New analysis examines how economic pressures in GCC countries could affect migrant workers, remittance-dependent households and women across the Arab region
Cairo/Beirut, 16 September 2026--UN Women and the United Nations Economic and Social Commission for Western Asia (ESCWA) have called for coordinated action to protect migrant workers and families relying on remittances. In a new joint policy brief, A Shock That Travels: Remittance Under Pressure in the Arab Region - Ripple Effects of the 2026 Middle East Crisis on the GCC Economies, Migrant Workes, Household Welfare and Gender Equality, they warn of the potential consequences the current conflict in the region can have on migrant employment and remittance flows.
Remittance already play an important role in household welfare. In Yemen, approximately 75 per cent of remittance income is used for food, rent, healthcare and basic education. In Lebanon, 55 per cent of surveyed recipients reported using remittance primarily for basic living expenses, with education and healthcare also among the main uses.
GCC countries collectively host an estimated 28 million employed foreign workers from the Arab region and beyond. Migrant workers are highly represented in sectors exposed to economic disruption, including construction, trade, transport, manufacturing, hospitality, and domestic work. The analysis finds that women and men face different forms of exposure: men are concentrated in sectors such as construction and trade, while women migrant workers are disproportionately represented in domestic and care-related work, where employment risks may be compounded by employer-tied legal status and gaps in labour protection.
"Remittances are much more than financial transfers. For many families across the Arab region, they help pay for food, healthcare, education and other essential needs. Understanding how economic shocks affect women at both ends of the remittance chain is critical to ensuring that responses protect their income security, rights and resilience," said Dr. Moez Doraid, UN Women Regional Director for the Arab States.
Early data does not yet show a decline in remittances. At the onset of the crisis in March, outbound remittances from Saudi Arabia increased by 35 per cent compared with February, while Jordan recorded a 34 per cent increase in remittance inflows, including a 52 per cent increase in flows from Qatar. Egypt recorded average monthly remittance inflows of USD 4.3 billion during the first four months of 2026. The brief cautions, however, that these increases may partially reflect precautionary transfers or shifts from informal to formal channels.
The brief recommends adopting measures to further protect migrant workers, maintain payment-system continuity and strengthen preparedness for households that could face income disruption if economic conditions worsen.
"Women are central to the welfare of households, they manage budgets, they send remittances home, and when they can access resources, families are healthier and children stay in school," said Mehrinaz El Awady, Leader of the Gender Justice, Population and Inclusive Development Cluster at ESCWA. "Ensuring that women have access to finance is an opportunity that should be prioritized."
The analysis shows that the effects of any sustained reduction in remittances would not be gender-neutral. Women migrant workers, particularly those in domestic work, may face specific employment, wage and legal vulnerabilities. In countries of origin, women frequently manage remittance-supported household budgets and carry significant caregiving responsibilities. A reduction in household income could increase unpaid care work and economic insecurity and constrain access to essential services. Gender gaps in access to bank accounts and digital financial services can further limit women's ability to receive and control remittance income.
The policy brief recommends coordinated action across both destination and origin countries. In labour market countries, measures include protecting migrant workers' legal status and income, strengthening wage safeguards, and ensuring access to effective grievance mechanisms. In countries of origin, the brief recommends strengthening shock-responsive social protection, supporting returning migrants where needed, and expanding women's access to safe and affordable remittance services. It also calls for improved monitoring and more timely data on remittance flows to identify emerging risks.
About UN Women:
UN Women advances women's rights, the empowerment of all women and girls and equality between women and men.
As the lead UN entity on women's empowerment, we support advancement of laws, institutions, social behaviours and services to close the gap between women and men and build an equal world for all. We keep the rights of women and girls at the centre of global progress - always, everywhere. Women's empowerment is not just what we do. It is who we are.
About ESCWA:
One of five United Nations regional commissions, ESCWA supports inclusive and sustainable economic and social development in Arab States, and works on enhancing regional integration.
