Economics
Economists Baffled by How Mexicans Can Send So Much Money Home
- Remittances to Mexico unexpectedly increased 3% in May
- Weaker peso creates an incentive to send more cash home
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Remittances to Mexico surged in May, confounding the majority of economists who expected the weakest U.S. jobs market in decades to take a heavier toll on migrant workers.
Money sent home by Mexicans abroad increased almost 3% from a year earlier, to $3.4 billion, the central bank said on its website Wednesday. Economists were forecasting a year-on-year decline, to $3 billion, according to a Bloomberg survey.