Rome [Italy], September `15: Migrants sent $728.6 billion home to families in low and middle-income countries in 2025, nearly double the amount recorded a decade earlier, according to a new report from the UN's International Fund for Agricultural Development (IFAD).
These transfers, known as remittances, grew by 94% between 2016 and 2025, far outpacing the 28% increase in the number of migrants from those countries.
The gap shows that growth is not simply the result of more people migrating: on average, migrants abroad are sending larger amounts home.
Some 220 million migrants and people from the diaspora support an estimated 1.1 billion relatives.
"This report is about financial flows of extraordinary scale. But more importantly, it is about families," Pedro de Vasconcellos, who manages IFAD's Financing Facility for Remittances, told reporters at UN Headquarters on Monday.
Behind the billions are transfers typically worth $300 to $400, sent nine or 10 times a year, he explained.
IFAD says the total sent home last year was more than four times global official development assistance and also exceeded foreign direct investment to low and middle-income countries.
The report warns that deportations, employment restrictions or weaker labour demand can reduce both the number of people sending money and their ability to do so.
Latin America and the Caribbean recorded the fastest remittance growth of any region, rising 132% to $168.6 billion.
Asia and the Pacific remained the largest recipient region overall, receiving $384.9 billion, or 53% of the global total.
Africa received $124.2 billion in 2025, an increase of 86% over the decade, with Egypt overtaking Nigeria as the continent's largest recipient.
Around three quarters of remittances go towards immediate needs such as food, shelter and utilities. The remaining quarter - more than $180 billion each year - is used for healthcare, education, housing, savings and businesses.
Almost $233 billion - roughly one dollar in every three sent home - reached rural economies in 2025, where access to jobs, financial services and public infrastructure is often weakest. Remittance-receiving households also invest an estimated $22 billion annually in rural agrifood systems.
The report also highlights their role in helping families cope with climate-related shocks, from replacing lost income to rebuilding after disasters.
de Vasconcellos stressed, however, that these are private family resources and "cannot substitute" for public investment, social protection, humanitarian assistance or climate finance.
More than half of remittances now begin digitally, but many still end with someone collecting cash. Only 35% of services measured in 2025 were fully digital from sender to recipient.
Digital transfers are cheaper, costing an average of around 4.6 per cent compared with 7.3 per cent for non-digital services.
"Technologies really can help. But it's not enough," de Vasconcellos said, stressing that families also need reliable and affordable ways to receive and use the money.
IFAD is calling for cheaper and more transparent transfers, better access tom financial services and more opportunities for families to save, insure themselves and invest so they can build greater resilience over time.
Source: Emirates News Agency
