Pace of remittance inflows has slowed for India in the past decade

Cash transfers increased in absolute terms but the rate of growth decelerated

Although cash transfers by non-resident Indians were at their highest in 2021 at $89.38 billion (World Bank data), the pace of remittance inflows has slowed down.

Analysis shows that in the five years, between 2006 and 2010, remittance inflows grew at a compound annual growth rate (CAGR) of 17.21 per cent, which was comparable to the economies in the BRICS grouping (Brazil, Russia, China, and South Africa) at 17.42 per cent, but lower than that witnessed in Vietnam at 21.42 per cent.

Though cash transfers increased in absolute terms in the years after 2010, transfers slowed down and grew at