Challenges Faced By Uae's Workers In Sending Money Home

UAE is a dream destination for people from low and middle-income countries to have a better life. According to data from the International Labour Organization UAE has an estimated population of 9.3 million of which 8.7 million are migrant workers. This data based on 2021 estimates signals that most of these migrant workers are temporary contract workers.

The remittances made by these laborers add to the revenue sources of many developing countries. Even though these remittances are significant for their home countries the money their family receives might be just enough for sustenance. Because most of the time they lose money in transaction charges. Hidden charges and unfair exchange rates may trouble them.

It is not easy to choose a money transfer channel that transfers their meager savings with little charges. More often than not working labourers couldn’t research enough to find the best exchange in UAE. The challenges they face are many.

Remittances: Challenges for UAE workers

• High Transaction Costs: Most money exchange in Dubai charge high transaction charges for international transactions. This carves a major share of the money that these workers transfer from the UAE.
• Exchange Rate Fluctuations: Exchange rates are volatile and fluctuate often. Some exchange services may not reflect exactly on the updates in exchange rates. In this way, workers may not benefit from the low ebbs in international exchange rates.
• Limited Access to Banking Services: Language barriers, documentation requirements, and lack of proximity to banks make banks inaccessible for some workers. So even if the banks offer lower exchange rates they can’t leverage that opportunity.
• Remittance Service Options: The narrower the options for money transfer the more vulnerable they are to high transaction charges.
• Lack of Financial Literacy: Workers often find it difficult to understand the terms, fees, and exchange rates offered by remittance services.

Other than these the security concerns on online transactions or remittance services are a deterrent for UAE workers to leverage services offered by the best money exchange in Dubai.

Solutions: Government, Organisations and Remittance Services

• Financial Literacy Programs: Programs that educate these immigrants on remittance procedures, understanding fees, exchange rates, and the use of digital platforms can take them a long way in sending money home. A governmental-level intervention is necessary here. As online programs and seminars are feasible these days even incumbent governments in their home countries can conduct such sessions.
• Enhanced Access to Banking Services: Collaborations with banking services can improve their accessibility to it. Employee associations or civil society organizations can work with the banks towards addressing the concerns of language barriers, proximity to banks, and complexity of documentation.
• The best exchange in UAE: Familiarising workers with the best exchange in UAE can relieve their doubts regarding the credibility of online platforms.

The solutions mentioned above will take their time. However, the workers may not find it feasible to wait. This is why at Global Exchange we offer a reliable, transparent, and quality service with the most favorable money exchange rates. Our many branches around UAE along with online services clear the problem of inaccessibility to money exchange solutions.

The issues pertaining to trust, accessibility, high transaction costs, and better exchange rates can be sorted out if a professional has decided to take the necessary steps. And this is exactly what has been done by Global Exchange in its endeavour to provide quality money transfer services.