Question

What are remittances, and why are they important to Mexico’s economy?

Answer 1

Remittances are funds transferred from migrants to their home country. They are the private savings of workers and families that are spent in the home country for food, clothing and other expenditures, and which drive the home economy.

Answer 2

It is non commercial transfer of money by a foreign worker. It is important because Most of Mexico's remittances are sent by the millions of Mexicans living in the United States and are a pillar of support for Latin America's second-largest economy, which suffered its steepest contraction