On a global scale, remittance flows will grow by 4.2% in this year 2022, according to a new report from the World Bank, which reports that Latin America reached the highest growth in 2021 compared to 2020.
Shipments to the Dominican Republic, along with other countries, grew by more than double digits, with 26%.
The study “Reviews on Migration and Development” indicates that remittance flows will reach US$630 billion this year, without Ukraine and with a significant drop in Russia. It stands out that in 2021 there was a record 8.6% growth in shipments. Latin America grew 25.3% in 2021, with shipments of more than US$131 billion.
The World Bank report attributes the growth in remittances to “the strong recovery in employment of foreign workers in the United States.” Among the Latin American countries with double-digit growth rates, he cites Guatemala (35%), Ecuador (31%), Honduras (29%), Mexico (25%), El Salvador (26%), the Dominican Republic (26% ), Colombia (24%), Haiti (21%) and Nicaragua (16%).
Recorded flows to Mexico include funds received by migrants in transit from Honduras, El Salvador, Guatemala, Haiti, Venezuela, Cuba, and other countries. Remittances are important sources of foreign exchange for many countries.