Caribbean region sees growth in remittances in 2015

A new report by the World Bank reveals that remittances to the Caribbean and Latin America saw the “most rapid” growth rate in remittances in 2015.

According to the financial institution, the 4.8 percent growth in remittances to the region are as a result of recovery in labor markets in the United States. The bank said growth in the Caribbean and Latin America is expected to continue in 2016, albeit at a slower pace.

It added that remittances are expected to reach US$69.3 billion this year, from US$66.7 billion in 2015.

Overall, the World Bank said remittances to developing countries grew only marginally in 2015, as weak oil prices and other factors strained the earnings of international migrants and their ability to send money home to their families.

In the report – “Migration and Development Brief” released Wednesday, the World Bank said officially recorded remittances to developing countries, including the Caribbean, amounted to US$431.6 billion in 2015, an increase of 0.4 percent over US$430 billion in 2014.

However, the growth pace in 2015 was the slowest since the global financial crisis.

The institution says global remittances, which include those to high-income countries, contracted by 1.7 percent to US$581.6 billion in 2015, from US$592 billion in 2014.

Remittances are an important and fairly stable source of income for millions of families and of foreign exchange to many developing countries. -(CMC)