Migrants send money to Ghana to their families to improve living conditions in some of the world's developing regions, such as South Asia and Sub-Saharan Africa. As foreign workers in western Europe and the United Kingdom are asked to close back on the amounts they send back to families in Ghana, Senegal, Gambia, and other Sub-Saharan African countries, West Africa is projected to be one of the worst-affected areas.
According to the World Bank, studies have shown that money transfers to Ghana and other countries decreased child labour, increased nutrition, were related to higher education spending, and alleviated poverty in these low-and middle-income countries. "Families' capacity to spend on these areas is impacted by a drop in remittances, as more of their finances will be diverted to solving food shortages and immediate livelihoods needs," it said.
Remittances have gradually risen as migration to developing countries has increased, and technology has progressed. Sending money to Ghana online and other nations had more than doubled by the turn of the century, from a meagre US$47 billion in 1980 to US$102 billion in 2000.With the COVID-19 pandemic causing chaos in many nations, the global economic outlook is bleak, with forecasts predicting a drop in remittances. Many of the world's largest money transfers nations, along with the United Kingdom, the United States, France, and Italy, steadily implemented national stay-at-home instructions to control the infection rate within their regions when the COVID-19 outbreak began rapidly spreading in middle 2020. Although these interventions may have slowed the coronavirus's spread by forcing companies to close, they had far-reaching consequences for foreign workers who transfer money to Ghana and home countries by saving salaries to support their families and loved ones in other countries. As a result, according to the World Bank, remittances are expected to drop by 20% by 2020 due to a combination of slowing global economic growth, falling oil prices, and the loss of millions of jobs.