Migration, remittances, poverty and human capital in Cameroon

Belmondo Tanankem Voufo, Ministry of Economy, Planning and Regional Development, Cameroon
Théophile Armand Fopa Diesse, Institut de Formation et de Recherche Démographiques (IFORD)

This study analyzes the impact of international remittances on poverty and human capital in Cameroon using data from the survey on the impact of migration on development conducted in 2012 by the Institute of Training and Demographic Research. The study reports to propensity score matching to compare the observed expenditures on education and health, and consumption expenditures, among recipient households with the expenditures that would have prevailed in a hypothetical scenario with no remittances. The probability of receiving remittances is estimated (using a probit model) as a function of individual and households characteristics. The analysis reveals that remittances reduce poverty and influence significantly human capital in Cameroon as measured using education and health expenditures. Study suggest to put in place policies aiming to create economic opportunities that motivate households with migrants to develop entrepreneurship in order to reallocate remittances flows more towards productive circuits.