Dubai, Dec 4 (UNI) India tops the list of Asian countries receiving massive inflow of foreign remittances accounting for 27 billion dollars, followed by China at 25.7 billion dollars and Mexico at 25 billion dollars, according to a World Bank report.
Significantly, nearly 28 billion dollars out of the total estimated 44 billion dollars remittance flow from the world over this year into South Asia will originate from the Gulf states, the report said.
''High oil prices and strong economies in the oil-exporting West Asian countries are contributing to strong demand for migrant labour,'' the report said.
West Asia will involve 28 billion dollars, including shifts of cash within the region, by the end of this year, a seven per cent jump over last year's 27 billion dollars, the Gulf News said quoting the report.
Remittances are the largest source of external financing in many poor countries. ''Recorded remittances are more than twice as large as official aid and nearly two-thirds of FDI flows received by developing countries,'' said Dilip Ratha, senior economist in the Development Prospects Group of the World Bank.
Countries in South Asia and East Asia are experiencing robust growth in remittances. In the Philippines, remittances rose by 15 per cent year-on-year during the first nine months of 2007.