ABSTRACT
Remittances have become increasingly important to several small island developing states of the Caribbean, and the adverse impact of the global economic crisis on remittances is a critical issue for the region, given their significant contribution to the development of several economies in the area. Traditionally, remittances have had a tendency to increase after financial crises or natural disasters as migrants send more money home to assist their families. However, this crisis is different as, in the wake of the global economic crisis, for the first time since the 1980s remittance inflows to developing countries have fallen, by 6 per cent from 2008 to 2009.
