This research study examines the impact of remittances on quality of life. In order to accomplish the objectives, the study uses primary data which are collected from 403 households of District Dir Lower, Pakistan. Results summarized that incoming foreign remittances have a positive effect on education. Foreign remittances improve the household income level, this income is further utilized for different educational expenses. Therefore, remittance recipient families spend more than that of non-receiving families on education. In addition, remittances also increase the probability of children’s enrollment in schools. On the other hand, remittances are positively associated with family health status. The results revealed that 83% of the remittance recipient families have the ability to access basic healthcare needs, whereas 64% of non-receiving households have no access to basic health facilities. Additionally, remittances receiving families mostly prefer a private doctor and private hospitals, whereas non-receiving household usually uses government hospital facilities.

This study analyzes the effects of foreign remittance on human capital by using the pooled data collected from HIES data sets, from 1998/99 to 2018/19. Two proxies (e.g., 1- mean years-of-schooling with age equal to 15 years and above, 2- mean years-of-schooling with age equal to 25 and above) are used for human capital. The panel data techniques, like Fixed effect,Random effect model, GLS regression, and Panel corrected standard error regression, are used. The results show a significant positive relationship between human capital measured in terms of both proxies and foreign remittances in overall Pakistan, but human capital in terms of the first proxy has a statistically significant association with foreign remittances in an urban and rural area, in terms of the second proxy, significant in urban, but not in rural areas. Per-capita-income has statistically significant positive effects on human capital in terms of both proxies in rural areas but does not have a significant effect in urban areas. It is recommended that the Government should formulate policies that can maximize the inflow of foreign remittances in Pakistan.

This study looks into how the devaluation of the Pakistani currency affected remittances (REM) and economic growth (EG) in Pakistan. The study also looks at how REM affects the link between the devaluation of the currency and the growth of the economy in Pakistan Over the course of 45 years, from 1972 to 2016. The study uses Autoregressive Distributive Lag Model (ARDL) for examining the relationship. This study uses sensitivity analysis and chooses among different econometric techniques, which take into account the endogeneity problem. The results show that remittances partially mediate the relationship between the devaluation of currency and economic growth.Moreover, a one unit rise in REM leads to a 0.47 unit decrease in EG.