WT/GC/W/926  
S/C/W/466  
S/FIN/W/100  
 
8 March 2024  
(24-2168) Page: 1/2 
General Council  
Council for Trade in Services  
Committee on Trade in Financial Services  Original: English  
 
REDUCING COST OF REMITTANCES  
 
COMMUNICATION FROM INDIA  
The following communication*, dated 8 March 2024, is being circulated at the request of the 
delegation of India.  
 
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1. We recognize  the significant positive contribution of cross -border remittances towards 
socio-economic development of households and communities especially in developing countries 
including LDCs and acknowledge that out of total remittances of USD 860 billion in 2023, 
USD 669 billion (about 78% ) went to Low and Middle Income Countries (LMIC).1 
2. We understand that cross border payments and money transmission service is a critical 
financial service used by the sender and receivers for cross -border remittances, thus providing a 
point of contact with the financial sector that can be leveraged to increase access to other financial 
services, achieve financial inclusion and enhance participation in financial services trade.  
3. In view of the close relationship between such services and sustainable development, we 
underline the need to reduce the cost of cross -border remittances. We reaffirm our commitment to 
the UN SDG Goal 10.c to reduce to less than 3 per cent the transaction costs of remittances and 
eliminate remittance corridors with  costs higher than 5 per cent by 2030 with a view to achieve the 
primary goal target, that is, 'Reduce inequality within and among countries' which is aligned to the 
WTO's development agenda.  
4. We highlight that the global average cost for sending remitta nces, though has declined over 
time, remains high at 6.18 per cent —more than twice the SDG target, and the experience varies 
across countries and regions.  
5. We recognize that one of the main factors explaining the growth and demand for cross border 
paymen t services is the expansion in international remittances and underline the need to promote 
and facilitate trade in these services.  
6. We highlight that one of the means to achieve cheaper, faster, and more transparent and 
accessible cross -border payments i ncluding remittances is promoting interoperability and 
interlinkages of digital payment infrastructures including fast payment systems. The global average 
cost for digital remittances at 4.84 per cent is significantly lower than the cost for non -digital 
remittances.2 
7. We acknowledge the important work being undertaken by the international organizations in 
reducing the cost of remittances.  
 
* This document is a slightly modified version of the draft Ministerial Declaration on Facilitating Cross 
Border Remittances circulated in document WT/MIN(24)/W/4/Rev.1  – WT/GC/W/924/Rev.1 dated 
27 February  2024. 
1 https://www.knomad.org/publication/migration -and-development -brief-39 
2 Remittance Prices Worldwide – Issue no. 47, September, 2023.  
 WT/GC/W/926 • S/C/W/466 • S/F IN/W/100  
 
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  8. We welcome the decision of the Committee on Trade in Financial Services to hold a Thematic 
Session on 'Cost of Rem ittances' in March 2024.  
9. In view of the above, the General Council calls upon  the Council for Trade in Services and 
Committee on Trade in Financial Services to undertake a Work Programme consisting of efforts to:  
● Understand the development impact of cro ss-border remittances  
● Review the cost of cross -border remittances, trends and developments  
● Consider how technology, emergence of new market players, different types of providers 
and new channels, and consumer behaviour are impacting the cross -border remitt ance 
services  
● Examine the drivers of cost of cross -border remittances and challenges associated with 
reducing it  
● Identify the opportunities created for lowering the cost of cross -border remittances including 
on account of digitalization, and emergence of n ew technologies  
● Explore ways to address the challenges and utilize the opportunities related to lowering the 
cost of remittance services  
 
10. We also call upon the Committee on Trade in Financial Services to maintain a standing agenda 
item in its meeting,  and hold dedicated sessions, to implement the work program with a view to 
recommend steps that could be taken towards reducing the cost of remittances to the Council for 
Trade in Services .  
11.  We further call upon t he Council for Trade in Services to report this work  and recommendations 
of the Committee on Trade in Financial Services , review the outcomes of the work program and 
report on key findings, actions undertaken and recommendations to the General Council . 
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