Impact of Foreign Remittance on Households Economy (A Case Study of Mijure Danda V.D.C., Kaski)

Abstract

The thesis entitled “Impact of Foreign Remittance on Households Economy”: A case study of Mijuredanda VDC of Kaski District has been carried out for the partial fulfillment of Master Degree of Arts in Economics. The major objectives of this study were; to study the economic condition, to find the economic change, to identify the uses of remittance of foreign remittance receiving households and to find the problem related with the foreign remittance. This is micro level study based on primary data. It is analytical as well as descriptive type of study. Data were collected from primary sources through questionnaire method. Altogether 136 households from 9 wards who have received foreign remittance were selected as sample households. The sampling process was stratified and purposive. The collected data have been described and analyzed by using simple statistical tools, graphs and charts. There were different caste Bramin, Chhetri, Thakuri, Gurung, Tamang, Kami Damai and Sarki. Out of the total sample population, 47.13% of sample population were male and 52.87% were female. Looking at the educational status of sample households, 11.78% sample population were illiterate and rest of them were literate and they received the opportunity of higher education. Maximum number of households had 4-6 members in their families. More than fifty percent households had made their houses with mud, stones and Jasta pata (zink plates) where as others had been made with stones, cement and jasta pata for roof and few houses were made with mud, stone and khar, and cemented (concrete). There were various types of land structure and 89 households have various types of land that is khet, bari, ghaderi, pakho, etc. The main occupation of the study area was agriculture however other occupational people were also involved in agricultural work. The major destinations in foreign countries for the Nepali workers were Malaysia, Qatar and Saudi. Similarly, the average remitted money per household was Rs.33897.05 per month. The main source of households income in the study area was foreign remittance though their main occupation was agriculture, job, pension, business, etc. It was found that remittance played vital and positive impact on households’ economy. The economic condition of remittance receiving households was increased after getting foreign remittance than before getting remittance. Furthermore their status of housing, earning, spending, cash in hand health facilities and education of children also increased. Similarly, 47.72% of households invested their remitted money in productive sector and 52.18% households were in non-productive sector. This shows that more than fifty percent of households invested in non- productive sector. Also it is found that there were several problems related to their income foreign migrants like; cheated by Nepali manpower, involved in dirty, danger and difficult work, leave problem, etc. Finally, this study shows that foreign remittance played a vital role to improve household economy of Mijuredanda VDC of Kaski District.