THE SOCIO-ECONOMIC IMPACT OF FOREIGN REMITTANCES ON RECIPIENT FAMILIES: A CASE STUDY OF DISTRICT CHARSADDA

Abstract

The main objective of the study is to examine the socio-economic impact of foreign remittances on household left behind in District Charsadda Khyber Pakhtunkhwa, Pakistan. A sample of 115 respondents selected through a survey questionnaire from those families having at least one of their family members migrated abroad. The model used for the study is regression models. The results of the study show that socioeconomics conditions of the migrant’s households became better as compared to the condition before migration in terms of migrant’s children’s education, housing conditions, living expenses, annual income, and status in the society. R-Square value of 0.7946 shows 79.46% total variation in dependent variable (Remittances impact on the migrant family) is explained by the independent variables. Major destinations of the migrants were the Middle East and Europe. Most of the migrants were matriculated having farming as a source of income before migration. The government should adopt such policies which encourage the households to further invest these remittances, such as starting small businesses and establishment of small industrial units