Overview

• A study by the German Institute for Economic Research (DIW) reveals a decline in refugees sending money abroad, dropping from 13% in 2013 to 7% in 2021.
• The research challenges the justification for introducing payment cards for asylum seekers, which limit cash withdrawals and international transfers.
• Data shows refugees are less likely to send money abroad compared to Germans without migration backgrounds, contradicting widespread assumptions.
• Study authors emphasize that remittances are crucial for poverty reduction and align with global sustainable development goals.
• The economic impact of the COVID-19 pandemic contributed to a decline in remittances, as refugees faced worsening financial conditions.