June 16th marks the International Day of Family Remittances (IDFR), a day that recognizes the hard work and sacrifice of the millions of migrants who support their family members and communities of origin through the money they send back home.
Remittances remain essential for the attainment of the Sustainable Development Goals. By helping to put food on the table and pay for school, housing and medical expenses, they provide a crucial lifeline for those who receive them. That which isn’t spent on immediate needs can be invested in the local community.
However, remittances can be costly to send. Average remittance transfer costs remain at 6.3 per cent globally, well above the SDG 10c target of 3 per cent. To harness the full potential of remittance flows, it is incumbent upon the international community, governments and private sector alike, to help remove barriers of inclusion to promote faster, safer and cheaper remittances. On IDFR 2023, IOM joins the United Nations system in commending the determination and resilience of the human spirit as evidenced by migrant workers. Further, IOM calls upon member states, international organizations, and the private sector to provide for the financial and digital inclusion of all migrants in order for them to take advantage of fast, cheaper and safer formal remittance channels such that they can realise their full potential as actors, and financiers, for sustainable development.