IOM Indonesia is working to promote links between migration and
development with banks, remittance service providers and key
government agencies through an IOM study of the Malaysia –
Indonesia remittance corridor.

At a Roundtable funded by the European Commission's AENEAS
programme in Jakarta last week, IOM and remittance service
providers discussed market profiles and remittance behaviours of
Indonesian migrants with a view to bridging the information gap and
promoting healthy competition and product development among service
providers.

Remittances can play a vital role in economic development. In
2008 alone, Indonesian labour migrants sent home USD 6.6 billion to
their families.

The IOM study, which was carried out in collaboration with the
Economic Resource Centre for Overseas Filipinos (ERCOF), showed
that that most migrants consider safety as the most important
factor when deciding how to remit funds (34 per cent). Speed was
next (28 per cent), followed by ease of procedure (22 per cent)
Remittance fees only came in fourth place (18 per cent).

Other findings showed that most labour migrants often use
informal modes of remittance transfer.  Some 34 per cent of
migrants used foreign exchange houses, but 21 per cent said that
they themselves, family members or friends carried their
remittances by hand. Most of the migrants using exchange houses
were technical or service workers, or professionals.

The study was part of an IOM project: Understanding the
Remittance Behavior of Indonesians Migrants for Enhanced Remittance
Services.

For further information, please contact:

Cecilia Cantos

IOM Jakarta

Tel: +62-21-5795 1275 (ext. 245)

E-mail: "mailto:ccantos@iom.int">ccantos@iom.int

or

Aiko Kikkawa

IOM Manila

Tel: +632 848 1260 (ext. 152)

E-mail: "mailto:akikkawa@iom.int">akikkawa@iom.int