A report from the Asian Development Bank Institute examines the impact of remittances on poverty reduction. As Jackson Mueller points out:
“In focusing on the poverty headcount ratio, poverty gap ratio, and poverty severity ratio, the report finds that international remittances “have a statistically significant impact on the poverty gap ratio and poverty severity ratio,” with a 1 percent increase in international remittances as a percentage of GDP equating “to a 22.6 percent decline in the poverty gap ratio and a 16.0 percent decline in the poverty severity ratio in the sample of 10 Asian developing countries from 1981 to 2014.”