Mexico City. The Bank of Mexico (BdeM) revealed, on Monday, that the total family transfers amounted to 23 thousand and 618 million dollars in the first half of this year, the highest amount since 1993 – the year when records begin – for a similar period.
According to central bank information, the inflow of foreign currency that entered the country between January and last June was 22 percent higher, compared to $19,289 million in the same period in 2020.
Referring only to June 2021, remittances amounted to 4 thousand 439 million dollars, an increase of 25 percent compared to 3 thousand and 536 million dollars in the same month last year.
Despite the fact that the flow has been accumulating four consecutive months above the $4 billion mark, the amount in June was 1.65 percent lower compared to 4.514 billion in May, the historical maximum for a month.
Family remittances are resources that Mexican immigrants living in other countries, particularly the United States, send to Mexico. It is estimated that 1.7 million families receive this type of income.
23 thousand and 618 million dollars in transfers in the first quarter, 86 percent more than the 12 thousand and 678 million dollars that the state obtained in the same period for oil exports and 120 percent higher than the 10 thousand 743 million dollars recorded for foreign sales. for agricultural products.
According to BdeM, the cumulative inflow of remittance revenue in the past 12 months (July 2020 – June 2021) was $44.93 billion, which is higher than the cumulative 12-month inflow in May of 44.27 million (June 2020 – May 2021).
According to an analysis by Monex, as in the previous months, the performance of remittances for the month of June was very positive, which was undoubtedly a driving factor for the Mexican economy in the second quarter.
“We maintain our forecast that the year will conclude with $49.6 billion, which means that monthly amounts for the coming months will be above $4 billion, so we believe that this indicator will continue to encourage incremental improvements in the outlook for private consumption,” the financial institution said.
One factor that has contributed to the continued strength of remittances is the employment of Mexicans in the United States, because according to the Forum on Remittances for Latin America and the Caribbean, in June, Mexicans lost their jobs in that country due to the pandemic. .
The regional body stated that “in the two-month period from May to June 2021, the level of employment in the United States for Mexican migrant workers, measured in seasonally adjusted numbers, was already slightly above the level observed in the early months of 2020.”
BBVA’s research highlighted that of the $23,618 million in remittances, 95.2 percent ($22,495 million) were sent from the United States. California, Texas, Minnesota, Arizona, Florida, and Illinois account for two-thirds of these resources.
He pointed out that 7,529 million arrived from California. Of Texas 3.568 million. from Minnesota 1491 million; From Arizona 834 million. From Florida, $799 million, and from Illinois, $701 million.