Remittances and Sustainability of Family Livelihoods: Evidence from Zimbabwe

Abstract

Most developing countries are riddled with socio-economic woes that pose a challenge to livelihoods. These challenges negatively affect income levels of individuals and households, limiting their access to economic opportunities. Households often strategise to sustain their livelihoods, and one of such option is migration of a member, domestically or internationally. Migration can be individual or household strategy for survival therefore remittances have a role to play in adjusting the household income. Making use of ordinary least squares estimation techniques, this article examines how families use migration as a survival technique based on survey data from small mining town of Chegutu located in Mashonaland West Province of Zimbabwe. We found out that remittances go a long way in providing income for basic services like municipal services, food, medical expenses. Furthermore, remittances also tend to influence behavioural change among households- making them consume more status oriented goods and services. The findings have implications to how policy makers view migration and development- migration should not be viewed negatively as in the past since it can help meet developmental needs of the receiving community through sustainability of family livelihoods. Policy should rather necessitate frictionless flow of these funds by reducing costs and unnecessary regulatory requirements.