International remittances have poverty and inequality-reducing effects in Sub-Saharan Africa, new research suggests. The results suggest that a 10% increase in remittances as share of gross domestic product (GDP) will lead to a 1.2% decline in the number of people living on less than US$1.25 per day, 2.4% decline in the depth of poverty, 3.1% decline in the number of people living in extreme poverty and 1.5% decline in inequality.

Source: Migrant money puts aid in the shade