This is with reference to the letter by Habib Shaikh (Aug. 26). He has rightly argued that the debate or the excessive coverage with regard to the remittances by expatriates is unwarranted and the different figures that keep appearing in various reports every now and then seem mostly exaggerated.
The latest report released by the World Bank stated that expatriates working in the Kingdom in 2010 remitted around $28.5 billion. During that year, the expatriate population in Saudi Arabia was around seven million. A simple calculation reveals that it comes to a meager sum of $400 per expatriate a year, which means on the average a paltry remittance of less than $ 40 per month.
This also reflects a very low average remuneration being drawn by the expatriates in general. Although, the figure of remittances has increased over $37 billion in 2012, the amount transferred per person must not have crossed $500 per annum. In terms of the GDP percentage, the total remittances by expatriates comes to around 4 percent, which is very small bearing in mind the large number of expatriates present in the Kingdom.
Given this situation, all of the suggestions by the so-called experts and economists to put a cap or restriction on the remittances by the expatriates seem totally unjustified and unnecessary. The above figures should also put an end to the campaigns waged by certain sections to stoke a feeling of anger against the expatriates.
Many a times, the reports and studies just throw huge cumulative figures of remittances of several years to create panic or fears in the minds of the general public. — Safi H. Jannaty, Dammam
Remittances: Do the math!
