Guatemala: Remittances growth falls in June after May's record-breaking inflow
July 7, 2016
In June, remittances from workers abroad rose 14.6% over the same month last year, reaching USD 614.6 million. The overall dollar amount was slightly less than the USD 625.3 million recorded in May, which marked a record high. June’s growth figure, which was down from May’s 20.5% increase, marked the eight consecutive month of double-digit growth.
In the 12 months up to June, remittances amounted to an all-time high of USD 6.8 billion, up from USD 6.7 billion in May. June’s cumulative reading represented a 17.3% increase over the same period of last year and an acceleration from May’s 17.0% increase.
Remittances account for nearly 10% 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.
Author: Robert Hill, Economist