How migrant remittances respond to homeland crises: the case of Cabo Verde and its emigrants

Many countries rely on the cash and non-cash remittances their migrants abroad send back. But do migrants increase or decrease these remittances in times of socioeconomic crises back home? This study examines the remittance behaviour of Cabo Verdean migrants in response to economic shocks and natural disasters back in their homeland. With one of the highest migration rates in the world, Cabo Verde’s migrants, and the money and goods they send back, have been vital in the past. Facing socioeconomic distress from the 2020 global COVID-19 pandemic, how migrants behave in times of crisis is a critical and urgent question. The study finds that Cabo Verde’s migrants increase their remittances during every major episode of economic crisis, including the COVID-19 global pandemic. The increases are substantial compared to remittance patterns before and after the crisis. The analysis, however, also points to the changing nature of migrant ties to the homeland.