Remittances and Household Finances
Households use remittances in different ways. In Mexico, for example, households have higher budget shares for investments, while in the Philippines, they allot higher funds for food. In terms of saving and accessing financial products, many households that receive remittances still need to be more financially capable. They can be helped in this area through financial education interventions. Without these interventions, many households will continue to save money under mattresses and informal groups, never knowing that there are ways they can make their money grow. This presentation offers several innovative ideas on developing financial products to leverage household and community remittance investments.