Effects of international remittances on poverty in Rwanda

By: Edward KADOZI, PhD
International remittances to developing countries have been increasing in the recent decades
and they constitute a critical lifeline for millions of recipient households. However, there is a
growing mixed empirical claims about their impact on socio-welfare in recipient economies. In
the case of SSA countries, there is a sparse empirical studies providing an in-depth
understanding how these inflows reduce poverty and improve development outcomes. This
paper contributes to the existing literature by examining the micro-impact of remittances in
Rwanda. Specifically, how international remittances affect consumption expenditure per adult
equivalent of recipient households, and how they contribute to the development outcomes.