GCC worker remittances dip to $131.5bn in 2023, shows latest GCC-Stat data
According to the latest GCC-Stat data, the total labour force in GCC countries reached 31.8 million, representing 54.2 per cent of the total population
Worker remittances from Gulf Cooperation Council (GCC) countries totalled $131.5bn in 2023, marking a slight decline of 0.4 per cent from the previous year, according to recent data released by the GCC Statistical Centre (GCC-Stat).
Despite the marginal dip of approximately $500m compared to 2022, the GCC remains the largest source of worker remittances globally, followed by the US.
The slowdown follows consecutive years of growth, with remittance inflows rising by 9.2 per centin 2021 and 3.8 per cent in 2022.
Remittances’ share in GCC GDP dropping in recent years, shows data
The data also showed that remittances as a share of the GCC’s gross domestic product (GDP) at current prices have declined in recent years, falling from 8.1 per ent in 2020 to 6 per cent in 2022.
However, the trend reversed slightly in 2023, with remittances accounting for 6.2 per cent of GDP.
Remittances from the GCC are a vital source of income for many developing economies, particularly in South Asia and the Philippines, where millions of expatriates are employed across key sectors such as construction, retail, and domestic services.
GCC labour force and workforce policies
In other news, data issued by GCC-Stat revealed that the total labour force in GCC countries reached 31.8 million, representing 54.2 per cent of the total population.
Male workers accounted for 78.7 per cent, while females made up 17.6 per cent.
The number of working citizens in the GCC stood at 5.6 million, constituting 23.4 per cent of the total labour force, with 60 per cent males and 40 per cent females.
GCC-Stat’s data also showed a 600,000 increase in the number of working women in the region since 2011.
The data indicated that the government sector is still the largest employer of Gulf workers, with a wide scope for localisation in the private sector.
The percentage of employed citizens working in the public sector reached 83.5 percent compared to 14.2 percent in the private sector.
Statistics also revealed that GCC countries’ citizens work mainly in the services sector, particularly in public administration activities.
GCC countries have introduced policies to localise the workforce, such as the GCC Common Market and the Comprehensive Development Strategy, which aim to address imbalances in population structure, workforce distribution, and industrial development.
These policies aim to increase the national workforce’s contribution to the industrial sector.
Additionally, the population strategy seeks to enhance the role of women in development, balance population and workforce structures, and improve national workforce training programmes.
All GCC countries give priority to young workers, promote economic diversification efforts and move towards creating green and environmentally friendly jobs.
