During the first five months of 2022 (January to May inclusive), remittances are up 32 percent as Nicaraguans living abroad sent home US $1.132 billion to families here in Nicaragua.
This dollar value represents an accumulated 2022 increase of 31.9% when compared with the same period in 2021.
In their monthly report, the Central Bank of Nicaragua (BCN) reported that up to the end of May 2022, US $274.2 million more came into the country than the US $858.3 million received by the end of May 2021.
Nicaragua received US $2.147 billion in remittances in 2021 (16% more than in 2020).
GDP
Remittances currently represent 17% of the Nicaragua’ Gross Domestic Product.
Growth by Country
A handful of countries provided 85% of that that 31.9% growth. Namely; The United States with 53.2% more, El Salvador (16%), Canada (14%) and Costa Rica (2%) said the BCN.
The US $285.1 million more received from the US than in the same period of 2021 (when they totaled 535.6 million dollars) was a big reason remittances are up 32 percent.
Where does it come from?
The United States continues to lead the “2022 Remittance Submission Chart” with US $820.7 million (72.5% of the total dollars sent).
The US is followed by Spain with US$114.6 million (10.1%), Costa Rica US $112 million (9.9%). Closing out the top five are Panama with 2.4% and Canada 1.1%.
Remittances (especially to low and middle income countries) have proven to be resilient to the economic problems caused by COVID-19.
Developed countries can also be the recipients of remittances. France and Germany are in the top ten countries receiving remittances. However, the money received is a much smaller percentage of their GDP.
How is it sent?
As well as by traditional bank transfers, those living abroad can send money back to Nicaragua using a variety of money transfer systems such as; MoneyGram, DolEx, Zoom, Western Union, Paysend, Remitly, AirPak and WorldRemit.
There are also a number of comparison sites, MoneyTransfers.com being one of them, which find the best, cheapest or fastest method of sending money to Nicaragua based on your criteria which may also include the best exchange rate possible or disclosing hidden fees.
