The Economic Impact of Migration and International Remittances: Evidence from the Philippines

Kimberly Batulan Semblante

Master's thesis

Abstract:

This dissertation investigates the resilience of remittance flows in the Philippines in the face of exogenous shocks, specifically the Global Financial Crisis (GFC) and the Covid-19 pandemic. By analyzing their impact on household consumption, the study aims to provide a comprehensive understanding of whether remittance flows were disrupted by these events. Findings reveal that the GFC exacerbated challenges, resulting in reduced remittance inflows due to shifts in global demand. However, the Philippines exhibited resilience, largely attributed to its service sector, with remittance inflows rebounding by 2009. Nevertheless, migrant workers experienced retrenchment and salary reductions. During the Covid-19 pandemic, remittance levels remained relatively stable in 2020, facilitated by diverse overseas Filipino workers. Future research could delve into the factors influencing remittance behavior during crises and compare resilience across different regions.

Abstract:

This dissertation investigates the resilience of remittance flows in the Philippines in the face of exogenous shocks, specifically the Global Financial Crisis (GFC) and the Covid-19 pandemic. By analyzing their impact on household consumption, the study aims to provide a comprehensive understanding of whether remittance flows were disrupted by these events. Findings reveal that the GFC exacerbated challenges, resulting in reduced remittance inflows due to shifts in global demand. However, the Philippines exhibited resilience, largely attributed to its service sector, with remittance inflows rebounding by 2009. Nevertheless, migrant workers experienced retrenchment and salary reductions. During the Covid-19 pandemic, remittance levels remained relatively stable in 2020, facilitated by diverse overseas Filipino workers. Future research could delve into the factors influencing remittance behavior during crises and compare resilience across different regions.

Keywords

Covid-19, Developing economies, Philippines, Migration, Remittances, Global Financial Crisis

Keywords

Developing economies, Global Financial Crisis, Philippines, Migration, Remittances, Covid-19

Language used: English

Date on which the thesis was submitted / produced: 26. 4. 2024

Thesis defence

• Date of defence: 2024
• Supervisor: Josef Taušer
• Reader: Cristina Procházková Ilinitchi

Vysoká škola ekonomická v Praze

Master programme:
International Business - Central European Business Realities