Migrant workers are on the rise
Finance Ministry’s Microeconomic Indicator Dashboard (MIND) for February 2021, shows that active PAYE employees rose from 649,635 in January 2021 to 670,434 in February 2021.
MIND is compiled by Economic Development Policy and Research Department (EDP&RD) in the Ministry of Finance, Planning and Economic Development.
On the other hand, the number of migrant workers rose from 2,334 in January 2021 to 5,256 in February 2021.
“Though still below the pre-lockdown figures of 729,531 employees, the rise in active PAYE employees from 649,635 in January 2021 to 670,434 in February 2021 indicates continued recovery of the labour market from the effects of the COVID-19 pandemic,” the report reads.
It adds: “This trend is mirrored by the number of migrant workers which rose further from 2,334 in January 2021 to 5,256 in February 2021. This follows resumption of the labour externalization program for migrant workers supported by relaxation of COVID-19 lockdown measures across the Middle East.”
However, private remittances (personal transfers) declined by 20.6% in Q1, FY2020/21 compared to Q1, FY2019/2020 (from US$ 350m to 278m) largely on account of the COVID-19 pandemic.
“At a micro level, private remittances contribute to poverty reduction in the recipient household, improve nutritional outcomes, reduce child labor in disadvantaged households and are associated with higher spending on education,” the report reads, adding: “A fall in remittances affects the ability of families to spend on these areas, as more resources will be directed to address food shortages and immediate livelihoods needs.”