The overall process of sending money internationally has changed considerably in the past few decades. Gone are the days when people use to visit the specific branches or banks for sending the desired amount to their friends or relatives abroad. Now is the time of digitization. With almost everything done on the Internet, even money transfers are made hassle-free with the help of online money transfers.
In the international money transfer industry, there are basically two types of corridors:
- Currency Corridors: These corridors imply the combination of two currencies in a certain way.
- Country Corridors: These imply the combination of two countries.
The number of currency corridors tends to be usually fewer as there are several countries which make use of the same currency.
In India, at present, the India Post is considered to be the world’s largest postal network and a great remittance corridor worldwide.
Importance of Money Remittance Corridors
The remittance corridors serve as fundamental methods of reducing poverty in any nation. The remittance corridors are referred to as transfers of the private sectors that directly go the poorer section of any country as well as to economically secluded sections of the greater population. With no involvement of the government, these allow the direct flow of funds to those who need them the most.
The remittance market or corridors in India are managed by the non-bank MTOs, commercial banks, cooperative banks, foreign exchange bureaus, India Post, and so more. Banks usually have the largest share of the remittance corridors in India.
Top Remittance Corridors 2017
India-USA: The India-USA is one of the largest remittance corridors with an approximate annual remittance flow of about $62 billion every year. This includes the NRO & NRE account inflows. One can transfer money to and from India to the United States with much ease on an instant basis. Various leading nationalized banks and money transfer agencies like https://www.instarem.com/ provide easy-to-use and instant remittance processing platforms.
- India-China: In addition to the West, India has also served as the largest remittance corridor in the world with respect to sending money to and receiving money from China. With an estimated remittance value of around $61 billion, India-China remittance corridor is expected to flourish in the coming times owing to predictive business ventures between the two nations.
- India-Pakistan: It is quite surprising, but the recent years have observed a boom in the remittance values between India and Pakistan. With an estimate of around $20 billion per year, the remittance corridor of India-Pakistan is experiencing a hike. This makes Pakistan another leading remittance corridor to India in the recent times.
- India-Philippines: This is another lucrative money remittance corridor to India in terms of the fund flow. On an average, around $30 billion of remittance money value has been remitted to India from Philippines in the past few years. This amount keeps rising due to the increase in immigration and income generation in Philippines. Thus, the residents of India in Philippines have been sending greater amounts each year.
- India-Russia: After Philippines, the remittance corridor between India and Russia is also flourishing. With more Indian population shifting to Russia for higher education and job purposes, the approximate remittance value of $33 billion is expected to rise in the coming years.
The remittance of money overseas has risen to a billion-dollar industry as a bunch of money transfer companies and services have emerged to set themselves as the potential leaders of the pack with respect to sending money overseas with much ease. Avail the ease of services of these money remittance corridors in India.