Abstract

International migration is an integral part of the lives of many people in the South, and many households add remittances to their income in order to finance the daily costs of living that cannot be met by their traditional source of income. In the literature, a debate has emerged on the impacts of these remittances on development, focusing in particular on the micro level, namely the impact on households. Many studies also contend that national governments should try to redirect the impacts of remittances. However, the role of actors in local governance structures seems to be overlooked in this discussion. We argue that in the discussion on managing development through remittances, local governments and other stakeholders at the local level — such as NGOs — might also play a role, especially in those countries that have implemented decentralization. However, thus far, interventions aimed at leveraging remittance flows and facilitating migration processes are only in an initial phase. Our study of 12 municipalities in Bolivia shows that a lack of knowledge and capacities among local governments and NGOs is a decisive factor.

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