IOM Moldova publishes study on impact of economic crisis on migration and remittances

11 June 2009

IOM mission to Moldova study titled ”The Socio-Economic Impact of the Economic Crisis on Migration and Remittances in the Republic of Moldova. Early Findings - Spring 2009” presents the results of a recent survey assessing the impact of the economic crisis on return migration and remittances. Since 2006, IOM Moldova has researched migration and remittance trends and published several reports, and all the data gathered up to last year showed continued growth in the number of migrants and the amounts of money sent home to their families. This new survey was necessary in order to empirically identify the first effects of the global economic downturn in Moldova, at a moment when the International Community reflects with the Government on most urgent measures that need to be taken.

The study is based on the latest nation-wide survey, carried out in March 2009; the methodology used allows for an error margin of maximum 2.18%. The survey offers interesting and useful data for researchers, policy makers and the public at large.

Some relevant findings are: (1) out of those receiving remittances in Moldova in 2008, 20% do no longer receive any money from abroad and 45% reported that they receive less (or much less) now than last year. (2) 20% of respondents reported that someone in their household had been affected by unemployment. (3) Contrary to many assumptions and concerns, there is no evidence of a mass return of migrants due to the economic crisis. However, the number of those who returned temporarily in 2008 has doubled (from 4.9% to 9.1%) and 8% declared that they had returned “for good”. What is particularly interesting is that the main reason mentioned for returning is family, with job-loss and lack of financially interesting opportunities only as secondary reasons.

The study was funded by the European Union through a joint IOM/ILO project "Beyond Poverty Alleviation: Developing a Legal, Regulatory and Institutional Framework for Leveraging Migrant Remittances for Entrepreneurial Growth in Moldova". The main objective of the project is the efficient leveraging of migration and remittance based gains. The effort is part of the Government’s strategy to create effective mechanisms for regulating migration and developing incentives for attracting remittances towards investments in Moldova.

The Socio-Economic Impact of the Economic Crisis on Migration.pdf