Report on National Survey of Remittance Patterns of Indonesian Migrant Workers 2008 - Bank Sentral Republik Indonesia
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January 27, 2020
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Remittance inflows from Indonesian migrant workers’ ("IMWs") is one item in the Indonesia’s Balance of Payments (BOP) statistics classified on the sub component of current transfer, under Current Account. To estimate the value of workers’ remittance (WR) in BOP statistics, Bank Indonesia (BI) applied simple approach by muliplying two major variables, namely the percentage of IMWs wages sent home regularly to their family and the prevailing of IMWs stock.

The monthly IMWs stock data were provided by the Ministry of Manpower and Transmigration (Depnakertrans), specifically by the National Agency for the Placement and Protection of Indonesian Migrant workers’ (BNP2TKI). Meanwhile, data on the percentage of workers’ wages remitted into the home country were obtained from previous Bank Indonesia’s regular survey, called as workers’ Remittances Survey. In order to ensure that the information is continuously updated, the WR survey is conducted for every two years.

The 2008 WR’s survey was conducted in some selected provinces, representing IMWs pockets or province of origin and involving a number of regional BI offices (KBIs) namely KBI Bandung, KBI Cirebon, KBI Semarang, KBI Purwokerto, KBI Surabaya, KBI Kediri, KBI Malang, KBI Mataram, KBI Kupang, KBI Samarinda, and KBI Pekanbaru. In addition to improve the quality of IMWs statistics, the survey is also expected to:

  1. Gain a full picture of the IMWs process from recruitment in the province of origin all the way to the placement abroad, and investigating the impacts of WR on socio-economic conditions in the region of origin such as household consumption, investments, education, health, including its spillovers on the business of remittance services provider, i.e. banks, post offices, Money Gram, Western Union, etc.

  2. Provide relevant information for Bank Indonesia, government and other related institutions for formulating policies related to administering IMWs and their remittances.

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