Guatemala: Remittances rebound in July
August 5, 2013
In July, remittances from workers abroad rose 5.6% over the same month last year, reaching USD 446 million. The figure contrasted the 3.6% drop recorded in June, which had marked the first contraction since July 2011.
In the 12 months up to July, remittances amounted to USD 4.9 billion, matching the result from the previous month. The print represents a 6.2% expansion over the corresponding period last year (June: +7.4% year-on-year) and marks the slowest increase in 13 months.
Remittances account for nearly 10% of the country's GDP and are an important source of income for many Guatemalan families. Given their significance to the economy, remittances are one of the key drivers of private consumption in the country.
FocusEconomics Consensus Forecast participants see total consumption expanding 3.5% this year, which is unchanged from last month's estimate. For 2014, panellists expect total consumption to rise 3.9%.