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Remittances, Migration and Human Capital Development in Low In-come Economies

Year: 2025

Type: article

Abstract: Nigeria receives about $21 billion in remittances each year, even as the country loses skilled workers to migration. This paper tests how money sent home shapes human-capital choices in low-income settings. We study Nigerian households and track education and health spending as key outcomes. We also check thresholds by transfer size and regularity, and how effects differ by who migrated and why. Using household survey data and standard econometric models, we find that steady, higher-value inflows raise school attendance and out-of-pocket health spending. The gains are strongest in liquidity-constrained homes. Results point to remittances as a risk-sharing and investment tool, not just income support. Policy should lower remittance costs and link inflows to training and care programmes.

Source: Path of Science

DOI: 10.22178/pos.122-51

Authors: Nnenna Obianuju Chukwu, Mmaduabuchi Felix Okoye

Institutions: Enugu State University of Science and Technology, Marquette University

Language: English

Topic: Migration and Labor Dynamics

Subfield: Sociology and Political Science

Field: Social Sciences

Domain: Social Sciences

SDGs: No poverty, Decent work and economic growth, Reduced inequalities

Open Access status: gold

Estimated APC paid: $20