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Remittances to Mexico Increase 14.62% from Jan-Oct 2022

Mexico City – Mexico posted record remittances in October, as workers living abroad continued sending cash back home. In October 2022, remittances totaled $5.35 billion USD – 11.25% more than the $4.81 billion USD registered in the same month of 2021.

During the period from January to October 2022, Mexican families received a record high of US $48.3 billion from abroad. The number represents an increase of 14.6% over the same period last year, data from the Mexican central bank showed on December 1.

The total number of operations rose from 112.3 million to 124 million in the first 10 months of the year, and the majority were electronic transfers. In addition, the average individual remittance rose to 390 dollars, 3.82% higher than the average of 375 dollars in the same period of 2021.

The figure also marks 30 months of sustained increase with highs recorded in May ($5.142 billion), June ($5.144 billion) and July ($5.3 billion).

Remittances, mainly from Mexican migrants in the United States, represent the country鈥檚 second-largest source of foreign revenue after automotive exports. It also accounts for more than the Mexican agricultural sector, which contributes 3% to the gross domestic product.

At a time when President L贸pez Obrador is struggling to grow the economy, data from the Center for Latin American Monetary Studies (CEMLA) shows that nearly 4.9 million Mexican families and some 11.1 million adults receive remittances from their relatives abroad.

L贸pez Obrador has often boasted about the strong growth in remittances sent to Mexico and has called all 38 million Mexicans in the U.S. 鈥渓iving heroes鈥 for the money they send back home. Before year-end, the President forecasts remittances to reach US $60 billion and has expressed trust that remittances will help lift the country鈥檚 economy, which registered a contraction of 8.2% in 2020 and a recovery of 4.8% in 2021.

Sources: ForbesSwiss Info

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