Migrant workers sent at least €44 million in remittances to families in their home countries last year, according to new research.
Research commissioned by the National Economic and Social Council (NESC) suggests that overseas professionals working in Ireland sent back an average of €1,785 per person in 2005.
The overall total of €44 million is the equivalent of 12 per cent of Ireland's overseas development aid. However, just a portion of remittances were sent to developing countries as most migrants were from Europe.
However, researchers at Ralaheen - the company that undertook the study - say the €44 million figure is a conservative one and the real figure could be much higher. The majority of remittances sent home were from full-time manual workers (€22 million), followed by salaried professionals (€12 million) and part-time student workers (€10 million).
The study also shows that money transfer costs are significant - 5 per cent to 10 per cent of the total - even for relatively modest sums of money. For example, a survey last year found it cost €10-€31.50 to send €200 to the Philippines.
The most expensive operator among four companies surveyed for this transaction was Permanent TSB (€31.50), while the cheapest was Western Union (€10).
The report says these costs are significant for migrant workers who regularly send money home.
"The loss of even €100 a year is equivalent to the school fees for a child, or food for a large family for a few weeks. It is not surprising, therefore, to learn that migrant workers explore and use a number of methods for transmitting money home to avoid transaction costs," the report says.
It recommends that the State's financial regulator ensure migrants do not face insurmountable or disproportionately burdensome obstacles to sending money home or opening bank accounts.
