Guatemala: Growth in remittances slows slightly in July
August 7, 2014
In July, remittances from workers abroad rose 14.4% over the same month last year, reaching a record high of USD 510 million. July’s increase came in slightly below the 15.5% rise observed in June.
In the 12 months up to June, remittances amounted to a record high USD 5.4 billion, which was up from the USD 5.3 billion observed in the previous month. July’s result marked a 9.6% increase over the same period last year, which was up from the 8.8% increase observed in June.
Remittances account for nearly 10.0% of the country’s GDP and are an important source of income for Guatemalan households. Given their significance to the economy, remittances are one of the key drivers of private consumption in the country. The Central Bank expects remittances to grow around 7.2% this year.
Author: Dirina Mançellari, Senior Economist