MONEY TRANSFERS OF LABOR MIGRANTS IN THE CONTEXT OF INVESTMENTS IN ECONOMY

Abstract

Considering the scale of domestic migration flows and remittances, the impact of cash transfers as important alternative source of investment on the development of Ukraine’s economy and income growth is analysed. Migrants remittances unlike other investment sources depend on crisis processes less than others and have a distinct counter-cyclical nature of the formation and operation. If not taking into account the means of IMF, remittances have become the largest external financial resource received by Ukraine because of the reduce of foreign investment. The results obtained from this research show that the easiest way to direct the remittances on economic development is to control this financial flow, its taxation and to require migrants to make transfers through national financial institutions. So, the problem of migrants’ money transfers should be raised on national level and must be identified as an important issue of economic policy.

Keywords

• Migrant workers
• remittances
• migration capital
• investment