Changes in the Atmosphere?: Increase of Remittances, Price Decline and New Challenges
This paper reports on the continued increase in remittances to Latin America, but also analyzes cost changes and the entry of new players, such as banks, into the Mexican market. The analysis looks at data on prices and exchange rates provided by over 100 money transfer institutions. This report will highlight some of the challenges posed to money senders and immigrant communities. In particular, two important issues emerge: the current effects of the regulations imposed by the U.S. Patriot Act of 2001; and the effect on the Latino community of the entry of banks into the remittance business.