Remittances 2008: Remittances in Times of Financial Instability

Mar 2009
This paper presents the reality of remittances in Latin America and the Caribbean, to be influenced by four points in the first quarter of 2008, such as:: the economic slowdown in the United States, sharp spikes in food and fuel prices, a harsher climate against immigration, and a weakening U.S. dollar. The IDB advises governments in the region on how to cushion the impact of the financial crisis on families receiving remittances. In addition, working with public and private sectors to create conditions conducive to remittance flows have a greater development impact. The economic crisis has affected migrant workers, but has not changed its decision to seek better opportunities outside their country of origin, or their commitment to send money home. When global economic conditions improve, it will resume migration and remittances.