We know American jobs are being shipped overseas. This eliminates the jobs in America which creates a bad job market. It has only been going on for over a decade and increasing rapidly. Economically, this is a nightmare for US.
We know unqualified cheap foreign labor is coming into the U.S. to replace qualified Americans through visa programs, visa programs manipulated by bought politicians, so the billionaire executives can get richer. This again eliminates Americans’ jobs. More jobs gone from Americans and worse economic problem.
We know all of Americans’ private health information, banking information, insurance, social security, date of birth, purchases, cell records, and basically all of our data based information is accessible overseas. This creates a serious security risk.
BUT, did you know that when foreigners come to the U.S. they send much of the American money they make overseas to their home country. The money is not being reintegrated back into the US economy. It is not being used at the theater, at local stores or being put back into America. The money is being sent out of the US. Of course, in the same situation as the foreigners, I too would send money home. I am not faulting foreigners for sending money home, but look at how much American money is being sent overseas. How does this effect America’s economy?
Again, this is money earned in American jobs by non-Americans by not filtered through American economy. Let us look at one country in particular:
Remittances to India are money transfers from Non-resident Indians (NRIs), employed outside the country to family, friends or relatives in India. India is the world’s leading receiver of remittances, claiming more than 12% of the world’s remittances in 2015.
Remittances to India stood at US$72.2 billion in 2015, accounts for over 4% of the country’s GDP. As per the Ministry of Overseas Indian Affairs (MOIA), remittance is received from the approximately 25 million members of the Indian diaspora.
Under the Foreign Exchange Management Act (FEMA) of 1999, Non Resident Indians (NRIs) and Persons of Indian Origin (PIOs) can open and maintain three types of accounts namely, Non-Resident Ordinary Rupee Account (NRO Account), Non-Resident (External) Rupee Account (NRE Account) and Foreign Currency Non Resident (Bank) Account – FCNR (B) Account.
Since 1991, India has experienced sharp remittance growth. In 1991 Indian remittances were valued at 2.1 billion USD; in 2006, they were estimated at between $22 billion and $25.7 billion. which grew to $67.6 billion in 2012-13, up from $66.1 billion the fiscal year, 2011-2012, when the remittance exceed the foreign direct investment(FDI) inflow of $46.84 billion into India.
Money is sent to India either electronically (for example, by SWIFT) or by demand draft. In recent years many banks are offering money transfers and this has grown into a huge business. Around 40% of the India’s remittances flow to the states of Kerala, Tamil Nadu, Punjab and Uttar Pradesh which are among the top international remittance-dependent economies of the world. Research work on remittances to India is listed in the India Migration Bibliography.
Remittance by fiscal year
|1990–1991||US$ 2.10 bn||0.70%|
|1995–1996||US$ 8.50 bn||3.22%|
|1999–2000||US$ 12.07 bn||2.72%|
|2000–2001||US$ 12.85 bn||2.84%|
|2001–2002||US$ 15.40 bn||3.29%|
|2002–2003||US$ 16.39 bn||3.39%|
|2003–2004||US$ 21.61 bn||3.69%|
|2004–2005||US$ 20.25 bn||3.03%|
|2005–2006||US$ 24.55(projected) bn||3.08%|
|2006–2007||US$ 29.10 bn|
|2007–2008||US$ 37.20 bn|
|2008–2009||US$ 51.60 bn|
|2009–2010||US$ 55.06 bn|
|2011–2012||US$ 66.10 bn||4.00% |
|2012–2013||US$ 67.60 bn|||
|2013-2014||US$ 70.39 bn|||
|2014-2015||US$ 66.30 bn|||
Remittance Source Countries
|Remittances source country||Remittance amount|
|UAE||US$ 14,255 mn|
|USA||US$ 10,844 mn|
|Saudi Arabia||US$ 7,621 mn|
|United Kingdom||US$ 3,904 mn|
|Bangladesh||US$ 3,716 mn|
|Canada||US$ 3,145 mn|
|Nepal||US$ 3,220 mn|
|Qatar||US$ 2,084 mn|
|Australia||US$ 1,245 mn|
|Singapore||US$ 1,113 mn|
|Bahrain||US$ 690 mn|
|Italy||US$ 572 mn|
|Malaysia||US$ 493 mn|
Top Remittance Receiving Countries
India was the top remittance receiving country in the world for the year 2014. The following table lists the top countries in the world based on the remittance received
|India||US$ 70.39 bn|
|China||US$ 64.14 bn|
|Philippines||US$ 28.40 bn|
|Mexico||US$ 24.87 bn|
|France||US$ 24.76 bn|
|Nigeria||US$ 20.92 bn|
|Pakistan||US$ 17.06 bn|
|Germany||US$ 15.80 bn|
|Vietnam||US$ 12.00 bn|
|Spain||US$ 10.99 bn|
|Lebanon||US$ 8.90 bn|
|Indonesia||US$ 8.55 bn|