Remittance Boom Is Turning Into a Bust for Asia Emerging Markets
- Falling demand for oil means cuts for workers in Gulf states
- Money from abroad props up consumer buying, currency strength
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Migrant workers from Asia’s developing countries have managed to send home record amounts of money in recent months, defying pandemic expectations and propping up home economies at a critical time.
Remittance doomsayers see something else in the bigger-than-usual transfers: a coming crash, triggered by a bleak job market, particularly in the Middle East. As they see opportunity drying up along with demand for oil, workers are sending money home in advance of their own return.