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India's Remittance Shift UPSC NOTE

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  Gulf Remittances Decline The UAE's share of India's remittances fell from 26.9% (2016-17) to 19.2% (2023-24). Saudi Arabia 's...

 Gulf Remittances Decline

  • The UAE's share of India's remittances fell from 26.9% (2016-17) to 19.2% (2023-24).

  • Saudi Arabia's dropped from 11.6% to 6.7%, and Kuwait's from 6.5% to 3.9%.

  • Conversely, the U.S. share rose from 22.9% to 27.7%, and the U.K.'s from 3.4% to 10.8%.

State-Level Remittance Shifts

  • Maharashtra's remittance share increased from 16.7% to 20.5%, Kerala's from 19% to 19.7%, and Tamil Nadu's from 8% to 10.4%.

  • Uttar Pradesh saw a slight decline from 3.1% to 3%, and West Bengal, Rajasthan, and Bihar maintained low shares (1-3%).

Migration Trends (Emigration Clearances - ECs)

  • Southern states saw a decrease in ECs to the Gulf: Kerala (82,000+ to 60,000), Tamil Nadu (130,000 to 78,000), Telangana (69,000 to 35,000), Andhra Pradesh (87,000 to 55,000), and Punjab (94,000 to 39,000).

  • Northern and eastern states maintained high EC numbers: Uttar Pradesh (above 400,000), Bihar (above 200,000).


Migration vs. Population Disparity

  • Uttar Pradesh (15.8% of India's electorate) accounted for 34% of ECs (2021-24).

  • Bihar (7.9% of India's electorate) accounted for 17.4% of ECs.

Possible Interpretations

  • Southern state migrants may be seeking better-paying opportunities in advanced economies.

  • Northern and eastern state workers may continue migrating to the Gulf due to limited domestic job options.

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Learnerz IAS | Concept oriented UPSC Classes in Malayalam: India's Remittance Shift UPSC NOTE
India's Remittance Shift UPSC NOTE
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