Mexico | Remittances: second fall of the year, despite the effect of Mother's Day

Summary

In the last 5 years, the effect of “Mother's Day” drove the arrival of 6.5% more remittances in the month of May, compared to the trend marked by the adjacent months of April and June. In 2024, this translates into an amount close to 364 million more dollars in remittances.

Key points

• Key points:
• In the last 5 years, the effect of “Mother's Day” drove the arrival of 6.5% more remittances in the month of May, compared to the trend marked by the adjacent months of April and June. In 2024, this translates into an amount close to 364 million more dollars in remittances.
• Despite this boost, remittances to Mexico fell 0.9% at an annual rate in May, registering its second contraction of the year, the previous one occurring in March when it dropped 3.4%.
• The World Bank estimates that remittances in the world will grow 3.0% or more in 2024 and 2025, but will slow down to Latin America and the Caribbean, increasing 2.7% in 2024 and 1.6% in 2025.
• 6 countries in Latin America and the Caribbean have very high levels of dependence on remittances, measured as a percentage of their GDP: Nicaragua (26.8%), Honduras (25.7%), El Salvador (24.1%), Haiti (19.7%), Guatemala (19.6%) and Jamaica (18.9%).

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