An Analysis of the Impact of International Remittances on Child Education: Evidence from Pakistan

Abstract

AbstractThis study examines the impact of international remittances on children’s education in families that receive remittances in Pakistan. Remittances sent from overseas migrants play many roles. At the household level, workers’ remittances are an important source of income for recipient households and are used for a wide range of purposes, including daily consumption and the education of migrants’ children and/or siblings. South Asia is the largest remittance-receiving region, accounting for 25.1% of the world’s remittances in 2019. This flow of money from overseas has a significant positive impact on recipient households. Using data on Khyber Pakhtunkhwa province, taken from the Pakistan Social and Living Standards Measurement (PSLM) Survey 2014–15, this chapter investigates whether receiving remittances influences the middle and secondary school enrollment of children. The findings indicate a positive impact of international remittances on the school enrollment of male children but a non-significant impact on female children. They also show that the probability of enrollment declines if the household receives internal remittances. The study reveals various influences of internal and international remittances on school enrollment and confirms a considerable disparity in middle and secondary school enrollment among male and female children.