Immigrants in Ireland are repatriating €683 million a year, or almost €2 million a day, in remittances to their home countries to support family and friends, according to the World Bank, writes Paul Cullen, Consumer Affairs Correspondent.
Meanwhile, the inflow of funds from Irish emigrants abroad has declined over the past decade, probably due to a corresponding fall in emigration.
The World Bank figures show that the flow of remittances from Ireland has mushroomed in the first years of this century and now far exceeds the inflow of remittances sent here by the Irish working abroad.
In 1984, remittances from Ireland came to just €64 million, but this figure started to increase rapidly after 2001, when it reached €203 million. It then grew to €435 million in 2002, €634 million in 2004 and €683 million in 2005.
Further increases are likely in the coming years, when the immigrant population is forecast to rise from 400,000 last year to one million in 2020, or 19 per cent of the population.
Immigrant groups say that the cost of sending money to far-flung places abroad is too high and believe that the boom in remittances represents a valuable business opportunity for Irish banks and other financial institutions.
"For banks and credit unions, offering a money-transfer product is a great way to draw these immigrants into their institutions," said Heather Bach, of Arias Financial Solutions, a US firm developing a remittance payments system for credit unions.
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