Which remittance corridors rely heavily on hawala networks?

Asked Mar 8, 2019· 1 answer
Faisal KhanAnswered Mar 8, 2019

In all the developed-to-developing countries route. So all your Top 25–30 countries that receive remittances, also have very well established hawala/hundi routes.

This is a natural by-product. It exists because invariably, there will be a grey channel demand.

But they also exist for a reason most people tend to forget. Capital outflow restrictions in the receiving countries. With the air of hawala networks, people within a developing country can easily contact ground agents in their country to send payments to people or businesses in the US (for example).

Related in Hawala, Informal Value Transfer and Shadow Finance