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Help sought for Indians in Gulf hit by global meltdown

A Gulf-based Indian charitable body has appealed to Prime Minister Manmohan Singh to dispense financial assistance to Indian workers in that region returning home after the global economic meltdown

Updated on: Mar 02, 2009 06:46 PM IST
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A Gulf-based Indian charitable body has appealed to Prime Minister Manmohan Singh to dispense financial assistance to Indian workers in that region returning home after the global economic meltdown.

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The Pravasi Bharatiya Welfare Trust, a United Arab Emirates (UAE)-based charitable organisation working for the welfare of expatriate Indians, in its letter, appealed to the Prime Minister to ensure that an immediate assistance of Rs.100,000 each is provided to deserving workers who had to return after losing their jobs in the Gulf and admission granted to the children of such workers in Indian schools.

"The Ministry of Overseas Indian Affairs is expecting an exodus of 500,000 Indian workers from various countries as a result of world economic recession," KV Shamsudheen, the trust chairman, wrote in his letter.

"Based on this, the Ministry of Overseas Indian Affairs proposed a package of Rs.114 crore (Rs.1.4 billion) to (the) Finance Ministry which was rejected by the Finance Ministry. On behalf (of) non-resident Indians we strongly condemn the decision of the Finance Ministry."

A large number of Indians are among the thousands of expatriate workers in the Gulf who are reportedly leaving the region in the wake of the global economic meltdown, which cost them their jobs.

According to media reports and surveys, the once-booming construction sector in the Gulf is among those affected by the global crisis. A vast majority of expatriate Indians work in the construction sector in the region as contract labour.

"Most of the people returning from Middle East are unskilled workers, semi skilled and semi skilled workers with low wages. They are getting termination notice before they settle down. Majority had huge loan commitment at home and abroad," Shamsudheen wrote in the letter.

The letter, citing World Bank figures released in March last year, pointed out that Indian workers abroad sent home $27 billion in 2007 to make India the top receiver of migrant remittances.

"Thanks to Indian rupee exchange advantage in 2008 it went up to $32 billion. (The) Main source of this remittance is the lower and middle-income Indian workers in the Middle East with its estimated five million NRI workers," it stated.

"The NRI remittances are over three times the foreign direct investment (FDI) to India. We believe the Indian government must look after NRIs more than foreign investors," it added.

 
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