Key Points
- The International Day of Family Remittances is observed on 16 June each year.
- Nepal is among the top three countries receiving remittance money from people living in Australia.
- Although the cost of living is increasing in Australia, migrants continue to send money back home to support their families.
Samman Kunwar is a graduate who has been living in Sydney for the past four years.
He arrived in Australia as an international student and sends a part of his salary back home to his family in Nepal almost every month.
“Mostly, I send money during festivals, or, for example, when it’s my mum’s birthday, or when some family member asks for some gifts,” he told SBS Nepali.
“Whenever I get my pay, I separate (out) the amount for my rent, groceries, and savings. And send some back to Nepal when I can.”
Samman Kunwar is one of the many Nepalis in Australia sending money to their families back home. Source: Facebook / Samman Kunwar
Ruzan Ahmed is the Regional Director South Asia for WorldRemit, an international remittance service provider.
He says that IDFR holds a crucial significance as remittances play a big role in the lives of both migrants and their families back in their home countries.
“Remittances, as we all know, play a crucial role in the global economy, and are a great source of income for developing countries,” he said.
This day [IDFR] recognises the sacrifice made by migrant workers by sending money back home irrespective of how challenging the situation for them is in the country (in which) they are working.Ruzan Ahmed
According to recent statistics from WorldRemit, people living in Australia have sent over AUD$2.3 billion worldwide since May 2022.
South Asian countries such as Nepal, India and The Philippines have received more than 2.3 million transactions in remittances from Australians during this period.
In particular, global transactions into Nepal have more than doubled since 2020.
Ruzan Ahmed is the Regional Director South Asia for remittance service provider, WorldRemit. Credit: WorldRemit
“The biggest shift that we saw during COVID is that a number of Nepali migrants living in Australia moved from insecure transaction methods like hundi to formal digital channels,” he said.
Hundi is an informal method in which financial transactions are done mostly based on verbal agreements.
For Mr Kunwar, using remittance service providers is a preferred choice in comparison to hundi.
“In my initial years in Australia, I used to use hundi because they provided higher currency exchange rates,” he told SBS Nepali.
But I stopped using hundi as a lot of my friends have been scammed while using this method. Their families did not get the money, and my friends also did not get their money back.Samman Kunwar
Listen to our conversation with Samman Kunwar
'But I stopped using hundi as a lot of my friends have been scammed while using this method.'
04:31
“What we are currently seeing is that migrants are sending multiple transactions. That means if they were used to sending money once a month, they are now sending (it) twice or three times a month, trying to support families when the expenses increase,” he said.
“It’s an interesting situation because cost of living is increasing in many parts of the world, and in Nepal as well - for both the sender and the recipient.”
What we have seen in consumer behaviour is that migrants are very resilient when it comes to financial crisis. No matter how difficult the situation is, they always think of their families back home.Ruzan Ahmed
Listen to our conversation with Ruzan Ahmed
'Migrants are very resilient when it comes to financial crisis.'
06:09
“My family tells me to save what I need and send them money only when I can. But there are some people who have no choice other than sending money because their families need it,” he said.
“I suggest people save some money for themselves first, and then send money back home if needed, because you never know when you might need it.”
