Indians remit highest 21.7bln dirham in 2005-06

Dubai, Jul 2 (UNI) Out of the 232 billion dirham expatriate remittances made globally last year, India was the biggest beneficiary at 21.7 billion dirhams, followed by China at 21.3 billion dirhams, a study says.

The Asian workforce represents some 78 per cent of the total expatriate workforce in the UAE with most of them living here without families.

A large portion of their savings are remitted back home, estimated to be about 80 per cent of their income, the study by the Abu Dhabi Chamber of Commerce and Industry says.

Expatriate remittances from the UAE totalled a staggering 51.5 billion dirham in 2005 and could exceed 58 billion dirham this year leaving a negative impact on the country's GDP, the report adds.

In order to curb the outflow, an attractive investment climate must be created and joint ventures must be set up with countries where the high remittances go, it suggests.

Riad Khaleel Mattar, an official of ADCCI told Gulf News that opening up of the local stock market to foreigners is a right step.

Mr Mattar also urged the government to strengthen relations with countries where the remittances go and form joint ventures where expatriates can be shareholders.

UNI XC SBA HT1742