Jamaica recorded a big surge in net remittance inflows, which climbed by US$224.4 million in January 2021 to end the month at US$2.39 billion.

This surge in net remittance inflow represents a US$62.9 million jump relative to January 2020 based on the latest results of Jamaica’s Remittance Bulletin.

The Remittance Bulletin for January 2021, which was published yesterday by the Bank of Jamaica, showed that the hike in net remittance inflow came about because of an increase in gross remittance inflows of 32.7 per cent or US$59.4 million aided by a decline of 17.3 per cent or US$3.5 million in outflows.

The increase in gross remittance inflows stemmed from a 36.8 per cent hike in inflows via remittance companies as well as an increase in other remittances of 5.2 per cent for the month of January.

US$589 million increase in net remittance inflows for January

Net remittance inflows for the month of January totaled US$2.39 billion, up by US$589.0 million or 32.5 per cent more relative to the previous corresponding period. This improvement was due to an increase of 27.0 per cent or US$548.3 million in total remittance inflows further aided by a fall off of 18.4 per cent or US$40.7 million in total remittance outflows.

The improvement in inflows is as a result of an increase of 31.3 per cent in remittance companies flows, while other remittances recorded an increase of 5.2 per cent.

The largest source market of remittance flows to Jamaica for January 2021 was the United States (US). Remittances from the US accounted for 69.8 per cent of total flows, up from 65.2 per cent recorded for January 2020. Other source countries which contributed a notable share of remittances for the month were the United Kingdom at 11.9 per cent followed by Canada and the Cayman Islands at 8.9 per cent and 5.6 per cent, respectively.

For the month of January 2021, Jamaica ’s growth recorded for remittance inflows was 32.7 per cent, which is higher than that of Mexico, which registered a growth rate of 27.3 per cent. Guatemala and El Salvador also registered growth for the period with increases of roughly 8.7 per cent and 6.6 per cent respectively.