&,

the amount of outflow from Keda in reeat years l~spoasib&,been

of the order of 40-45 thousand aa a@irst "he est~tedoutflow,af 1-80

Bh&&id for the country as a whole. If this 'eathate of tho re.cent

,annuil outflow from I(er.4.a is broadly correct, then in oql;. 1983 , . thore were 310-325,'thouand workers from ICerala in the Middle %st, M fo- about 33-40 per cent of the total Indian workers;

It would appear that whilG aggregate indizin migration to th9

Middle &st has bcor, on thc increase and m;. particularly buoyant

botwo& 1979 and 1981., . the outflow of workers from Kemla doas nbt

likely that Ma's heir. the atock of Laanpipant workars i.~

tho Midae East my have doclinhd so,:lo&a.t.

-- *..------A _I --- >7 hcertaincd in pwsoml inteivieus, Thosc nigratw in pups, it is .understood, tend to register in Boab~an3 Eew Dolhi;

Hi. Rowcvor;sccord.~ to ths rcccnt report attribuw to~kdin's Wterof State for ZktdLffsirs, as 'many ea 54 pcr ccnt of 4.thc I4Jhdia.n worlccr~ in six Gulf countriss ir,clu?Lng Scuhi flrabia, wore from ths Stctc of KOxtia. In 'that oaec,."thb outflw fro^

KWcla, in raopnt yoas,* sWdhavb hem of tho ordd? 0% 80-96 -' thodipey amurn ire., twice ~~fl'high aa Sndianted in tho text-. .. ' d (b) F~6r;~4p@i&of nimzi-ur fro3 Korz-i king tha last hadecades, the people of Rer3I.n ahowed quit0 a propensiw to migm%e. In 1971, mit,~tsto other etztes fanned about 5 por c& "r of Rorala'e population (and 15 per ocnt of the mrlcforce). Relative

-tc mi@zmts fzon other Sktaa, Xmda's intcr-state migrants lma sw-

' ficmtly highor edwationd attc?h~~xrtaand were" lnoro conoehtrc;,tcd in profcseiorial, a~lstxativo,wid clcricd jobs. Tbero lu.8 boen 2 eteeql dccllne, however, in the cxtont or^ cligntiqn frm lkvd.~k4 other Stp-tee. In thc 13%', the avomgc net oubi-tion was 26,000 persons annually; i.?i t&o 19608 the number was 25,WO; and during the- two yeaxs, 1978 .ad 1979, only 5,000 wpkera migrghted to other m of India (~ulikcr, 1978, Table 6.1 and Rcrals, Tlhsotorato of j%ummi~e and Statistics, 1962, p.44).

Tho pattern of ni~tionfrom IZerala has &mged si&if401&... .

& recent yoare. ITOWthe bul!- of the aigmte arc going abrgab, ,Aq hdabove; f$ two y-8, 1978 d 1379, 73i000 workera went

Weonly 5,W'lyent to bther parte of India. A'L~=inat tha.$,

1997, oht of 432,m0-igrmta, only 31 per cent were workkg &side

India" (&ra,la, DFzreo-tomtb of kd23ad 3tatiSti~~, 1982, P.44).

Bspieo signific-t ouknigrntion, by 1 980, the proportion of outmigrant! to wos~sforcohd -on to lcsa 10 per ocnt as cap- red ts 15 per oent ;Ln 1971. The steep declincr' io 'pertzaps %:.*:- iy etati~tio~zl~ehe-the dof fnitim of 'worker' in 1971 was much mom s-mt 4hn in 1981 . . &ww,r, p.x-k of the doding- wr: paps . .' genuine and haa represented a fall in zigcstion to other. Indim 'sfates

for wh$&- the ipternational migraiton had not oompcnss$od adequatal

T~b'ls3 gives i;he profile of KerLdalsmigrx21.1ta in 1980. Of

the 51 0 thousad ni~mts,ab&t thrcc-f if tb werd in othor Inirian

titate%, over one-Wd in the Middle btcountries ?ad 1-6 khan one-

b~onticthin otiier foreign countries. ?Ihc e&cational -c.ttaimwts

(ma3 hcnco t\Ie skill composition and riaturc of jobo) wore strW.&y

UfercnQ.according to tho destination. At onc oxtromo, one of four

nigrunts to norl-E/iiddlc &st foreign countries had a grofcosionaJ. depoe

and only- about one-third had less than ecconday achool education. At

tho other cxtrego, 70 par c&t of thls j~p~atsto the' Middle bthad

lesm than seccmdqy schcol oCucsation (th&.hilI< of thcsc 'had no skills

at &1) and only 6 per cent had prof easional qw3ifications. 'Phe &u-

oationdi status of ;nigrznte b oti~~Indian statea fcll between these

' (c) Possiblc E"sto;.s bohihd ni,yratics: I'iIiilc no .cttcrn>t is made hcra .. . k provide a general -tineory of sigmtiori, zn zttqt is =ds to iden- * tw what amcar to be asjor f~ctorsbohind atio ion f~oi:,Kczlr.,

particularly tht 51 recent ycars.

Ono principal fnotsr Is th~pressure of populat'ion on l:l~~'d.

KarjLa ha; thc highcgt population density ir~the country (6% gcrsas

por sqwc k.:. zs =>inst the mtional dansity of 216 j_n 1981 ). %isi

'nas resulted in: (a) the lowcat worker pzrtici~atianrate' in tha cm?;rs.

(h 1981, 3~ppsr cat of Kcrd.a's population. was in the- world.arce 2s againet the n&tional aVera&J of 3tl p@r cont) and (b) the hi&e.t unes plopen* rate (in 1979-80, 25 per cent of the labour farce .in Kerala w8a ulrr~loyedwhen the national average was 8 per cent). Cn account'of in- adeq~latework opportunities and given the relatively much more we11 developed eduoatioml infrastructure in the %ate, there is a greater tendency to eontirnre as a atudent in Gmla than in the other states, d, corre~~;)o~ldingly,the incidence of eduoated unemployed ie very much greater.

Given the -lkrge pool of oduoated~~mployed, it ia only natural ht A good number haa tended to spill at of &rela in aeamh of emplcyant,

Them am thus two mig~a~lttatreams : olle cansieting of losgzly un- skilled workers, almo~tall &a, mting predominantly from Gal f o suppleqent family income derived fmn agrimlture ar other !.ow+m- ductivity rural aocu?atlomt the other stream consists more of urban based, relatively bettor educate& Den snd wacllen. Mi&rmto t~ the ~iiihla

EAB~have come primarily from W forwer etrem, though it io possib~e that wer time there hea been soma contributions from latter etrom as

-11. !he mimtioo to the Mime East icr th.8 only prtly 2 dive-ion of thorn who would have otherwise gone to other Indian Statea, for the latter migration drew to a oonsiderable oxtent on the urban edupcted.

The recent declb in.d@x%tionto other states probably reflects both

-the mZT0wing of inte~tatedifferences in educhtional attaimante and the slower growth of work opportunities outside KeraJa.

rough corro)oration of these hypothesis is obtained frm m examination of the infomation relating to the districts of high migrction. !he thedistriots with the highest udgratior: in =cent yeass relatip.& 'to their wcylcfal-.:e arb liateh in Table 4. All &ed. districts have hi.&wr' gopulation Zensit its, '&& si~icdlylow worker participztion Atoa tkcm t+ 'SLto auerqp&. Allopptyj, *whish . sends it8 rn&mnte mew to 3thm ri'gLon~of &&fa, h.2~zmh hi@ar thStaCc ~ve;ragoIitoracjr &atst )ldappuraz, .f.ront w!rere wzhrz . go -principally to +.he PEdd3.e %st, haa rc-lativeljr low ~iter-Cucy rzix and Trichur, which sends workers to 'boththe mdUe &st .acd otbc hlkn States, -has a literacy mto ' that fells in'bettrcen;

(4) SUl omposition of rdmmt~,

Pocor~gto ohf asthis (see ~bevit.md hlkial~,1978, ;.3(:)

14 per, cent of wtworkwa in thc Middle %st were en?@oyed ~n'' adod, technical and man?.rn,daloocupaticne, r&-ile .et\out two-

Givm the 81-U ooinpo~itionof migrant workers 'in the liddlo kt, '*e oonizibution of the different Lahour qcTting oountrios to

by 'country of origh me avaf lablc: only ,for Xuia5.t;-for tho year, 1375

(see %ble 5). dbo71S ptx cent of warkern' fran Pilps%ins and about 35 per cent osch fron J~kdnnand Ea)pt were. .profeioiqwls with. a, .Mmrait:- degree or tccMivls with poet-eroondiuy school oduontim sr tr-:i; the.omcsponding po~mt~sfor &&a adPdci'etaa wore '14 an& 9 80 mepootively. While 65 per cent Intihis and Ber.&hbi?dciitylia wcrc. . 'unsk~lihdor had namd -skills; the oome~~onbingpportione . for -Wad- tine, mt and Jo- wme 27, 61 -. 47i As between tho three *.:lor labour oxpcrti-a& countrieo of South

.lei% there hns becn sm important differenoe betwoon 1nt&j on the me hand and PaFiafaa and Bangladesh on the 0th~~.While the -or-

tion of Wc oompletcly lwl~tkilledwoskors is , signific=tly hi& in the case of ixigc:ints from India, Pakistmia Ad %agl-r,dashis h,zve, tc s mwkzdly grcatm axtent, possessed nosre mlLual skill. &en the.

State of Keraln, which has by fx the !ii&ee-t literacy mte in -he.,

Bouth Aaia, hoe sent more uncjdUbd woxkera to the Piiddle Eaat -baa

P&ista~asd .Bangladeah (see Table 5). It therefore app-s kt tQem vwe feA-2.y distinot regiord profiles of rnigx,nte.

There axe reasons, howover, to believe bat sinoe 1775 the average ak;Lll love1 of Indian migrants inlproved tame-t. 'Ilhis ba sam fron a.C~~~ZT~GO~ betyeen Indian mig~ant~rker8 ih &wait

1975 and mig~wtsto the Middle ktfm Xesala.in 1980 (see Tablo 5). msshows thf tho averago s1:ill levdl .of Kernla's n2grwts b lw ie hlghor Sm- the aicii.1 1.~2~of ;:isillits fmn Indin in 1975. 'In.

1980, -1 8 per omt of ~~eralafg~~CL~TEL~~S were prafossioMo or &ad pod+ seoc~la&r3I teduriccll uducation; the corresponding p~oportionfo+ In& firkere in aUdt in 1975 ks14 per .oenf. The proporticn of urr ekiUed workors uafJ 48.9 per cent of mFgmnts' frain &&a (1980) and,

51.8 per cent for ;aigrmts frm India (1975). At.the ame tipe, an intares+hg aspect of the oh;m&.~rg &a1 composition of "the m&pnts appeare to be the rwersal cf pc~p~~tionswithin skilled and smi- sWLled group. The proportion of thoee in'olericd and offioe oooupar tiom ha8 decline& that of manual worlcerg .,&p hcrensed shasply. - However, the aontimed, . 'heavy prepondkce'of m&Uled migra- tiori frch Lndia swts,.. a., sor$ of stable co~trypatbedn ofihigration. hzgeLP 'eldl1 clanan& in the i'3iWe kt'have .pslobab3y been met by

&$& 'mi~tMnof, &ills fram pubiou& migions idcountries rather than thro+ an upgradation .ofski118 from labour expo- ke@m and oountriea. !hm,. .it appeama ' that the 'increased damand for diksl Mls has been met vwhtgely, by 'Fddetan ana Bangladesh, whereae. Ma(go- by the information amable fox ~era3a)hae cam- timed tosupply --untllriu~d labour* ~aklstan.,.it appears, wodd &we exported more akilled workem to the Middle &st but for €he &.or-

= of such wo*ers it has begun to q,eriexpe (gee wad', 1982, Pptl,3-)6). Greater! prof esaimaJ./tec~oalerkills are .probably be--

baporCed from South bathrou& "pm jectn isports and from VJmtam . - omb.iea. % direct ampiria evidence' is available on wheth=r r?i't!

l3S~regions other than brala have exported ayerage. skill '

laPels than Kemla. . hen if that wuld be ,weitdent with the Mter

akllll demand in the Middle &st and tho inbicition of possibly fall93

&gee pf Kq&i dn ImUm'migration, it mu?& still pt be consifrkat . Wte! the Wtiue apply (or exc'ess sqply) of Bkille wit4jn Ice-. - ,, . ' -1 Inflow of Remittance~

Rernittanc~sikon Indian workas stassing abromi &e recorded principally as 'private.tra~sfers'in the'ourrent &count of the bal,moe of payments statistics publiahdd by Ble ~ekerve13ank of India. 'Jhese reaeipts have constituted LL tl~irdor e. little nore of the 5~ossreceipts

BOCO~~of invisibie8 dm&? the peri6d 91 970-71 and 19814%. f sea

'Pable 6 column (8) -.7. in daitian, the oapital moujlt of -the balance of payments statistide-records net okwec in the external accounts, denamhated either ir,.rupoes or foreim currencies (viz. , Sterliag or Iiol1a.r ) , of the: non-rcaident Indians. Until reo~ntly,these aocounts wore oliyiblo tq the sJme rate af interest as tha dmestic accolmts of

Compaxable maturity hit were exapt from ircome mci wealth Woe and oould be repatriated fully. Slnce April 1, 1982, the extern&lmoounts axe eMgible for a preraium of 2 per ount over and abm the intomet rate allowed to damestic accounts ol' com~lematurity. Ln the five ymms ending wi tlz 1'3@ -82, tile nocr~tion6 to %he external accounts

I aacmted for kctween 10 to 20 pes cent of the total remittarme receipts of Lldia. [see Table 7, column [q 2) -7.

BP can be seen from 'Pahlr; 7 fcolumn (IO)~,total rcaittmce

rcaeipte of 1ndi3 wer6 b2j,000 rrdlion in IYGI -32, ' 'fie~cwere wtly C. lower i$m those in 1980-81 . But tho rcmittanoo reoeipto 1-lad recordW3' @enolccnal incresses in both 1 ,?79-89 .and 1900-83 so that the l'im,, for 1980-81 was rn0xi.c thnn twicu that for 1378~79.

hntrcj to tfle .fears expressed-in tho wly part of 1983 t;~?:: r&ttancc receipts in 1982-33 night be lcwc,- tlm thoee irj. 1980W1;

-the-latestinfomtiun in this sogard is, that these receipts mi&% well ba somewhat higher, partiouLarly on accamt of the signifimit inmase in tho ivLClow of remittances cm oapitzl aacount. MdI

.mcoun-cs of nor--&residentIndians registered an increase to the tunL. :f

9~5,513 inillions ciain& the fisoal year ending Ibch 31, 1983. On thc

~'~t~oa*\;at tho raqittmce rcceipts on r&emo acoo~mth 4302-8 j were of the WAC order a in 1981-82, viz., * k. 21,000 million, the

. , addition of ccpitzl ~ccktreceipt8 of ?&5,500 billion gives e 9igw-c of Rs26,500 mFllian wkich im hwa.than the oorrespondiag figure in

79-2 of 1kA25;j0O rd1'ic;n by 17 per cant. It is no hbta ~0deS-i rate df incr~zzctc~mpasd tc, f:?e incro?,sec recorded dming moat decade since 1372-73 but it is q-~te.high h itsolf,

In Tabl(: 0, is preaentod the position of rmAttanc@receipts of

India relntive to major 4xQnnce of wents cotqoriee. earth of cedthacc. receipts has been .partlcubzly fast In reuti.cn .to eqor:~.

In 1974-751 rdttanccs were only 7 fir text of cqort recei2ts b:~t

)by 1980-81 ths proportion ms almost 27 psr cent. Tlii~har2e~cd de@t@ an kripreasive vrtpcrfomzqcc in the 1970s co~~pmdto tb-e

earlier export @mwth. kdian cxporta, ~a3u6dFr, US dollzre, - .- -8 ----.-,- increased at 5.7 per oent au~uiilyiil the 1960s and at 17.5 per cent * ,onnually in the 1970~.

Remittance g~owthhas been ~mchmore modas: hen aesn in rul.&ian .- to hvieible receipka t as a peroentwe of'Invisible receipt a reoiittancea

boreaeed.fram 28 pe.r cant in 1974-75 to per cent Fn 1375=7b, flu-

ctuatsd in a nzrrow range - till 7 9'79-80 and reached 40 percent iq -1980-81.

This reflect0 the inpor,tance or ~ernittance~ae a major component of

hvisible rooeipts remittanceo i.11 hdials balance of payments, tha&,

at -tihe same time, it indicates that eomc of the o.t;her componcnte of

the invi~ibloreaeipts, as for example travel, !~vealso been quite

dynamic in growth.

In relation to iuports also the grow-& of renitte;nceo has been qui-be Lmpaessive. Betwccn 1974-75 and 1977-78, the volume of inpom

in~aeedby 30 par ocni aad yet ramittanaes aa a proportion of Lnporh pa3rmonts inoreaaod significantly. !fowcwcr, this perforvlsnoo oddnot be maintained in the next two years 2espitc virtud st-tion of im- gor-bs, largely becauac import prices (unit ~~ueindzx) mso by 45 per cent, Rdttancc growth of 7980-81 was lmgo mou& to raise the ramitf&nte~/i,@~ort~EQTID~~B ratio to a level sltg3Qly abcve the maxhm rembcd ;In 1377/78 won though tlac volwns of i~lportsinarw&d by 47 per cent cvcr tha prtvioys year; this time tilie decline &I irnprt -;:+ prima halpsd. . Tho growth 6f 'India's ro~oitt;anc&rewi.2-ki rel~?~tiv~ * See IMP', Ifitornational Pinancia2 Statzstios, 6qplailcnt 0x1 Trade BfatistJcs, 7983.

:La: 8. ,. Tho details of import volw~cmd..unit wul; Fndio~s*C Tram Indla, Ebononic 3u-vey, 1982-83, A@pdix Table 6.8, to anorcssation payments '1-~saJso been mom or leso ebi1a.r to tint

relative to import paymmts',

b cor~piirimnizas bccn attcqtod .fL00 of. tho Indian pcrformrznoo with that of otter mjor labour ~~ortiwcountrios (~e&lhbla 9)". . ...* dttancee as 3 propaction .of bpoxts ~ndother okx~ont~ments kavo

,pawn pztis12arcl~r~pidjy in Pakistan, Ymen (FIR), %ngladsh, rsUdm, mt Ski kh. &vi! mt grown significantly in Piorocco,

Jorh, T~ni613and South caet hian cc~untzies, 3outh Korea, Philirphcs

aad 'l2lailuld. Indb'a p~xfomulcafallc somewhere betwsen Chmc tm

om illso be a reflection of' slow import growth. 'Po lh;, atcnt th+ n- mstraht in ti12 hpc;rt 01 c;acential goodab it cabs d~trhent?~

to gmwth. It is necessari, thc2ef ora, to exmino whether renittwds kvb bean sble to mwfzst er~mg* to psmxit l&ger v~lumese

Viewed thus, it wo-dd appcm tht dospite risw Ltport priccs ths

\ the country tc finar~cean increcs:Lw voltmu of imports. Tably 10 nhows

receipts fxom 157-0 1981. , fktwccn 1974 and 1978, the puxo@t@~~g

the effect of the firat xound. oZ oil price*hike could he offso.$ CKA

tbw in 1978 by a per oc& anti 150 pox ecxt r~spctiwljr, juet &out rr-&ed Weir pumhesiog power becausz, it wa8 dm- ?9'i?-M thnt sppond round of oil price inorome ?ca&d. ' ,in att t has bc2r-t 1u:'le 5o conpar6 thb hdiyl exQe~iehc6with

C 'fhc expericncr: uf o.ther major lzbour o2i)orting ccuntri.ea in r.?&md to

* - the -&miw power of &nit tact. raceipts. Co:,~p.irkblceotiiited

Qf cggregate inflows for 1373 1374 arc nct aviil3bla, but 2.s in

Ind& Is czcc, thetpurchasing. p~wdrof ag,,pe&zte'rcr.littmcc;c almost .

certainly fall shaql;j bct+ieen 1375 md 1.9'14; ac;mc~~t5flci.!~, -t;ll~rc-

afta, mv, as in the %li?i?ncanc, faster thxl Ljil price u2t0 1978.

Z'vidently, -l;hz paca of re~~littznde izElotr W~EImch gtxater fox couritries

other tl:m 1ndi.r~bccausc l;hc -purci~-zs;ngpower of tll~irrt:nit.tmce re-

ceipts in 1378 wao highc-r thm in 1975 by 145 por cent as again& 102

pcr ccnt for India. But j.n the a2hpcqucnt -two ycmo, 1979 and 1380

the purchaning povdr of thd rcmitt~u-ulccrcceipts of the courrtri2s other

than Lne.ia decliEc2 shcu~ly,~h;=eas for India, as stated already, it

rair~taincdits lzvzl. For 1981 .tic puch3ing powor of tk12 rfdttmcc

rccdipts af' thes<.:,dter cc-:ur_tr<.~??sdf~rzd a further fall of 20 per

cent. :.hi: corres~ondin$ fall i : India. rqas of thc 3rd~~bi: 15 per cent

.-w;i% India'u receipts hiving stayed lit rnore cr less t;?e 3am~.1mTe1

b thc prc.: t.&.ig yc.u aid oil priau hn-..incl; riscn by c1~7cr1 3 per cknt .

aeperiod till 1977-79 caw .Lh;hc succzssZui a&juekncnt of the

Indim gconcl.iy to the first r~mdof oil price incr6aoi.s. 91crc was a cleficit .

trade surplus ir: 1g176/7'7 :end i!nly 2~ d.nor,/h-A 1977170. A3 s result, 'Z 1 the h?ri;asoii miitt,mces wkl~t;ssm.tialiy to aup~~~tb&ih~country :;

foreign exchange reserves. %is happcnod oven thou& tilere Gas a

ocaantial m+;:;lodityI1;ipurt.t~ with a visir to hclding th: price 1,:vol.

wan a ,jump in 3f oil m;:n: 3hq .ths .leva1 ddib.1~ klportn i'rm t?s1,00(1-

million in 1376-77 to 1;;. 7,120 milli5n in I 9'77-75, adsillcc - thcrL,edible oil.imports Pave, 02 a: war--, bccn of t!ie value of 2:. 1,000 uinn,. 1 a par. The impart of f$rtiliSers d irsn;cnd steel were olgo -stcrpped

up. or Pu,~crdet~ils or1 bpcrt icnda flt,or 1976/77, ~06E'a;ym, 1902, 'Pablc 7). Ute@ths .aeoond nhaq hikc in oil prices In ?~-Eo, tla sihtion drsvalopcd diff aently. b%~' n Lxport bill went u2

mbstantially. ikroover, with oxport .routh falt ming oincow ,197$/'i'~ I

the -trade deficit ksbeen @owing; altl~ougbrmittancs receipts ere;;:

fasf Csoe Tablc 8, Raw (ivy they bcon fin+ncing n dcccsesing

portion of tbe trade deficit.

&m -egatc statistics for tho whole world and aajor oo-tz:t.ry

grou~i~qp,it can be soon kst Qle ztmctura cf ?.rarli? rdtt?mc&''flc!~3 chmged sigdficm-tly duing the 1970s (see Table 1) . txou outflows frcm~oil cxporthg countries wcm 7.5 por cent of totd uorld

period, the share of d~vclogcrlm!:et econor;li~8iri raaiti~*~.r,c oxtf l:.\-.?

declined fra fourcfiftlls to two-thi;'c!s. At tl:;. rcccivi?g and, >Lid;:

the share of no3-oj.l d~clopingcou_r_tri;n ill rcrdf tancc itiflbwo A.a,~!:k'.! l

It is important to' r-otc tkr3.t ths devclop~d&et zcono!:;ic_=::;..\r, .. -.. b , 'iq'--

- .- --- ..------d---u -.- -- . - --. ------. .- ..--... - 1) ', .Tho p5opcrtion in 1300 was p2@bab1~highe, shac .k4c:. e:.; 4: . .: not inclrrcic ~~itflo~rsfrom Wted br,5 EMrat?..;, Qatrr; 5~3:z.. z::.~:. C :. 9 Tkdr conihed high *r- in world rmittmci. rcci.iutz ri:l:.c$:.: 2Cceipts y relatively lo88 dtrvalopad, labour w'orti,-.G Eh~~~zl aountrioe su~llae ~roocc,Port-, Spain, I~~JJr;nd'~~~c.~~i2. v, Among, ldeveioping ccuttri.a, the shze in the renittmco fl& 8'the

3eas.t bielopsd countries .(chzwac'tcri~tdby VC.~low pe~'c~pltt a- , .I.

cones, literacy qtes and aharo~of mdufnctur* ir, &>'incrcasud

by wra&tt13y two and a half thee, . frun 2.8 pacon€ to 6.0 per

it !i.:b cant, ; The dt~vdopingESCAP countries. ~LSGmore tb&n dcublod'd~clr

7- shzre kcnithncp Mows and that .)ao wiUin 2 diorter the span,

between 1975 E+ 1980.

Ln 1,980, while $67.6 out .of me- $100 of worlci rerdttonoe . I flows origlnatod in developed &et ooonomiae, '$62.3 rumhod within

the eame &up oountries. ' Only $5.3 rc~hsdtihe non-cii dmelopbg countries, but this 'formed abwt 1-5 por cent of.their tomrc&ttwc raodits. 3y a sWzu calculation it may be saen that ~.w?ikr,in

1970and 1975, non-oil doveloping oountrios received 17 por oent and 43. per +nt respectively of their remittance8 froa thc dmeloped r comtxios. !Thus, vbilc betwee-! 1970 and 1975, redtkc-a @amatin& in the developed t:oun-hi&. aoq&ed increasing algnificanoe for bon- oil 'developing uoimtrios, the 'pmcese was rcvmsed bctwed 3975 and.

1960, It ehould be noted aLac that tho bulk of davoloped courrt2ica4 r'dttsnce outflows to devblopbg camtrios wont to only p fow em- tries, Besidee !h&ey, the oounkias recoivhg [email protected] rcnittaqoes

mWasfrom France, 3riti~!Commwdth ~0?2~ltrie~fmm BTIkh and

* -..+ The pain benefi+zrics were- Bacgladesh, Sudan, Ymcn Axab Bepublic and Yemen Peoples Domocm-kio Republic. .w - - Thc GSCAP mwtries rocPiying rwitb-con were Rikistan, Innta,.

'I'hailand. Bspublic of, Korea, ' -a&ah, -PNlippinss, S2i h&, rJepzl an& Totlks. It eema quite l*olS; t!:,~tin 1375 (a+d before that j tbi: aimc

1nhia than in tho osst of ill 2:xclcpfig ooLqtriiso (for wi~os, as noted, the proportion =unsl 40 32~c;.rt). Wscould bv; bscn so. *- view of a siz2cble proportion sf i:lir;>ri$s !>f hdiz doscknt (fir8.i; :x;;. second gencmtion) residing in -the dmslopcd countries. Accordirz tc ane cstFrratc., QAthc lato 1970~~thors wero sale 1 .j rcillior. persons

~f Indian origin living In the molbped c~i.mtkies,principdb- .3:1%i.,-..,

United Ststcs and Canada (see Sin&, 1982, Appendix 4). Of thcti;:, b about half wore still hdicii citi,zens mil of the rmc~$ninghzlf 'arc then 50 pcr cent possibly mintaha3 their tics. wi-tli India. %c two togcthur add q~ptoonc nillion. Of these, about 490,000 cddl~~vc 9 bc-en p~t&tid'renittms to Iniia. AS ;r~"c-inst tiiat, *OPE WCE .zbxt

150,000 potential rr7itto& to India living Fn the Middlo &st

(see Tablc 2). kt ille s7r.e tix, it hzs to be boxno in I;;ind that ni- grants to tho \lest w~mtr;n a nLi.3 or loss pemn~-atbasie, which is rdlectcd nong other th-a, in the higher dcpcn&~cy,r??;io of thdsc wtsin tho country cf LxiQ-~ntLoncngacd to th;;.Tndj?? nigr27ts ;* inthalkddl.c&~t. lo such t_5cpro~c:lnity.torcr!it of thefonx

--.- -.---.- -*--.--I--.. -.-A_---- .-I_------.I---- ic In the hitod &gdor;t, In4l.m. rLgrxlts bd a scx ratic of 135 f cai33 , to 100 nnlm S1 thc eurly l97On tmci 2bcx-t 1G por ccnt wcro u.nd.cr 15 ycars cf .,=c (~c.6U?:, 1979, p.~09). tYsW tho 3zrie ratios, the nmbcr of wcru-g nim =:wig pcrsons with tics in India ~3:llit work out =w' f~llow~~:

T~Gs&re nwb~vrc3~Lld 3.190 be $&ken to atand for tha pcjs~iblc m2bq of pohtizJ mit tqj&uaeholde of Indiar. Zencont in the d~vclo~cdcmtriss. TW d~pir;(lc:jcy :-*L:o ,. tr.;; y3t.10 of d<,cnds:?t; .Jt&-.;1.;riUl ?,i~-~tWO~~$G the 201~ltvof ~ZT~~CL~~GE~;JO&~ work cwji to 1.06 for the mierts,to tho Yest &d 0.27 fr,r the , in?,:'Lz.!? $iFalt~to the :lid?.l-o &st tmng "intr: ~ocount,tilo stock of nipxat worlcers ~ndthcir depondcnts F? 1975. would have bem lowor.than %hat ?f t>e lcttcr, ibc;? In CICinid 1970's.

On the other kid, the onpacity of ths [email protected] -t?@Wbst to rait was pnssibly hi&cr t'm cf thosc in the Middle &st 3~csuooof Loth h%&ur mgos h thc Wust ar.d better om1 coWosj:tion of tJr~13igmnts to - kJesS. Wei&lw all thcse-f~.ctcre,r~y~~itt~tcae .to India a;-und 1975 possibly om~~~tod1cr~:ly h the \!cet. Were thoy as high a.a

Chroc-q-ers oi' tllc hdbmrnittmcc receipt3 or lowo~is, huwcr, dFff icult to sw. '131erc is no doubt, that taking the mom pmmment ch-tor of tho dgrrttion to thc Wmt, thc ZiF,cLibood of the proportion of Rwir share of tho rmlttanoe iriflow to hdi~bw lowcr despite thek hi&er cap1.t)- to dt,18 groatax, hsoibly, mimato to tho fpdddle &at would havo sut about me-third of the re.?Littancos reoaived by India innid 70's.

tkxn@ quite airnoable, seam to lwe bmto tho Middle Ehnt so that by the aasly 1380s, for every' potmtkl rmitter h tho Vest, thm were perhaps 7.6 potential reaittizcs in &a Middle East, Shce the 19 womhclmingly large b.ak cjf recent ni&zation from Ind;~to thc Middle

East hast zs noted, 'been of works= v~accanpaniedby dopenhts, the dcpmd\;.nc;y rc.tio in the Middle Emt ought to have dodiad &astially.

Ws, it is felt, could havc boen the most hmirmt hflucncci on rc- m,ittmco gzowtfi and, origin. It would not be unrmsanablo guas thccaforo tbr.t the share of m~rt&&cra frm'the bUddlo &st in total rwAthocs to Indict hfid ir.croascil $ around 73 per cent by-1980. . . TLic possibility ~f rdttnnccu frm other dbvsloping co>m+riesFa b~enWed cut since adtans In thoso counbio~have boen 'rc-ttlad hrofar many genarations md hxs practidly flo kin ti06 ]with. . ma. 4 mse linearly, aia ersthtcs .-xe shcw~in Table 12.cgld rof el! ~lyl;c

vim*, account private trmsfcrs. On rnl averwe, Mlddl~&at 'mr;i-

ttanoos ,grew at about 67 par cent mu211~; thero t12.n0 howe-\?or., 3

conii.nnm.'3 3molorntion between 1375 .md 9979, followcd by L &ucjnar-, pick up in 19SO.

of ~t will be rocall aii that the average rate of -~/ni@mt 6

mr&s was 25 per cent ,wine. , ThG rate of pwthof remitCmcs

wow out to be mch higher and indicstcr; .m ir;crezao in r.e)nittun,c ia per workor; This/h line with thc: tandmcy, r.otad n3ot.c, of t,L,c: ni-- r, , ,

ax@ consequently for the depend ~cj.rc.tios in' fhu co?*~fwof Inrpigrat: .I'

fo deolm thatloally. On the baois if Yablca erld 1,2, It would

Fwm %blc 12, it will dao 'sc 3oti.d th,-t nan-i\!iddl> &r;t z-..r.z-

ttancea aftor qxpeiionchg an initid sp-mt,*-b.vi. pas3ikI.y ,vw-v-2~5

little. The fi&mss .in this rowkzvc nowva;., tc 'JL., vl.cu:.$.\iL.L!\

oaution ah~ethey havii been deriveil on thc basin of au':::mq+ic.i:_r;..! L

I -,-. -.-- --...- ..---L I...... - .-Y-- * - f3.noe thosa calculations dc nct tC&e into LSOLIL~W,$ (ci) .(;I12 I.,W.?~~T: : LIlcgd. k&Lan wants to the IUdr~lebat m! (b) the xcxmtn ill*&ly mittell thrm& various cbincls, WJE: fig~wsin Sh:; to be ueejl with caution aitiiou&, as r,.?tc.;dlrtl:iiz, .i2:iize eon h believe, -ktthe latter b-cu declirlzd All the ,sane, thmc are at lt?t:~ttwo rcaoona [aec lhyysr, 13E!2, pp. 649-651 ) why non-Middle Fkst rmittzjices cmild have eqerimcad increase in the .fkst half of the 1$70fs and .:t-.bili.?.d thoreafter:

1) India ha been receiving remittances officizl chamals

in tho '1950s but, as the mice got prnpcssively ovcrvducd in

the 196Ck, theee rsmittuncco declined s3,w;rply. A3 a ~mm.ltthere

were, it is boliwcd, signlficcnt rcmittmce Mlowo through

illegal channels from hdian qatrietea in &ope wld herik.

In tho 1970s, after the rufiec ww allo~odvirtually .to float

and'it ilepreoi;ztod rapidly, so that by the nid-1370s its aver-

valuation W~EIneazly elimimted, sizoable part, If ?lot dl of

illo,pl rmittances ohauld 1-me returned to lo& chmuelo,

2 1 In the first half of the 19708, i.e., till 1974-75, ei.rico Cke intornationd price of gold rose ragic, the iliffzrencu botwem

the international md (tix kii,$~r) Indim \,rice was obneidembly

narrowad; thi~too sh~uldhzve roduccl the iqamtivc b rmi5

111agdly through amugglolf gold md cornu; -1 3,inl;l;: Incrr5&ed

(4) lioriltt&oos Other- Foreim Jkc~ulpeRecci~jt8 _-__..f~om __ tha-_.--.. hliddlc %st_-.

In 1974-75 about thrcc+qwtcrer of India's foreis1 oxcham re- ccipte originat img in the Middle East cane t'mougt.1 tl~e. export of goods 1. ,

the share of rcl;:ittances in total rcceipts was only onaaeighth (st23 '

Table 13). Jy 1980-81, the &are of ranittmcoa M riscr, to &.\ost *thirds and that of cxports had fdlun to on~ktl-~irc!. Conccasio~ ascistmco (entiualy in tho fom::..af loma) me aignificLmt in 197+j-76 (30 per cent oi tow foreign 2orchmge recaipts)8 but therdter it b beell f ao th2t C-Jkil k--?scluCt. tcr:s it racchcd negli@'t:lo

Sec-n frorn the Flid3le ,J!hst end. however, rmittncc catflows pew faster than ysynmts for imports fzon non-oil developing-countriesMy in Saudi ahbia mid that too orJy ~1ti.11978. Koroovar. even fm &idi

10.~8 .Arabia. . ~mi-ktmcewtf wer3 lightly IESB than ovtflo-da an account of wman%n for iqork in 1981, whereas kg. indicated above, kidian rtmlttance receipts wcxc twiac tho country s xa~ziptson acoount of . . cxporte. Cloaly, kdia has not -ta!mn advantage of tho opportmlib to oxport gaod~to the ,lGdcLLe East to'"th'c meoxt~nt as 1.t hi renpondod to the lat&"d~$roo there, In fact, .the heof' Indian cxporte . going to the Middle +t &tor 5:&hg Ln 1975-76 ck 33 per oent af itfs toid'expo&s has declinod sts&ly mil in the smly 1980s. it ms only

10 per sc~t. me sLyJe rajcr ems;, sf this- dadhe was. tho sctkmk 'men in absolute tenne': b Ts!ia'a exportr to &m, Xuterest- -. . , i@y, once ~~-'expo&efell off + US, thc: larkst -labour Importer. also becam the lqpet bportor of kdim goo& i~lthe ~4iddle&st, luforeove~, as with lsbour oxperto, the most rapid gTOIJth of goods expods has beon,to S.aucE hbia,~in thc e~~ly1980s ~auc~iArabia and ISAE -tobk . . .In cqud q~~mtsof k&~an g&ds, each accoktjry;.for 2;5. per. ccn+ of

j.: j.: , lrdan ~ort8. hpacts of Rm$,ttar&es

Yhat B& olh~pactadoes the reacipt of ronittz~~ccsproduao on

%-hz-,.aoonowof a aomtry is a very important ,question, That it cp

nnke n major impaot on the import capioity of 2 country by supplcr.wPb

ing i-fa foreign mchaagc enxnings has been amply domcnted. In this

paper iteclf this aspcot was dealt with ct length in the sectisn hc-

.Utolly probeding this section. 111 this scotion, an attmpt h28 been mde to aseoos tho other impacts af rsmfttanac r~coiptaon the ocow

.of a rocipicnt country. This has locn attcjrrpted on the bsais of midcma

.amilable from Wc State of kala, a pr@cipccl source of nigrsnts frtm

India tc tha liddl2 &st. Ihie evidmcc is cvaila'ole both at tho rnaoOo

lwcl and frcn a mbar of micro-level ~ita.d.i.3~.

(1 ) Income r Table 14 shows how, as rretinated, m3if tmccs rto Kcrala

Imve been growing faster than the donentic pxbduct d thc Skito.,: &

doneetic product;, If we sssrw~cthat reaittanccs me distributed -8s dintriots aooording to thc diskibution of migmats to *c Mihdlo &ut;

+t is aoen that in 1379-80 rumittmccs fcpod 40 per cont i.nd 9 goy cent

(eee Table I5).

horn Table I6 it aqy ba e&on that red per csyita. domoertic product fell in ~~l~~~urrndistriot ova thc 1970~and it iricro&d fi

%iQhur district by only 2 pm bent over tho decade. hllep~eynana@d sa:~: $1' jjlcx~5a;;zs fo:: ik~Si:;.lL ,a 3 1.5% poor absolute . . cwsof par 0x25 k.' do:~ostic prcj?~ct in i-ii?&ppurrci;l cad Trichur

Ustriots wr~~~;pc~i'~~yssad crt 1~1~ Initid lwela, EO that (bmhg

ciablo risc rdlacta no doubt tnc rclativi'ly high poplatl~ngco*h rntc Ftl ?IaZappurm, but i.t dso rdlocto rather paor econonio pqfg.ws during thi. dor,a&c in 30th Malappur.m md Prich~u.

In these circ-meta.!!oss, -l;hc mow of r~~ittmccs'frouthe ni-t ?+orkcreabroa s~twto have plapd r?. re~xdcabi~role in havFni coincidca with a pzs5cd. .zf scxc s.tc@letion ln tlla econwy of thc Stat@ -- as a wholo, rlori) tia thatp tic bonbfit of Iha rcr.;ittancc ~c~coipto seem tc have bc.~.digtr.Fb:t;d in favour of the districts of th2 State

A3 cmb3 eecn fron *ble 17, thr: &stributiun o< pm czDitircai.ttmcd fiacipts is l.aro)cly in farour of diatriots wbid~~&ed low dth rc~got

lcvdling up 'tritt~jomthe vtxcioua distri~tnc.m meily bc obcemcd from

of retlittmcs ~%coipts, 73.. dispci-io~ the lat-tor oase warhs'out t~ .It Let thn k-df cf that i.1. Elcr fomer. AT---- AT---- *; _'------.-..-- --.-- - - The ueah .of d3spcrsicri' is dwlvcd by L!.vieug ?ar+? (l .o. WiM - F~IJW.)by LVCIY:I,~T.rlIh

~~Xalapl,um for the year 1979-78. !I'he estimates ofger oayit;r.'&orestio .~~

,Wuct and income for the smyea hzve dso been prcvidad, althd& there axe Gome doubts uhether the two sets of astimates i.e.* of domea'tie product and income on the one ha~~iiand consmption and houoing orr the

~~f otlxr, are quite coneintznt =d dom~arable. It hill be sze3 that while all three-dietriots have a per cayits, domes tic ppduct lower tlm the~~

~~8fkb (no accouritp. is f&n here of renittmce,receipte)ra*ld~~

&iobz woeo above the State average in terms of per capit- h~c'am clusiv~:.ofsemittance receipts), the position cf two of the tkzje districts is dis-cincly better in regard to consumption when COF~I~E~i;~ the me- bveL of per ca?ita comnption for the 67tate r,~e whole. %an for

Thla?yuram, the -thid district whose For capita conamption is nine por cent b~lowthe State merego, the 2ouition ia atill betier tW1 that mfleotsd in icialapp~m'sper capita ?ion~~.iicproduct vUo!l i~ 19. Fr1 cent louer than the State average.

Malappuram, ~EI noted abovo, mnks lowst monq all ifis trict0 iri terns of per capita domcotic produot and its aggmgate per capita, ~xpndi-' ture ki iss~quite low. Iiowevor, pok capit2 expnikiture on food in Kak- g;mran; district is eligfitly.higher tha.n thc Stab war;@. - ~Indecd,yqr aapita erpeb3iture. on rice ia the &hest in l?a'ala?pugap mo& all dis- trick Of tl)e. . S-t;ate.ard t@t. onledible oil and %eat, eg@;s md fiah ia alao much above the Eta* average,, Evan the eqeD3ihl.e on Gdiciraes in Mda.ppuram ia above the ave --. ; Only on non-food iteq other thr, - msdioines, doirs 'Mda2puram scam to ail mkedly behind the rest of the dietrbts in the State. B' ~alappur;;n!a oase .can serve as an illha- tmtioi~,it would appear that the first ohxrge or- mcyit-hnce receipts in a.poor distrlidt ten&? Qo be cf food- Thoroforc, ~liiiti~~oe&t~nbc considered-.to h~vchclpod r?.ise the

~~stmdzJ bf food consu.nptic!a f.- ,n .r.,+:1+ v~o:~?2 h~e prcvsiled h-i their~~

~~absence in a pdor district.~~

~~'Ihk pict-c in regard to llousl:~g, 3s pxescntcJ in Tnbla 18,~~

~~&ows Tricllur tar; be cit)S~rd3i.p~ bo.tte~ than the Stntz :is a wh~lr?or~~

~~dohs alni;aC 3s ~~j.1,,judging by v-i~us nons. If thc pro~ortlon~~

~~of xlati.~cly,n~tw Ilo~~es (i. o. t.\osc icss tkirLtwo' yams cld) is es~~

~~Ugh (cr low) in !hicnur a in tha Stntc as a, whole, it has to'ba Wi:n~~

~~,Gongsi&c. the fact fiat in Trichur the proportion.of huts md &lapi-~~

~~data3 houvzs is distinctly below that for the State. I,kla3p'b9 o?r~~

~~.the othor seas still have .to go a long way to cctch up with the~~

~~State avcrage in bo5h regards. kviW mcle up the &rrp on food cansurip-~~

~~tion, bklappurm nay bc;ady bar.? set about at tonding to its non-fdod~~

~~requiremnts including housing. Tile chmge in position will be &cwr,'~~

~~et L%r;tbc of ' -ib.:: .-<>A JU'iiCy 3.f :/L:Y;L~~in tho State,~~

~~(3) ---.-Prices) 'iLd cormorGy c;-xijrsssci -c~cr~is tlut ru.~ittmcercooipts,~~

~~.by raising both -tho incone level and the lcvcl of bank dcposits in ul~~

~~uconori cau6o .the price Ilcvzl to rise. The &p=t on pox capita income~~

~~level has 'been cotcd ue~dy.It is true alto thzt in &erala bank~~

~~@posits hcve rism fmter ia recent yws tlm in Wa past. wher-~~

~~nsro, tl-13 increqm in bank deposits in Xurala state !us beenpre rqid~~

~~thm in scvord other Statca of India .zqd 1-1~selso bbn ;.,b~vo;he t mtioazl avemge. It em bc scan fr'ca P.%blc 19 tI-ct firstly-th~ rztc~~

~~bf incrc,zs.e 'in bank di3pooi ts i~i(or~~

in toms of capi-tz b.znli .deposits ~xpiovud~ignificmtly &-qhl6 thc natimil average. At tile sale the, it is dSIi"uUlt ti) ~aywh~t pat cf incrr?cl~ein b?& denosita CXI be zttributed to th-. Frtcmased r&littLwccrrfrh zbronC. Scverd cf tIlc S.tc-tas qcricncj-Ig ;.lLtd fast mowth Fn bmk dcsasits hlj-ttle, if a1y, rcnittcmcr: roccipta frm nozoad to roprt. 'The Stntc of 2m.u cw~dksbl~ir is 2 can- Fn pobt sinco it expcrienoo6 .lhc i'~atcstgrowth in b?r& :~c~esits'during

~~197wO with kMy my rs:ittanco receipts frm abroad. 1% could. nevrmthulcss b~'argu02 that tl?.i: tpow4h in dcp3sits in k?r'zln nccent~~

*years hap beun duc prhcipdly to the hcrdszacil rmittmca ~IGw~

~~%is ie borne out by the growth Fn Sank depclsits in tho diatyicts of~~

1 high migration abroad oon!yorcL to that for Xcrala State as n whole during the pdod, 1975 tn 1980. Tho bank duposits in Ihlappurm district r~kist?r~da throe-f cld q~~isionconpared to twc-fold expalsion for SICS*.tt;! in tAi

~~I 94.~~

made a pllrticula hapact on pricoe i~l'Korela,? T&le 20 shows that conrmncr price novenmta in tlli districts with canccntkhion of iukmta have pot be~myaxtioularly out oi lina ~ritllpqa6 ncvc::ilcntt; in 3tlror dfntricts. Svidontljrl the i~~pactrlf any, 9P llrge remittame ir-flwc b11 ~T~COD18 nat confined oply' to districts whit;‘ ~c~civctilei?. ~ar- wer, it is neceso,xcy to nr?t~.in this c~ntcxtthzt ICiirLaLa ha3 .2 1q history of ccm;;ia~ciald~vclopncnt mil. henc;: a well-int egctod L~c;c~c~.

It could be awed thcrcforo that w!l;\tWer Imbamc .tho rcmittan~~s exercise on pricos in any pczrtic-d~x:lrl-l~ sprcade c;.~~Lcklyto otht~ ports of the State so tlnt i2k State, LS a whole, qer:icz;ace tho

~~bpct anil tile prezaum @tz cv~?ntfUout.~~

~~But is in2 price lwoZ in Kgrjlg ~ovi~gup %tea fasten rato~~

~~thsr. in the other States of InCi~lE!ldcnce 01.1 *,d mF,jcct~~

~~Q hl;lic~tc-tiit. An finpostant f2c tor- pcs6i'l:ly-.b.tnbi~i~i~gconsumdr~~

~~pricss in Kcrsla, ueeiitp a,lllrgc infugicp ~f demand in ths Porn of~~

~~rmittarices mil dcspite thc qansion in ba'zk dcpnsits is poosibly~~

~~tho availability of LnMrts frm othc-r Stc;tcs. L.1 [email protected] to the am-~~

~~oial itw of foc(dgr3in8, kr81a has bocn, for long, inporting h?lf Gr ' Zt% BH)~of its raquircmsnt~ 0th- state? of ~~ldja. qwntitiza~~

~~qE ZumSlc :mas and constructim aaterials are also iapozrted. 'Phoxo-~~

~~fore, tho pricc &act of additi~nddcmcmd gcmmatcd by tho mtlays~~

~~mdc cut of rmittmces ~robzblygets bonsidembly Wfm3ed. Of~~

~~ocrursc, it 6m be u&Od that in*thc pocc,~proZliction activity~~

~~~dthin+& State &cs not recei-ve kcnecesemy ~tiutil~rBut that io~~

~~z qucstion which rcltLtzs' tc ,t!:c k.k:.r=t 31 ri.AtAhwe5na* on the price~~

~~level 'Lut on imaq5na~t.~~

~~Sincc s. good part, cf tho rotittzncea 2.m hcwn to be abeozbod~~

~~ask wha% the poeitioh in rs- to l&,tE~ice~md w.,~&s of ~0~1~t~xtion workers h28 bcim h iil&e distrjch+ 1egh ;ni&ca.tion. It in &.rrilly .?~~

~~i? The ~~~~~~cr prioe indcx:for Mia aa z! wholc rc~$sturecl increase . , of 228 per cent katt-rcen 197i)-71 2n2 1981-82: tine corrcopondiw riso ir, Xerda Strtc WG of tb-e orclcr of 230 pctr cent.~~

W;- me ~ropzrtionof foodgrck'ls inportc-3 from et!iw Stztss h.a risen *om 5% per cmt in 1376 to 59 ;)cr zcnt Fn 1981 Sco Kan, Ekoncaliu coy, 1982,. p. 25, villagcs of high migration !~::vc .:egi~tercdpn inari,ase of 10F per: cent rr yclr sinco the mi(> 70's 3ut they cmlnt cGsily b2 ducw:lcntcd at thc micx level beonuse uf %h~.ir,cronsing tmdzncy ,to uiiddrstete the value of 1m6. tr?-n~actil:insin d~c&:cr)ts af "rrmsf~r,to avoiii taxhiion whasc

YomnL ra,*,cs arc ;?'dt0 high. Fiowficx, cvsn m.2 recorded increues in wa2;c rntes of ~orls$~ctianle.:)~~, skilldd cr me):illccl., in tlic State ns a whole cr in the? dis4zic.b cf hi231 !niwuon ~uchaa Trichu md

~~14al~~ppmm1,do not quite reflect .the incrc.ascs widely s,?akn of in~~

~~popu.1::~ press. Rasibly, tho inor.t>ascs.&I mom rccent yeare %~~

~~(i. e. after 1978-79) have boen nnzch gcerLl;cr Lcocu~oof bosh the In- croaaed dern~nd53 well cs thc raducod. s~~~l~~~~."~s~eciall~of skilled &~~

11,md.s. TO the axtent tht remittmcss zro channelled tomra~pur- of laud, oonstruction or tvcn finrwcicil zsssts, it can bo s=liS to reduce prossure on.con~~~acr~ods prices. It my cven be a rc.20ona6ly

@n~ttle~uonj will not 3rCfins:L~yc.1-L dfrc~tedtc, consumer pods . !@ purdpses. Still since. tk.-e c~nsw,urprice i:~:Lcxdoss not give auffi- cidweight- .to thc prices of services (cducntim, hdth, tmnsprt, house rents, dom~stiohelp ctc. ) m2 ainc~thcbc priccs ,wc also -,---.---.- LL- -.- -. .--..-----.---I-I-+.. - ---- I--,----_ - ,.. ,.I- ..---I- * Ihzrln@; l9?C-'/l to 1374-75 W-d 1974-75 -to 137&79r \;T~CS af c21.pen- ters in %icl:ur bcrezsed by 59 per ccnt a1:1 :7 per cznt rcspr:ctively; k-agi.~of =111~ki?-lediil~l~- ln'lo~r by 40 Fcr cent :ad 21 i>'.r zcrt X+ pect~elycYLd wa,3es ~f nsicillcd Eel.iiLq ls.bnim bi 27 ljer ccjnt and 66 per ccct rcspcctively. ktthcac ntca w-re npt pnticirlzrly out of line with ~~GDC2-t the State 1cv:l (ag c ?kala, .Sk.%i~tics fur Pl?p-, 1900). (C till, in all infoc:~dexchwgl;u wit;] officials an?. ~'u~blic:inen tllerc is unanh1,Ity that offlicinlly ro- corded incrz,?.oes Gr'oosly umlcrotztc the_ reality.

*A- Jn thc 'context of cn cccncrw like that of Karjla. Stnto :~it!ichro- nicdig I.=@

~~' for tha country ss a *ole (ir. 1972-73, thc a~qlomcntstate ' for Kcrala csthhtrcl -to bs 25.25 per cent ?,a ?gxinat-t!-~s mtional. averqy of 8.34 per ccnt exEkrala, Steto Mmw~~

Doard, 1 978) one should rx.lly 'sc ' spo;.11cirlg in tcrma of rcciwed surplus of' uqowsr. belimed to kv4 xisen cor~uliluraJbly. It is possible that the pice riso in Korala Is somewkt unCorstatod. Thorc is no evidcnce howcvm mt the pricu rise in brala wo:fid stili be vsry rich chwe tbt in the rcst of thz camtry. On the whole, therefore it io difficdt to pin down on tha growth i:~.re~it.t&cc rcccipts of Kerals state .lz ;rice rim mt of line -&th that of the onintry aa s.-whol&.

~~( E ) 3 one EJrmccc-Q~Idiicxo L~eJ~dia~~

!his sub-socticn drawn upon fivo micro-lcvel studics, conducted in tila late '70'8, of the chractcristics of migrants fros KeraLa 8tat9 idthe impact of dttancez thoy send '&a& hone. (1) Prey, 1978, s'tudfed one village in Trichur district; (2) Ikthcw and lhir, 1378,

~~'studied .two villages in !tkivLmdrwdietrict; (3) Ccmorce Xe~cnsoh~~

~~Bureau, 1978, sixdied one village cadi in Chimyinkil tzluk (3handrum district), Tin= auk (>1;1~51~~~ll2ilintyict) and ~i~czvzkkzlhluk~~

~~(Trihur iliskict); (4) Radhakrir' mn md ,Sbmhim ln81 , studied ons villrqp in Chirayirrkil tduk (Tcivil-urlru,~district) and (5)'fwO~~

~~Ikonomic Resear& Centre, 'Madras ; 1981 , rrtuilicd. all thc vilJa&esim~~

~~~howghat''~lockof !Crichu distriot. All the villws studied brme~~

~~&son bcc~uscthey had experienced lnsgesczde migraticn to t11c Middle~~

~~&st. Thc observations drawn rEr~~ithc$e studios me supplanented,~~

~~&ewer- possible,. wiq other avBitlsble bfomzticm.~~

After outlwthc mjor char,c,tcriatics of thc qigmts to tl~elIiddlo %st, as. noted fn tho !~icro-level studies, the sub-a~cticn procwds to prcaGnt the --ma~orfin?!! with rqjpact to tho impacts of r&it&e xoceipter -on q.oneumption expenditukc and various ty;>es -4 . (1 ) Xi,u)L--.---- ~h?~~~c~~&tl~t&c_n~:",.!I\;. n-:j:?r chuxtcrl.stics i)f t!lr.! nigrznto

~~fro)? Rsri1:: Gttltc to the >liddlc &st were Jdurlcl tc. bc 2s undcra~~

~~(1) -The ;majority of? thc rni~r~tsis, et tile tj,:,:;: -sf ti:oi;. lhst ~li,m-~~

~~tiar,, younc. :gee .Mme thw threc-fc,l:rB:s of ti~ct..~,it zppeare, rri! 35~~

~~(ii) tJot only i~ the n?jc?ribj of 'thc ~:!ie.~.mtsycmii but slso a Wry~~

~~(342tl1cw .md ~ai.r),czie;ran-Lsless than 25 ycm c.f cgcP M;-;O ccnstiht~d~~

~~34.5 pcr cent 3f the TsLgzmta, wcrc ~lclostsntheljr unr~mikd. Nenly . hnlf of a11 tho sismts wern Pc:ur~d Liil t!~ir; st~~dyto bc wvnzxried.~~

~~(iii) i&.73~t dl ~igC'2Ats :&c- !ai.n. Or* on;-: out ~f 176 i2i~?!.llt0 idcn-~~

~~tified in on(! of thc: otudica (ihthew a13 ikir) L;ZC n wclr3n. mi3 bs had s signuimt iap2c-b 2-2 tic ecx xstios in tl;a nlgrmt vil-s =I&,~~

~~s~z~~orteilbj- tha I981 Census &2t2 prccontc3. in L~prndixI. It will b3~~

nccn th;.lt the high nigraticn tzltlics ir! iCer..~lzS.!:tt;l? k-~cr: igc~texraticj * af mzm to mamd have iower pop.dation cpowth r.~t~sthan t3~dietziats (iv) 'he low ~CTZ~Cehcatia s&tue of tho nigzmte is coffiGa8

~~'by the micro stuciies, Thcmjoi-ity coc~priscsof u;dor-~'mtriculatc;?smad~~

~~nsW-culatos. ' %cy toget'nc~coxtitute bct~reenma-thirda an: nine- tenths of tho nj-pats. Hqwevcr, it xgpe-s that thcro az; rc4igion gpecSic diffetomsa. Nuslius, in ~ncral, &ct only yower in~~

but also kwe lower u2ucc=t:ion?J at-tzlnncntcj (P&%JW .?ad :?a*). - (v) ~ccor~~gto one ah&- (CO~~~PCOnaso-arch Ihm:~),63 per cent of the mipants wa?e uncclploycd 3cforc they loft. &dash nc-tod that the proyort ion oi' unaaplcyeC snow migrmta wag 36 pa& cent. m-'

Uistrllul ad1brahi.m o'osenrcd that tho incidence of ueqloy3ent rrmtmg und~rtriculatcmigrants 50 pcr cent adamow those with hi&r education cns 60 per cent or :,lore. Pbst of the othcr nigrcats (i. e. thoso not unsq91cy@), =cording tc dl studies, wcrcin lo-i prqlucti-

Plty 'jobs, mch 8s LiiIy wage labom, b30di ;.?.kimg, petty trdo otc, -b bdfm migrating. 1; -11 nrjcrity coz:~risodof m.mons, czrpcntcrs, emed to&>iczl ~~~rkars,~r,&i,:,is, t~2d.m~~k. !?his 8wp0rt~the earlier obser~htion,made 'an the b&ic af wcro level info-tion,

~~-idtat BLibstmtiLl pa fa~torspossibly operct.xl atmmly on thc mimultse~~

~~$0 seek enpioymcnt outlets outsidc the Gtzto.~~

(2) Co-~ticm cxpenditurc: Go* by the reojctod romittancc rccqi~tsof tho households studied '(~athcwand ~nir),it would 3ppw A Wat the congumgtion &h&.tur~ axounts for closc to 90 pt?r ocnt af'd!bc rmitbnce reccip4a. 31c m'a study howmar, obscrvzb that Cho

~~Utionzlly, it could be th& tho wodo which el%er n$gmnts -. renit &ixectly into mcir own &s or they tkdwith thco bn their visits kick hme Z.? net 9.; c::;?.trllrck in CIC I~ouseholilsrcpmt,~~

~~So the prcpo$tion of conem?tia;~eqmdike to xtu-i rc;lit.tmcee,~~

~~when these factors =E allowed for, could be mucll lower. iqcording~~

~~to ?. riore recent B~&J (:'-o Xcc113i2bc RCBC?XCII Ccntr~p 1?82), currcnt~~

~~~(~nsu~ptiono:cy,kditurc f ollas :.br~u't 52 pr cctilt cf Ynci i~lco!adrezcived~~

~~from h=.oad by' nigralrtc houoc2lalfia. Yhs l?.ttor study also ohowcll that~~

~~while food knd clotl~ingst-till icccunted for 81 pel cznt of' t!~aconoun-~~

~~ption eqc?xkiturc, itenls lilw education 2xd medicine8 rcsintercd no&~~

~~blc increzse@ in rclative ter;ln.~~

~~(3) Acquisitionk.,--. of F;ls8&~~JJ~&sc?J,~,ahll ~icro-loval studies atroe3~~

~~tho lage invcsi;~;~~ntanade by rnigcd~t!~~l;rsc!~olds in lnnd ,nrd const-~~

~~ction 'or rs,n..~v~.tiunof houses. :Lccorriing to one stud,y (Jk#evr r214 air)~~

~~ab'out hec-quELTtars ,cf .Lhc -capital1 cqcn3iturrs (whj.ch was defined~~

~~to hcluJlo f in,?~cix~cf e_:irtr>Ation of cloac: relntivcs md r:!arziw but~~

~~. .. notjkepwn6nt of debts which wes. rqaid hithin 2 y2zr ortvo ;;f the~~

~~!$igmtion) Gas tdccn up by land 1.,urch%c. md house rcnovstion or cons-~~

~~tmctisn. LQ ccntrzit, lead W15n cnc per cent ,went into firanzing~~

~~-~UE~~BEor livestock irmcstr;..e;~t, About 5 per cent ~rr-nGC~ aside~~

~~for financing migration of clssc rolativ~s,12 per cent fur umi%w8~~

~~atid 7 per aent for jcwellery adotkror dm?.blc. canmdar {l:codsg A~~

~~sh2y completed n!om rccently (Agm l3co;r~nicRcscmh Ccntrc, j982)~~

~~also ob~omodthat while in invosbnent of sz+r$Lw fund? left aftsr meet-~~

ingt; current oonsumption cxpcnCiturc. raaoilelw. .. constnction bf: dwelling $P uses wau ti= gofit 20-fi e~~ulsiti~nof la&. ~6 next .. 'in importance. ljqieed, this Wicula &dy formd that in Vie houae-

~~halb at:: the mallssjj rmitt;inc:?~&~c.those ircclviix less +h~~

Ra&000 a acquisition of land idthc iiipcst pr,io+t:, with land acquired accountir~f oi- 79 ?er ccnt of the fun& inva~teil5: t;.;. acquitition of zss&. i&o.;~gother -sets acqGrecI, cold b:*m-tkle ..:;t comon. In aiditiol?, as ~cothezstuci:~

It 'is nece8sa-y to vieb! thc midencc oh hvestnent in la12 constriction in its rigkLt persr~ective. Accd$c!ing to Prdcaeh, h11"-4 themig~mth~useholdo hrd less than 50 cents of 1~-d(100 cents = 1 .::;>ri,\

~~&en ,2t tke the of the save?.. A quarter of the househblds rqcr'isii~~

~~$*~+kzsc of lrmd in the .previous ei,+t years znd of. these half *ko< lea's thw 3C cenio ~;t~f the ea+nings of ,persons norhi-% abrc2~.~~

.?afor bui.1- cs rebuilcling a hou3~~in the past 5 years ,-tbout two- thiids of the l~ous~~!i~lr?o!lad eithc-r renovated and reconstp~ctedccld h6usss ob construct?:: ne.d houses. Of ccjtlroe, the costof constmction

~~'md repahs was ~L?I;LY~tc ~?;CVC a .xi& r;r;[;2 but SO would be range of~~

~~.I sqluges lcft wi.Yi--- t:-.c: ~~us~kc;lds,after they ha2 met thsir c~mt c;rrsm?tion needs, zivcn -the -~:xci%tion 3; rcnittancc receipts por household.~~

~~Practically dl tl~cstudies report large hcreases in that pricas . Ftadhakris-ha1 and Ibrahin obsemre f urthel/:the rela%ively m2ll plots have cxperimced the lagest price rise.~~

(4) Financial-. Lrvco-hen&; While a $ubstz~ti&part of the EW~~UZCE , , Out of mipant reiiittances gems to be dirocted to the acqrrisiti.on z~d I cdnstruction of pl~sicd'assets, z good proportion is rrlro keyt ir. t??c fom of financial zsacts. 3il.fzct, financial invootnent clrt of' rc:.i-

~~thae rgoeip-ts ie prcbably. quite substantial in th.? f irat, f c~.;y?=c. * after ;j worker's nimtion if regqmmt of dsbts ia inc%ed (as it ou&t to be) as finmcii.'. mestment. As was noted above, the~~

~~@n&al teadency is to clez the old Csbts, ,~ticul~lythe debts~~

~~incurrad in .connection with d'gation itself, in th;. fire t few ye:xs~~

~~aftcr .!nigation. bsskiy (?la thew and lhir).wted tbt borrowhg~~

~~was a ma Jor source of firwncirz niption and that the I:.D- of loam~~

~~io repaid wj:t!lln a yea or twc; after the nitmant secures aiplo~~mt~~

~~Rep~~

~~' as a consequence of radttace receipts, hank depoaits In IhdaSbte~~

~~have regiatered increases in recent yens which are above tha nationn3~~

~~avepde axd that ~5tjllnthe State the sax is tho cme with regard to~~

~~districts of hi& mination. Studie~nt thc micro-leva1 have also~~

~~r~~gvrtedthe openkg af new bank ofr'iceu in villages of ha@ migrotion~~

~~(Agm Economic Reswch ~e~tre). Also, sevm hauaeholds &e re-~~

~~.parted to hive opened ncw ba;nk - .scormts and taken insurance policies~~

~~' (Mathew and llials). In .~ddition, mi&t workers th~melvee, opened~~

~~non-resident extbmil cccounts in their own per~cnalraies aci ~ealhtad~~

~~funds directly into these accounts. Unfortunately, no attebpt has been~~

~~of a~widetipreari to~ldencyto under-report.' Bowevw, fron th2 infor-~~

~~m.dt;ion availahla at the macro-levzl for tllc. country 2s :L whole, it is~~

~~&own tkt 13 to 20 per cent of the renittmce rzceipts are racmted~~

~~for by deposits k1 the non-rzsident extnrd mcounts.~~

~~(5) j1un.n I=p.i&& h$sbnant~: 1t is Lttqd abbave th~,accordingto~~

~~one study, the pro?ortion of expsnditura ipcurred sn education ahd~~

potUclnei 'hareauod in conse@ience of the.receipt af rmittmces. h g~nm~l,.. r.-,ipmt~ hau-ci;lt'i.s i;~:,t2 is!ificut cm~u~t~on ed~ication af children 'hero were inter2sti.r~~differcnczes bI?twem &ens whioh salt persen3 largeljr t, other pais of India and thoso send%: ?i-,ts to- the Viddlc- &st. MigrtmJc households in Cilen~mur,fro3 thre the

;n&gction is 2rFncip;dly within Lydia, wro f0m.d to spend zuch nora on education than nigrcnt hcusehold~in Cnr.vr.Mail and. Chirayirddl iron wherc -iaigration \IZS largely to the ~Yiddle&-st. Expmclituro per, child in thc foner ms reported to be almost four tinee an 2s in.the lattor, This is despite the vcry likely possibility tht rmittar~ce receipts per househcld in the former ,are mu& loss ~Lhzin in tho latter.

~~It wcul.3 slp9exc than that whils htmnal nimtion ramins crucially dependent on ockcationcl status md henoe oreatas pressure for N&cr~~

2ducztion& ?.ttximsnts, nip?,+ion to the Middle kt,be not crastc. ay such pressuree. Nevertholess, tile fact that relatively Tors is tending to be spent on cducnticn aad hc'd-th out of the increased in- comas of the ronibco rocdiving households i8 stal a positivo bdicatigr~. . :hpowczr exporta fi.m India, as fmi the other countries af the subcc-ctinmt which, at onc tiirt, foxicC ,p?ats of Pxitish India, has bocr, m~erneclby the Indim %-tion Aat 02 '1922. Ur-dcr this law, reoruiting agents hpit to toko ,out.slicence .=d tilc~rwereobliged to follcw certain rules and procerluree. Unfox=hxztcly, thc opck,tivo r& of the kww-6 st&

1974 md thc guidelines, issued by the court to be follokred until s. new logidation is' ~mtod,do not' pmide for licewing or registra,- tion of recrd.tlng =entar 11s a result thorc h-aa bcon a mushroomizE

~~The Wowing tiles of -the qloitction of htcndiw n&,mt~~

-kern nppccs freqpentb in tke ncm-pzpers in h&. The recruit* wejrlCe expart rnonqr frm pocr, imcrtmt workers by holding promlee of lucl?n~tiv5.job6 absd'md fi.cqumt1.y in&ul@ in th3 forgoing of dd lottcra, powar of attorriy ,;~c;.Li~ls.;rvica contract. Trlw take lnoney froa the worlcers for ?,csaport pxoccasing, visc c~Lq3sa5g3-OV~ tho-& praatical&y zll these itme of expeniitura am net hy, the Brc* en- ployere. Thc onoc who suflcr -the r:loat axe tho pooregt, rae the

~~cm lnnat afi9Q to los'b noney .r:..isod wit!] grc~t.diff ia~~l+y,to, trick- .. st@asb I Eot that tho Govomb;er-t of Indk is altogelher mfi11:e-or .i~~

~~of the g-eacnt sit-ution. It: is witl; a vied to rehcing "kc~~

&ope of mischief in the recruitment of wotkera that Wery Indim national travelling abroad has to have his ~nssportspeciitily s~doraed by the Protector of &imants (or Baasport ~fficei-P)-I;o tne effact oithcr that he/shc hzo been cleared fcr a~igraticnor 'tkt he/she does - not liroemi&ra.tion cleakenco. .in the cF.se ol' those who aye clexced for tian an, tiie hteqtor of &&pmi;e is obliged to zsl;isfy him- self tlpat the! contract of &ployment under which the migrant will work &road meets the minimam conditione in retc wage, overtime dlowance, bows cf work, term- bmefits, conperisation for zccidenis, paasage, accomohtion, nahiod care znd othsr bmefite. I.a fact, a model agreement

It is, at tke aane time, true that there is still lzge sc.e violation of the norns laid. down by the hvemz.nent of India. qevio- lation of norms takes place in a numbar qf ways. On the one hand; there is, ao noted, blatant falaificavtic:j of documsnts.. If pasoporto and endossmsnte therein are genuine, the docunents on the bgsis cf - &iah.thes@ certificates might have been obt:iined may be forged. Tn seved, caeeo, passports themselves nay he forged. 011 the other had, cases have come .to lmt of the flwnt viola~onof the oontrnots mw.wed the fmie mployers in re-d to wages, working and 11--ing ccnditionn wid vszi..;ls benefits. neprrto of ill treatment of Indian workera in the Middle &st &?;re 3 regular foatwce :low of the

Winether or nct the new FbigrAiofi Bill, whici? kds beer; pmsed rscently by Indian F'arliilment, 'will help dlevicbt,? the situztim further tine aonc,r will tell. The ?ill provides far tl~oco!r,puls@~y registration of the reoruiting agents. ?.oy have to be finminlly aound mc! trustwoxthy asld alao hzb-e earpertiso in s~~lylngout the task of recruitment for jobs merse2.o. hlwre fore* ai>lnyer~ir!tend to recruit -mz%exe dfrectu, they will have to 6btain a permit far thc purpose. men-i;i.ng cf mig~mtshas been mule a co~izableoff ace.

1?urthernol.o, the questl..~of settin,? up a ?,LYlpower Ikpod Cor- poretion air16 cq~alisir; criployment of workcrs for overaesa jobo throu& it, hzs beer1 discusea utl debated. but the idea hae not L?Jcen ccncrete uk-pe. At the Stnto 1-1, 3 . .>tr State Govemr;~erhhave taken the h~itiativein this rce. In ICeriLa, for Inr;t~s&s, the State Govern- megt eet up the Overeecre h*alopent mid lhplcryment Fmaotion Consultants

~~Limited (OWJ), F~blc21 $j.bes the i~miberof overseas g1acane11-t~ eff ccted by this-public: sector agency in Ker.da, L.1iliile undoubtedly~~

~~'thc numbers plzood h!t-re been un th:. rise, they oonpriee ;.A infinitely ealpart of the current ~~~I outflolr of migrant workers fro.!! the~~

~~Stkte. It will bs. resdleb thit zt laizst 40,000 workers aro eet~tsd * to h2ve eatedfmm Kerfla annually in the past .three y~zzc=s~19SO to~~

~~1982. A+ the national lwdl, W-ore L&es plmo some, hut quita marginal, cmaliesticn 'of mqower oxport through public ncctcr/~~

,privrttc:' sec tar fim.8 wh.icl! undert~koccna tmct ion jobs abroad. Finns have boen set up, ia both public adprivate astors, with Yrle qraBe , . ob jeotfves of undertakinL: 2nd oxecutbg oo~strmtion grojocts absc2. ihre thPn one h-~d suck firms aza zcportcd to be in this buei~zss.

~~Project exports constitute an i7,~ortar:t pLaf of the Indim eqc& ex-~~

~~of IQ4,rK)O nillion k~ubocn cmpletod cbro&l by Indian f-n.~~

~~-*lot wailable). Those projects imr01v~dtho aap10pim-t md. bwrt 2;'~~

~~are not easily ~vaihble. It is unl.&&y that &ativc to the 1:1~-.?-.r.~~

~~of wozkma migating wey year during;, say 1960 to $982, project~~

~~exxorts by Z~di~mfirms. &uld have accounted for more thm a a7531 pkqortion .~~

~~The policies in relation to rmittsnce receipts oo\;ild be lk:il;.:il~~

~~to atfmctiq-~ox ensrww tho inflow of 'f 6rcib-n exckrgs or could go~~

~~further irnd atkdpt tg ace the hectic dqloymant of fhcsc rc-~~

~~qeipta after the oornrorsicn of foroign axchw&e into dmcc-tio cux::~~c:;. : -~~

~~hlib s-d cumtries exporting manpowor to the YLdfdc 3st~~

~~in Indirr, the Govert~:itnthas so far refmined frw hpoew my 'fdziil~~

~~obliptioa on ItuLar; .dgrant workera, or their fomigz~mploya"s, kc ra:. -.5~~

~~WD of tha i.:=ou -ed by, or payable to, those workcro to indLe..~~

~~IJomcr, under the dstiag exohmgc control regho, dl Inhci-tbers~~

~~ercr obligsd tc rowtriati: to Ldirs &1 tbair br-bncco hsld abacid 0nc.c~~

~~Yney raturn homo. 'h mO~rto inrhrcc the. workera to remit their .sav-~~

~~ix@s to khia wldlc thcv ara still workira abroad, the Goveriment !.av adqtcd a mbor of aohmos . CPho nost Liorthat acher~~~is -t!;eano already ref=rail to zbovc.~~

It is addreseed to both iun-reai~tent 1:idiuls ~WSOI~Sof hdim * origin. Thie is the sd~ans;..llowing the op- and mxlntmarxe .of non-reairlent e,Yt;emd b& acco-mtc. Shco 1975 these xcrjqmts WLZbo kept iri rupobs or dmminntod in pound stcrliw or 02 dollars. Ro,mrl- less of wbe-kllor the-ac accomts am l:~--tin rupccs 32 thk8e m dcid- nated in a foreign cmency, tho bd~acesin these a;;counts, inclusive of htmost csllleri thirreoa, .rm rcpatrkblc mtoide h~dia. l'hc! two najor &oontivcs thcsa accm-ts qjoy are; \/? ) the cxmption fmii k1cm.i~and wealth tnxe~nnd (2) K!G cnt~tlmcntaf tm~dep~3its of

~~9r.e yaw or ziorc %o interest rrt ratos tv~cper cmt zbovc the cm~arcble daaeatic dzposits. !LIE latter jr,cttntivo w9ic: h.t;o cff cct I'r0.n thali 1,~~

? 932. !..hilo tha f oreim currency acc~~~tearc free frou foseign ex- ohergo risk, beh-12 ,~atrlahlein t;he foxigt cu3trcncy in ~dliohthey are dc;:-,mhatad, the rupee ,?ocounts carny tlmt .risk, kt the tksc of rcp%triation, ba,lancos in the m-+e accoimts a0 to be ccnvmted into

rate of exohimg~at whi& tie 3rincip.d wan rmittci! to Ir:Aia ct tho tiuc d deposit. liouaver, the rupee ccsom'io can be mintaixe3 in th~ f om of currant, s~virg~or fixnell accow;ts where:- the foreign curroncy

LC-C-CL.- .- - ---a- ---.-CW-. - -A------.--.-. r- 3:. 'i.Con-rocii!cr,tn', 10~-the pmyoRe of ~ILCSChcenlGive~3~ hcludc &ISXI cikiacn3 stq4rii ~Lmadfor mpl~~nunto: arq- othcr pmppose f>r XL ind~firritopcrliod ,znd includc b~vcr~ur.cntstmmte deputed alt-d. A 'p~~~oiipf 1nili:n origja ' in mlyonc who hzls mer held Indie? paasport orc soricone whoso pzrwte or eru~~i>rz'~~tewcrc Lldims and pmanent rosidcnt~in undivided &?';La .i. o. bofore Met1 5, 1947. -'a can ';;:! r,o?-.t;?. frm T.-.bl-. 7, thcoir axiimd azcomts nava

~~zttrg ted about I3 pez cent ( ' tilo forcm exch-w coxhg irl IAc~~

~~form of totzl rcr;iit,bru~corcccipts durh," period, 7976-77 to~~

~~1981-82, Bkt tlid a.:~untthus rscc-ivod has rn.1: be.lrL hmbsta~tial,Sting~~

~~~9 large 2a b. 12.5 billioc, c.qui-+dent to 31 -3 billiail st ths cxct~;~.xa~~

~~rats prevailing duxiqs the ugriod, within n spin 02 6i:: yt.r?l's. AB~~

~~b ttwom the two cute-zrd accounts, W,c! .rupee ~CCOW~~

~~'be;. mch aorc SUCCZBSM.Only 11 per cat of t'x dwosits in +,lz~~

~~i.&ernal accounte have So(!il scountcb for by f orcign cmriep xcaunts; ,~~

~~tho balanci, ashto tho rupee accounts. Indocd in tile yws9 1979-80~~

~~to 198142, there were net wiL'1dn.wuls fm thc foroh cllrrancj~~

~~mcaunts. Kowmrer, Rfter ti!;. d~ingof intorcs-t rates9 2~ frcm Marc11 '~~

~~1982; thci position is reported tz hvc hrymcd 2nd thu forcign cu-~~

~~mncy acccndt3 rcccrded a sitsable net accrual dongoidla acoruals ir,~~

~~the rupac account%-,. Still, ~ccmds5n -Is-!(: forzim cmcnci 'accounts~~

~~fox 1982-03 coinpriee lees than 20 porn: cw.S of the tc;tal irflou Ln~~

~~tto oxttml r._ccour,l;c.~~

~~!Re quantion whathcr thc m.amts which x2rticc1, ixto the ex-~~

~~tcrnal accnmts would not kvc cone in w-iti13x.l; th~hcc~tivcs and 'I facilities Bpecidly offerod to them 3s kn;,crt,mt ,but uot quito caay~~

~~to rcsclve. % tho basfarof an inter cowtry, cconanctrio &rialisis (Sway, 5981 ), it waB observcdr ".. . the vhbic-s describing roh- tivc mtcs of rc-kn on dopeits adthe iqcentivc nchclncs of lab=~~

~~-0 oxpotting countric81 f o onco- mittmces thmu@ official channels~~

do not kve ay effect on rcn~ittstnccd'. '&';)lc-. snne study a-akea an %c! ~~rervaluztior,of CU,T~-?~(T~.~CE net a~pemtr lw.ve nc-gativo eff cct on rmittm.ccs oithcrM. Nevertholcss, i.t Is difficult to be auru thzt the mlcnmts rccoived by a country over and abwe what the oomtry re-

caivou irl th~normul oourse by tn,y of psivrttc trmsfcrs would have been rccoivcd a themifie. Nor can one bo ccrbirr timt rcnljttmce racaipts, as a wholopwonitLz 3Lfectad by cxcbagc rate unc~rtainties.

In thit Mian coz~text~i~~hil;;: the fact thD,t (a) the mjoz part of the funds dcpositod in -kc mternaJ. mcouriti has accnrod to rupee accounts wlrich do nclt ccamy any cxchmgt? rato protection md (b) tho aoclretion ht3 the oxtemjl cwcounts wa.s quik a~batantialmn withmt the bon& fit of a spocial premium interest w5ich hcte lately became av~ilable, does rcinforcc the q-crestricnposed above, it rimy. still be not eaHy to naaert that cithor cxohanga mtc prbtoction or interc~t~ato premium can be di~penaed\ci lh without risw the n::\ie of inflow into -t;heee acccunts .

Of c3urse, ehcrd is tho sdditianal concern which my labcur cxl porting oountry mwt legitimtcily feel in reg?& to i+,sinc'miry; remittance8 and that relates to the doplo)xcnt of these remittances by porsons and h18d101dS rcceivirg thm. h ~otcd,the inflow of these rmitkcss ~ouldhave its hpect n~tanly on household i~~cnc.8but

PJBO on prices through both additiond dumm~~generation md the crea- tion af ,~ditiomlbnnk wonsy. k this ccntext, the hdia bcmcr,t's incentives on i.xtemlal accounts caulit ba fistid to serve the obicctive of inducing ad3itional saving8 out ofrmitt~9cereceipts. 'Phc bdim

Govc~nnentalso offmu iUroct incontivcs for invostmenta, on ropatri- L able ox non-repatriable bseas, in Indian coapanies, the Unit TrusC of T~Binvestments car- be made out of hqds brought ic fro= aborad t!lro~~.;t~

~~30-1 bvlking chvulels or fron amour.te lyi~gir, nor.-reoi6crzt s>:l;er:.r.l~~

1mstmer;ts without mpatriatior fzcilities are allowed. withmt aLy limit, be these investment^ ir, the existir* shams 21.d debontup2s of - comyqie s of ,r!w shares ~f comparAes or hivestmnts in ;r,rtnerellj.yc of prcyrietory conceca, Nor is my licllt impo~ledon irivestnc?:lis i:,. t: 2 unitn of Unit Trust of India, Cfiverment securities aid savir.g cor ,..'c:: .I :?"C,.:.: .

~~Imresk-ents with repetriatior, fLxilitiesae allowed withc,~t I::..it~~

~~only ir. nokonvertib~edebe~~tures cf comp,mles irj the jx8.i.i;rc.? .!-'r:t., \ Unit hstof Illdia, Covement securities and saviq certifiozl;:;?,~~

~~Por other investments jn this pup, th5 ~trictior,oil cco,~isi.t/~::.~~

~~+ raqpa4mn one per cent of a company's ~aid-upan2 ?=fers:-co L:-.,; ..;-L for a&v single Lm?stor ta 74 per csrrt in certain special caces.~~

While it is too early to say whether or fict the vnious ir:vsst.- , merat incentives bebig offered for r~n-~sidentinvestrr~nt have bad E. ma~orimpact bn the ir$A~w of ~UE~G)it ig'neceo'eary tc 3e clear or what sort of inpacts such incentives could ?:?ossibly kvc. Would thb:r. incentives attract additbnal furds fron non-resident Indims7 C?,

would they result in a reordering of -tr* deploy~!ntof W.6alrea;..;: ' coning ir,? Probably both, iii som cornbinati_o!% But t:ht thc1.t coi3i- naticln is CWi be quite importat in both cvalmting the !:.aasumn l;,n::1; -1

already and forrrmlati~~ineamree in the frrture. Iu this contcxt, i:,..-.h.. relcvm-~tto ~~otethe wcrd of caution sounded il; tho stvily already ?::f:;-- rre2 to, *at.- "in the pmc-lnce of such atmri preferences for ma1 criee-..-. 'L;i t uill appreciate *with inflation an6 thzt arb relatively risk free, . , megbent +hcqcs mi\y not ba-@icder~s: 2o-T.. . , . . (&any; 1981). , ..

~~TO tbc.-, cxtent,, ,,this fbak is -id', the moess or failwe of invost- msnt,eohoqca wiJl hzvo ta be judged prihcip.@llyoh the bash of 'khdt'~~

- additianal.inflow of 'funds in poesiblq for thm.,to. &ttraat. .'. Tha ' future azurst3 sf si~~ittmccinfl~us .t~ Li.39~ f5&1 'Ync. :. Middle &st is htiz9't~;Y li&?~ito 1,ht PLID~G;E kt- thE 1ndk.m &k- forp Li the; PliCUc kst. As not,ed, Lkc cxpricncc. of tho tl~ostre- cent yd;zrs, 1973 w 1382, Scms to j21dic:tc d oort of liwclling of the zbsolute 'lev<:l cf cutflocr -,t a li ttl~below- 200 +YIOL~~I?~a yea.

~~The figzlrcs ior t'ic fir& imLr" oT 3383 indicate that the outflow cf wrkds will Sc 3f -the saw ozder clur-Lq Czc curront- yczr.~~

~~Is this IcveUing of tho migrcttcn outflow E: prezu:aor tc mothar ssce3a.tion & reversal of thn risiw tron2 ao far? 1r1~~

~~bercdtor than wzs pcfibii: i'c; a1;csc cwtriea -tcl sustzin in fha 70 '3.~~

~~&so ,-it has Gu t e bun2 in mind ';hat 2s illc cor::pxi tion of fui;.;lrc in-~~

~~narc 'lsbcur inJ;cn-sive tk~cov~i.aI.1 d.:.~211sZ f cr aq3t;rb.t2 l&ovx f sr , . - Invcstnont pro jcrcta, is bcmi'l to Lccline.~~

~~I i That the ,o,v~zallclinmd Jf tii;',~iddl~&stem lcbbur iiiPort&~~

~~. '. - - ..(, "& - 4 cc~mtripsfor expatriate ?>..i>o'~Y'is f&1Tlccly to experiz~ct:tnt ra-Lcu~~

. - , P;,, of powt?,registered'bcforc'is'&&c!~ a.wa>t~d. hGecxl, tlic yrcs~>cr=t I' ...,. . . .. '. C 8 aoms to bc i2'1ht whili.tir. '.l-?-?? d~t"few yo;is th~rs still contirluc to be a~o'demd for e ccrtdr. mount of additio~lallabour, it is

~~unlikely to be 'at lcvels registered in mcorlt ye-. In tho 1o:l;ger~~

~~. run, fhcrp wrin fut, be o, not reversal of the proccea in Wt~~

~~expatriate lebour h tile Middle %at my well start returning homo.~~

~~But whet happens to thc tom eqatriats labour foroc in the~~

~~MFddlc &st rnw affect its different national cmponcntb differmtly.~~

~~It ie, for inetancci, w5dcly 'aocepted thak with the relative'slowrtng~~

~~down of condtruction activity in tho PIid:Ue hat, tno d&d for @rnplm~~

~~s!dlls ia bound t:, hoclhe. LFkewisc, with the growth of tho -;"~~

~~oeotor, the d-d in ths Middla &st will probably grow for thb, w;~~

~~cf hsnecdcd to deliver the requFred services: -;of the~~

~~labour exporting oountrie~of to-day will bo' zble to mepaad. app-~~

~~prhtsly to this changing pettarn of demand f qr airFlls from tho MiUe~~

~~I -East ia a q~~~stionthii; cannot easily be armrezed an the stsn&h of~~

~~pact trenUs, One thfng is oert:. h, thst tlrs labow arrpd* codia~~

~~will be able to mtab their sham [or even j.;ngrove u2on it) of the~~

~~i) expatriate labour force Fn tho Middle hat, tho ~gaterflerlhtlity~~

~~they have in adjuatiq theb supply of mpower tc the changixq p~ttam~~

~~of &illdenand from the Nddle &st,~~

~~Gi,von the large pool of mznpowar &oh the oountrice of south~~

~~Bsia .&+re between themeelves and given dao the availability of skills~~

~~Dver a ado speolxm, it wil2 be a xwacuably eafe zasumption to makc~~

~~that for a country .like India' & ~rrg3ly.wnstmint is unlikell( tq~~

~~oporatcj, for quite a long the to me. !@m G6vwmgn-t my still'~~

~~ii%~er rnl~to plq h-n~tO~LJ wtk UtGities &'tho mbr,~~

mua egonts, moatly private but a Om *LID, WQ ~m the rco&@@&~ and export of workers bat 2163 sccuri.n;- to the ejctmt it. ie +a~tb:,;: It P nuch more bclanced'~;3-ag~~hic;LZZistributim of iwnpowarc eqort

~~as between different pzrte of fnc cslntry .and b~twcqn>..Uff o$en.t: pw;.2~~

~~of the gbour exporting states within C\L! ;r\=ou?try. Otherwise,. C~S k::"~~

experience in raccnt ycnrs ha.s d~.~ncnstr&,~;o3.th;t as a consetquc::cc ol: a virtually unregulatocl export 'of mipow& while roi..ii: -azts ~f .ti.!\# country, sa for hatancc hzs ha&encd in pztn of &&la Shtc, ;u:~*.

~~, . bczn,left virtually unaff ectcd. !Ibt BO fu such interventi.:~~:,?T, .!,'I.,-; .. . #J@. of Government WZB not considered ncceoshy, does not ;xoa -~.::-.l~ , .~~

~~WOmQ. intomrention would !-.r,t bc desirable in fu-t;urc. 'The ,?-iec2 L'L:;: 5:5.2- 8~~

~~within the countqi ad%ode b&k?nccd drveloseni. Use; the cas;: fi::~~

~~a lcss unwcn geographicail distributim OZ z'tnpowcr c?cport c= &~~

~~mado on the ground &t then 'tho 4urden of djuetaent. will bo no?&~~

~~eqw ha red bctwmr~various rugions when tho reverse flcw ~f :.iiLq::-. .~~

~~asmes n,~izcablcproportior? as i$ wall night akqitc cmcnt fcsa-~~

~~oasts to tho oontray.~~

~~hs for the future inflow 3f rmittmces, it. is cruci?.lly d,+r.- E, dm*, an not only the etock of B co-ntiy's mimant wr4er.s ard thci:,~~

~~e.am* abroad but flso"'thoir"contin~vt&por3uincss1 an:\ :an:x-~~

~~qU_CU?T;m Iflt~~~t)t.m'xmittW~'iUda, back honc. $l'hc? fact th,* $?i.TX-'~~

6'8- :of ,zc~r- snoari', 'tif'slo&~wn in tba pcc of zcc~gozlYk' ,.%x : . ,.. cctiviliy tha ~dlk&.st':khAb&cd wi-l;h b~c'.hodeQeYxLt Co-,-;.rrrxn.k mmt by ttrpntrizte workers wlll probably cnsure tho +,.l.lpor&rlnossq

~~of their work' ss woll as rrsidcntirrl statw LT thc.so ccmtriqs. So, 4~~

~~if tbe ~ltoc!~kecpn 'rising ad@anlings &Q not dealinc, thcro io re28;n~~

~~to hops that ranfttnnce xc??cigtsof labour cxpokirq oountrioe ars a * whulc would kec~rising. .&' .&'~~

~~ompulsory oblietion, either dircotly or indiro&ly, on its 6 , . . onigrznt workore to remit hmo any prt of thoir mmdngs. abroad. hh~~

~~effectively theso noatiures to socure cuslpulsory .ranitb,nc~eout %f~~

~~cmiir~qabroad operate i~ nut yet fully assoeeed but .there' om bo wzys md mema of circunventing such mmauroe. In ~dd+o'e' cma, the 4 inflow of ra!ittmoeo fro^ theIndian workors in tho MiUs Emt, hZb~~~

~~b~enquite subshnti:Ll, judging by L'Wyaxdst ick ,withut roeort to c&~~

~~pulsidn. Of course, 'wen the C vemzient of India offere a nuiber of~~

~~inoent vos for the glrzmcnt of Msrrmlitted hone in the fom of bi -. dopsits or inrtcabants ia firma rnd caapws~, &rt the cu;ro&ta~~

~~kept in deporsita.or hvcsted bye, as noted, 26~64us to .not more'~~

~~t2u.m a fift'n of -&a tow ~cmitt-crlccrccoipts oftho country tn arff roacllt yeax. me Iklk of tiic raitk'u~curoccipt~ Me, as' noted,~~

~~cane in withn~tavitil&- thckselvua of 4252 octxeusions an12 behof;i ts~~

- --.- .---LL-CL--- 'a 3+ *1d Bsnklo projoc$iono c;;tmdhg to 3995, on the: basis of' wlrat ie CLLUQ~tile c~ntralgmewth. sc wio, yield an cuLaual iucrc\nso in tho reoittacy inflow of the Zabaur wort* catintries of Asi'6:at the ''. mte of 6-.3 par cent (sea Wzld &mk9 1983, p.32). of i~nren ,merit of that ~srtof t' ir renittarices wh'ch their kitb and Un ., ). ' baok ho~do no+, need for meting their cumi~tconsumption =quire- nents.

~~mere' can. be no que~lling~ith th6se 'priorities, desire , ,~~

~~to &quire a ;iew .cf aeicultural lvld cr n houee site i8 aomethir?~~

~~thsl .is deeply embedded rind the factors o::era.r;irig bowit ae ~11~~

~~known. No amount of ir.dt~co~%ntfor other fons of investnent can.easily~~

~~defkct an im3.ividua.l nigrvlt from his ix-efemncc for hd.. Thc sane~~

~~ia possibly the case in regzrd to ranovation or'construction of one'a~~

~~&me. -These am instnnces of infinitely hwlastic dee. kverthe-~~

~~less, spy- Government wcnrld be perfectly justified in cttempting to~~

~~"dimct as a proportion as possible of the eavirgs out of remittawes~~

~~icto what are ccnsidemd as 3ri5rity inveshxnts from -the mtFcna.1 goint A~~

~~of vieu, Af-ter: all, there axe sl?v&ralincelA,ive schemee addressed to~~

~~peopk at hob ~;hich too attcn2t to chzrir?xlisc thair smir?& ir! aesirable~~

~~directions by off crlr~sdt~llLi-?s iol'l";c~;~i0n6 the like. Sp nteasmes . . :. of this type will coptirare to have a role af their own.~~

~~Indeed, incentive meaauree zrqy ,wr311 l'ave to be much mom,~~

~~effoc1;ive and wide ranging, as the reverse flow'of mipatior, t,&ee on~~

~~larger proportior*. !?her_, funds repatriated hone by m tume rr~igmnts , , would need '-to be ohnrmllsed in proper dirsction. In thctr oD,ze, cx-~~

~~temal account facilities will EO longer be available because they zre~~

~~not rggyruaidents any longer. Still, they crc ins.tmenta1 in brim '~~

f&f'home valuable foroign exchan@ with tiwnl. At the sam tipe, the* . *L- . .. is the denger that thir hard won si2Vhgs mjr be frittelpd awa+r 'b&he - .' F prP?sult. of W-bdmd echmee LP resottlwnent or got locked ih pro- jeats md ~&emea laumhsd by ~som,ulouejgMciea I&& .- bo&d to cmp ug .the mqnetrt the opportunity p,esenCgiteelf. -lhe ~o&ent

dlham ' to pzqamd to take -table ~~e mmfito -foreatsll mmh poeaibilitiaer 'Ihie will'have ta bo addition t6 kt- stop ;ceo tn*& wina view to rosettlbg the returnee 'migrants,. Whothey-or.notthe net mimtion ofkorkere frm Indie to tbc

MddLe &at is likely to co~cto a Mt.cmdthe--&verse flow st-% in the near future, the remittance rccoipts of riior l,+our eq0rLir.g cou&ciea liks InU will in nil likQlihood, aqeriance heredtor a very xsh slower rntc of growth than ma rcgiste~din the pzst

'seven, eight yoars. That in itself i~ some%bing to bo, tc-kun oleax. noto of by thcse ao-antries in tho budgeting of their foreim exch;*q2 mi-38 md in the fom7datiun cf sxtemd economic policies.- If, ar is widbly forscsst, the industxinlised countries in thc West rssumc their eccnomic ~mwth;wd reduce their protectiazat barriers

~~.'that a slacken- in the eqansi-cfi of re~:,ittalcerwcipts is possible~~

md other i!cvc.lophg ccmttries *ich !V.VC ccxc to depend so criti- . . I aitu on expnilmg rcxittznce receipts fcr financing their developa;.nt b~crtswill luve to b~ prepared to 2dj.ut tieir import requizmcnts downwmb and con~~nently,experien- lower rstes ~f @ha National ma h~bintcLabour Force inEYve&Joz Mi-ddlc --%s tarn-.--- Coutri e~

~atio~la 1,026,5 1 ,I 33.3 2.0 57 . 49 43 51 ctlror~ 77j.3 1,163-9 365 Tot,a 1,799.9 2,297-2 5.0 Libym Arab Jmehiriya Net ionals 449.2 525.8 3.2 57 51 43 49 Others 3324 510.2 6 .9 ~ota 7e1.i ~,ojb,o 5.8

~~United Avab Rnirates~~

~~Nationals Others 'Pot&~~

Total Nat ionaLb 1,625.0 1,844.6 2.6 50 44 50 56 @there 1,619.0 2,358.5 7.8 Total 5,244.0 4,203.1 5.3 ------.------ILIL.-I-.--I.---- Notot 1. Per ccnt of total labour force. Soume r WCW, %do ~d I)evi?l-ept Re~ozt.1982(14oov Yorkt United ktions) Country of. 1875 1377 19'1? 198i (2 E&loymont - --....,...--- A ------Lj-- .-..-- .- - . .-- t e-_ , -- Fo 5% 33a $ I-10 , - iv

~~Saudi Brctbia 7 5.0~~

~~\'24.5) /'r~~

~dea! 7, ' Fibwes in brzckeis ,iue nipant poplation (workem plus de2enden.t~)-$o-tal,~ .a?& pemontages. 2, The enttw~tednmbes of vod:ezs in 1579 has 3zen wr;rkeL oat on the ascjm2ticn ti12.t tile nunber of denendent8 rmahed -w- chm&.ed'tetl,ieen 1975 md 1?79, i.s. ,31 net rni~~tiondtcr 1975. wzm of viorksrs aid new faiily amhcrs r;i-ting to 'tl~ XidUe East only rel)l$ccd those rst-ombg fron there. 3. In 1979, there were 21,093 Tndims in Iran. L ' . ks : 1 . Bir!co znZ ~&cl&-, I 98C, Wleo 13 aci 111. (~olunn-uise) 2. 'BF J'01.7, Ho.77, Sept.-1, 197e. 41ein+rr 1382, $.5 ad52,. ZISO.~.~&~1982. 3.. . A 3. Ir~dizinPcp?eas, ' i'*,3b4 27, 1983, .; Jme 2, i 983 arid. June '1 1 , 1903, roporta based 011 etztor~cntssssue?. by Mk, Minister of Sti:;te fox -&terid +iff&s, Indie; deo, 'Ilanhon, 1963i

~~. Popula- d-t vork' mte tion ess as a propor tion @) of Rural Uxbqf density ~te-1 - (pereons mte Toted Plalo . M F M P per 80. Worlzers Workers ha)~~

Yotes s I. The three dis-bricts fox which figures me given,aegarately are ' the districts of .hi&cet migration in the State. They are zankcd aeoording to the proportlon of xigrant workers to labour force. Ziarever, ic" the diatricte were to be &ed 3ccordine: to nigrmt workers located outeide' Indirt, ildng~~amwould Mnk first, lkichur second udAllcppy fum* coming after. Cannanore.

~~2. bber of a5-t~ in exly 1980 was divided bx tho numbor lof workers in 1981.. All other fibpros relatc .?G 198l.~~

~~Soume: 3 1. Kmda, Survey sn kueing and Ebployclmt, 3980, 19a2..~~

~~2. Census of India, 1981; Series 10, I[crale, Paper 2 of 1901.~~

~~- -...*.-.ble 6~~

~~.190l-82 58,136 20,~d'j 3?,C','j 37, J'p 7 65 22;206 28~5aslt - -.--I-~_._-.------..-d- *.- .- ... ._.-.-.- Nptee: 3. Receiyta zn.5 f.q-r.m~to.on Current ~kcc;~'G exc.lu2iw tho~(,?~~

' of mcrcW2ise on bcth Frivztc PEL?. knvernile~-!.:..r:c3~::t, 2. kclude v~xicuonypc!~, of reccigl;o sose af' w1li.c.h cc3mot be consi6srcd as ?isant rcmi.ttar~cessucl; r.3 (1 ) 5z~ctiar.ntotrel.igiinis zrgmisa- tionr and clmriLa3ie institutisr,~in fntLi;~ ad i?)anb .3n*ries T. T. @st i:-q~&a~u~dcrTj.S.P.L.qEK) Titlc! 11 ~3.~13s.vnfor~st;t'ly, the b~~kdormcf ikivatc Prsnsf ers unde?! wicm ~uhhesds.is not 2.vtLiY2- blr: ~;rec:~-i;for t\i: contra entries whst 1% iL80 Lq~orta, rn; ' 4 I v-1 1 9' , I gr Is; ei !

~~y Pi81 ;i , a . @,I i . w-M dj t;; : 21 -,;;:I j i d i 1 -51I !;~~

~~11 --.-Table -- 8~~

~~(ui) Balancc of trade 24.9 79 5 +VD 1051.1 60.3 -49.4 39.3~~

~~(iv). ~~siblaraceipts31.4 35.3 45.0 ' $7.7 41.1 41.6 a40~~

~~(v) ,ckxrrmt 2lus amor tizstion PWW~~ 4.9 7.8 13.0 16.2 t2.4: 1.5 . 15.9~~

~~Note: (I) include recci3ts on bcth current a ', capital 2ccm-k~ae shew In T7bl.e 7, (in pmccntq+s)~~

~~PeJcis tan 9-8 33.2~~

~~Ym.en A.R.~~

~~I-Ior~cco~~

~~Philip--inter~~

~~kgl~eofi~~

~~Sum mt Gysb Sri LRnka~~

Thailpnil iJotc: (1 ) B'or purposes cf ccr.lpmc>ility, it was cihsiderkd dcr t~ rblatc on&* the roinittme receipts in >die or? ourrer~taccount with thoee of tho cormtry's cmont p-mente. Mbain~mircr(l)of-%Rittimcis for In&. and oa1er mom wort- Gountrieg

~~1) India 96 32 5 1 67 85 103 95, ,1C? $7~~

~~f2) ~jsrhim and kI3.b labom exporters i2)~~

~~3) petroleum price: "' -b&i&abf a ,(* Sfiarr~l) 2.70 9.76 10.72 ll.-5l 12.40 12.70 17.26 23.67 32.50~~

~~1h6e: * (3 ) Mchzsing power is nemurctl in tms cf nillion b-als af' oil that the rerittanoe xecsiPts would buy. (2) 15 labcut exporting camtries noted in Tzble q. 4 s~~esiROW -I ) ~ar;t.3s Table 7~~

~~ROW 2) m;. IntarnatioM- Binamid Statietica, vakioua issues. .bw'3) (2) awelopod rnarkst eoononiea 3 GO. 0 67.'~~

~~(3 krc?lqin&economies . 78.7 20.0 32 ,~~

~~I " (a) .Oil export* 7-6 9.9 - (b) IJon-oil . exporting 11 .2 11.0~~

~~(1) World~~

~~(a) Oil expert* 3 a 8 2.6 (b) H0n-o~ oxpi*ing . 18.0 30-5 36~~

~~(ii) ESCAF (3 1 6.o 111~~

- -CIL---- .....---- Note:,, 1) !ka fmsreported above.'related to 'jprivate unro~uite Itruref*~s'. Theso aonsht d~cstantholy cf remittanca; but also' hkludb some misc&llaneaus . it~s; 2) !&e 36 lecst dovelopea osuntrios are Crxuactcris~dby v: low '~~escapita. incomcs, litemy rates and share^^ cf mlufa~tur~in GIP. 3) EsCU camtrios zccciv&p rebittmce; urr Po?rimtm, India, 'Ihdle~~d~IZcpublic of m, Bznglade~h,RliLip,~es, Sri. IEU~CEI,lTepqi md TO-. ~euitbcesfroa the !-5&dle %st 102 182. .yj9 -..5.2 . 6.'2138 ' i70) (75). ';;.13 ($9) ': (375 [ICC)

e t 1 1 - Rcmittancca fro5 tEe I :d+le &st k,qQbc.i,@ -eatiDsted W1 h g~5Wii2ti~nat ':t$layi WCe 33 ~dfi~0ftho tot& .ih 1974..and 1975 ..cud hsaaoe2. ths-k'.eba, by."8.4poroen- &:points in each .cf the subauquhnf.,,,.. ~~apg, . -..a,~ expleiq~d :firi..:the'tezt. 2) 'z~ea',&b-kets -.give-'-a:' p'&&-&&& over -- . the"prmious y3&. a1c2 CI,~,, --.-Eslat ive Lvpor t s?-~-~sof FC~T.?~_@-cc-ar. ccn-t; 1) Inflows into %$& WL-7 5 1977-7e 1 350-8ja

~~i) Eqorts ii) Loans~~

~~(a) Sm&- Iuabia i) hports fron non-oil LXs jl ii ) CoocessiorLal assistance 26 26 L 7 c lii) Rmittmces 15 - 37 J/ - -- --~~

~~(b) ,Libya i) hports from non-oil LEs .60 ii) Conceaaioaal assiatmce 20 P. '11~~

~~i~i)Ilmittances' 15 3.7 . 35~~

~~31 Total lOC (1.3)' 100 {I.o) 700 (2,~~

~~(0) Kiruait i) Imports fml non-oil EXS 24~~

~~ii) ~onceisiondassistance 59 5 5 ' 43~~

~~TOM '100 (1.6)~~

Notea: 1) Concaasional finznce esfimctcs were t&& frm the World DLvel~pc~ Reartsf or,1 975.ond 1976 adfor later y~sfmm tlia Trade end l&veloprnent .Repod-, whLch 2;rpears to give =ore inclusive figures. . , 2 ) F&pms. in 'brackets give totals in R:. billion for In;iia an2 Q billi. olrsewfiere;

~~DIF, -.----Liternatiod Fhzmci& Skti~tic3,va DIE', Directibn of Tmde Stzti~tics,various -mMlbD, TmdB and EelpmtReport, 1982.~~

~~RBI, Xeport on Cgxcnoy cnC. Fhcnn, v.uicm India, lUI1ial;w of Comezce, Annual REV - - ~p -- - - -~~

, btsr Rou (1 ) 'eats~Xrrch the tatal remittance receipts ol lrdis .:.u a holc has bean mive;l at cn tho assunptim that (I) 0: ",;q ~edt~cearoccived fxcm the Xiddlt? &st Keda's shor'c .would be between 40 md 50 per aolit and (2) of tho, rei3it'cz:oas rmeiv~dfro& ncn-Middlc bt.sourcas, ,krela'e' w-rat exceod norc t;kul bctw6an 4 and 5 $ex.-oent. (~os'k53.e 12 for the nsmpt:'-on underlying the calculation of renittmcas fron t&e Xiddle &st to Jndiz as a wliolc.) Rd+~moe-- rcceipts of mm-ts tc-~thm states within India -.p& k .- -._ . .. include$. &- (2:) B& ad on infomation available in Econcmdc ,.Revicw , .' .I479 to 1982. Distric.t.\~iseDiz kt-i\)\)tion .pi I'orel:~~ -.--.---.Htxittzqcc~ .lgj-80 Ln Ilea

~~(?s.XilI ion]~~

~~Yotor Tow m~ittmcc-sfar t!~Sktc worc -en to be Rs.5,250 nillion, *&.c zc?n of thc x-eqJc in Table 14.~~

~~3) Knraln, Suz-vsy or. 1icu3ir~md Ekploync-nt, -1980,1992, hWoG Table 5. (its. at 1979-71 prices )~~

Source% ICoxda, Ekonomic Review; 1982. -Poc Csita Iqcmsbces?& Froduct flus'%u~i,t,~ulcoe)cf Eistricts 'offEmd3P 1,geO-EI- . . -YI.-.l ------I.--. - -- Zer api+a d~esticRdttaca re- 2er ~~pit~ District prc5act in curcent culhts p~l'- bcma grices, 198041 , capitc 7 980-81 (2) +- (3; , .

...... _.r Noto.. . t . (1 ) ~i&ras"in 'bracket? in calm& ' (2) h2id.. ,::( .. J) ,.,. the :districts ,' : '(2) :,.&BUD& 'tho tots rrit&eg reoei$tiiGf :k8260 million in ' 1980-01 the* have;%$$;i': dihtxih 'd2stxicts aocor3hg tp the diifiibd-hi%f. .. .\ -xtigcmt ...... abroad in 1980. . - .

0 : 0, *F0 cv ~c-IM~\\Da pr r\o CD 2':Q TM\OiD..rcrr\Cn0\0 bNCUO NO\ m3u chO\.V)\O COV).QIn!=.cu w*cu cut , r j r" Cost of Index in SeZsctod Ccntre~of M- Nuabers,,'., ...,..,,.. ,--,,,, ,-..-. Kcral329 I980-62

~~. Lvc-mra immI i3ilr~cnt~~~-i&60r!r! -- In-~g.' - 1930 1991 1782 1381 ovcr 1962 cvor . Libya~~

~~UllE~~

kt e r (1 ) hcludos Si-pore , ~lsl&oe,, Moztmbiqw , Nigzia in addition to l$$wpln and hbnl.. & 4.. (2) E'iguoe given in braaket~Xtho last cola&re wen-? at the total mrmbez of -mrkera deplqybd by ODE&% &ing 19)9 to 4982. 3c;tc:r Pimas in br::.ck\-:to rclatc tc thc fliatric~tsto ?.?:i.ch tllu taluka belong . -Ref orcnco~.

~~1 . Econocic liesezcch Centre, fih&as 1 902, Im pet sf Foreim Romit ianccs ori tlic &onm of 2 Rural ~CCin Kerdz, ~r-icultur~Sitution Jn~a Vol XXXVII~~

~~A~ELEX~, Pknaooz., 1932, EZ?igrn.tian cf Scuce skillc in P&ist,m, Inte* mticlntzl Migration_.-I.-- for &p1oy'ment~~(o~kkfn,~ hper, In t~am,tionrlLabour Office.~~

IJi, Syed Lslhr;Lf, et a, 1981, L~bourNigration, fray1 Ban&i.desk: to the Middle Fc..e-t, --World Bank Stl-ff -Wor-W-g%p,c,r_ lI3.451. Birks , JS and Sinclcair, C. A. I980 Intcrnatioml MiPticr, an5 Development in the lirab Region, Internatfond Labtur Office.

~~Ciq&iv~kzr,i'md G., 1900, Use of Mimanto ' Ra~ittancesin Labour Fkporting Coimtries, Finmcc md Dc.vSJouncnt, June issue.~~

~~Corracxco Rosemh Bursa, 1978, Elnipation, Inward, Rmittmces and Ekono!nic Growth of brala, Rcport of a Gurvcy.~~

~~ibevit, Z:dcr md Zach-iah, K.C. 1970 fntornationd kbour Ydgmticn, Yinmce-,rnd--- Devcloroncnt Vo1.15 (4 1. Ec,onomist, 1983, kabian Pdnsula Survey, February 19 issue.~~

~~kr &stern ~onomicReview, 1983, L Gulf Well Runs Drys 2hilippine hops of z rcr.littmci. bormsci me crumbling, a doepatch by Guy Sccordoti from Manila in the issue of Eewcl~ 3, 1983.~~

~~Indin, 1983, &anomic Survey 13E2-5j8 Gvvcrnmcnt of India.~~

~~12, Indi~:~;'liniotry of Labour, 1383, Zuxfornzanco Budget of the Depzrtnent of labour, 1 98344.~~

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~~1 6. Korals, Diractorato cf boncdca and Statistics 1982, Smey en bhg ruld Jhploynont 1900.~~

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~~, 23. la&, ~.R.G., 7983, &inn Ehipction tc the 3lir'_dlo Ehet; Sagmti~nfroa India (1, rcport on thc state cf the cut), typscript.~~

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36. Ul~b!?iJ+ I 903 Lg) ,koduction md Trnda In dorvioes, Policies and thcir &crlyin& -re Searing upon irternatt:oml servicc t-Sactions ~W~/941. fl. United l&.tlions, 1379, Gbo-i Supply and Piimtion in-kopo t Demograpific Mmenaions , 1950-75 an2 *o~pects.

48. Woiner, Imon 1982 Intc-tiod Miiyratton and helopent: Indians in the Tereian Gulf, -exz -d DmreLoment ~eview,~al.~(l). This work is licensed under a Creative Commons Attribution – NonCommercial - NoDerivs 3.0 Licence.

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