This paper examines how macroeconomic instability impacts remittance inflows to Egypt over the period (1980-2021). The study constructed a comprehensive macroeconomic instability index using principal component analysis (PCA). An autoregressive distributed lag (ARDL) bounds testing approach is employed to estimate the impact of macroeconomic instability on remittance inflows. The results revealed that macroeconomic instability has a positive and statistically significant impact on remittance inflows to Egypt. Furthermore, remittances respond negatively to real GDP per capita in the home country, and positively to international oil prices and exchange rate. These results are consistent with dominance of the altruistic motive of remittances and provide evidence on their countercyclicality. The results reveal the compensatory reaction of remittances to the negative consequences of macroeconomic instability during the periods of economic hardship and their role in absorbing macroeconomic shocks. Although macroeconomic instability induces altruistically motivated remittances, government policies are required to mobilize remittance savings, attract investment-induced remittances, and direct them towards domestic productive investments.