Guatemala: Remittances accelerate sharply in September
October 2, 2013
In September, remittances from workers abroad jumped 15.0% over the same month last year, reaching USD 421 million. The figure, which came in well above the 3.4% increase recorded in August, marked the highest reading in eight months.
In the 12 months up to September, remittances amounted to USD 5.0 billion, up from the USD 4.9 billion seen in the previous month. The print represents a 7.0% expansion over the corresponding period of last year (August: +5.8% year-on-year).
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.
FocusEconomics Consensus Forecast participants see total consumption expanding 3.3% this year, which is unchanged from last month's estimate. For 2014, panelists expect total consumption to rise 3.7%, which is down 0.1 percentage points from last month's forecast.