Remittances: 10% of workers’ wages

Nearly 1.7 million Mexican homes receive remittances, which constitute around 10% of wages from the migrant workforce, according to Genoveva Roldán , from the Institute of Economic Investigation (IIEc) .

As part of the International Family Remittances Day , which will be commemorated on 16 June , the specialist stated that 90% of workers’ wages stay in the receiving nation (where workers live).

She stressed the importance of that fact since it indicates that most of the salary is used to cover the cost of living , which is usually twice as high than in the workers’ own countries. These resources constitute an important boost for the source country’s internal market.

She explained that the remittances sent, which depend on the labor markets at the destination territories, follow a cyclic behavior. “There was a 2.7% decrease in 2015 , but remittances started recovering in 2016. According to agencies from the World Bank (WB) , and the International Monetary Fund (IMF) , remittances are expected to reach a total amount of over 630 billion dollars worldwide .

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