cover image: Migration and Remittances : The Impacts of a Government Intermediated International Migration Program


Migration and Remittances : The Impacts of a Government Intermediated International Migration Program

1 Jan 2019

This report evaluates the impacts of a government intermediated temporary international migration program on the migrants and their families. In 2012, governments of Malaysia and Bangladesh initiated a government intermediated worker recruitment scheme for Bangladeshi men to migrate for work in the palm-oil sector of Malaysia. To fairly allocate limited recruitment spots to an overwhelming number of interested applicants, the government of Bangladesh conducted a lottery in early 2013. This report exploits the lottery design to evaluate the impacts of temporary international migration for low-skilled work. Migration drastically improves the welfare of the migrants and their families in Bangladesh. Migration more than triples the migrant’s income which consequently doubles total household income through increased remittances. Higher household income is translated to higher consumption, lower poverty (at higher thresholds), and better living conditions for the household members. Migration also improves household debt position and increases financial security. Migration of male members significantly increases the role of women in the household through greater involvement in household decision-making. Further descriptive analysis shows that, relative to privately intermediated migration, government intermediated migration lowered the cost of migration and provided opportunities to those without social network connections abroad. Migrants under the government intermediation were also more likely to have taken necessary permits, insurances, as well as language and skills training prior to departure. In addition to the higher incomes abroad, these features of government intermediation also contributed to the high returns from migration. These findings have policy implications to improve access to and returns from temporary international migration.
children and youth gross domestic product household composition purchasing power parity social network working-age population country of birth real estate development privileges and immunity number of jobs phone number jobs and poverty consumption per capita reduction in poverty supply of worker access to labor market remittance income recruitment agencies access to fund government involvement average interest rate source of employment entrepreneurial activity destination country global knowledge base foreign labor markets migration and remittances technical training center impact of migration temporary labor migration family back home high costs of migration cost of migration flow of worker international migrant worker worker recruitment supervision and guidance demand for low-skilled workers migration of worker migration for work international labor mobility experience of migrants bilateral labor agreements households of migrants demand for migration low-skilled migrant workers


Shrestha,Maheshwor, Mobarak,Ahmed Mushfiq, Sharif,Iffath Anwar

Disclosure Date
Disclosure Status
Doc Name
Migration and Remittances : The Impacts of a Government Intermediated International Migration Program
Originating Unit
Social Protection & Labor EAP (HEASP)
Product Line
Advisory Services & Analytics
Published in
United States of America
Rel Proj ID
BD-Bangladesh: Impact Evaluation Of A G2g Agreement To Facilitate -- P165050
TF No/Name
TF0A5692-RSR12 Bangladesh: Impact evaluation of a G2G agreement to facilitate in
Total Volume(s)
Unit Owning
Social Protection & Labor SAR (HSASP)
Version Type
Volume No


Related Topics