Assessing the impact of remittances on the macroeconomic performance of Ghana from 1990 to 2010
Remittances have had a significant effect on the economy of Ghana. Remittances in Ghana equalled about USD 12.5 billion in 2010 which is about 11% of the country’s total Gross Domestic Product (GDP). This explanatory study looked at the relationship between remittances and some macro-economic variables or indicators such as Gross Domestic Product (GDP), Balance of Payment, inflation, unemployment and national debt. Using the Ordinary Least Squares (OLS) method, remittances interacted positively with Gross Domestic Product (GDP), but had an inverse relationship with inflation, unemployment, Balance of Payments (BOP) and national debt. As a result, the study provides some recommendations as increasing remittances inflow, creating appropriate savings for international migrants, licensing of more money transfer organizations, improvement in education, communication and awareness of remittance channels.
A thesis submitted to the KNUST School of Business College of Art and Social Sciences Kwame Nkrumah University of Science and Technology in partial fulfillment of the requirements for the degree of Masters of Business Administration(Finance Option)