In September, Salvadorans welcomed a substantial inflow of $667.6 million in remittances, according to the latest data from the Central Reserve Bank. The continuous upward trend in remittance income, which sustains approximately 25% of Salvadoran households, has proven resilient throughout the year.
The Central Reserve Bank (BCR) reports that, as of the end of September this year, remittances have accumulated to a remarkable $6,053.6 million, marking a 5.4% increase compared to the same period in 2022, when the total stood at $5,744.8 million.
Out of this impressive sum, a vast majority of $5,635.1 million originated from the United States. Canada contributed $57 million, Spain sent $34.4 million, Italy contributed $31.4 million, and the United Kingdom added $9.7 million to the total. Notably, remittances from Italy have surged by 86.7% ($14.6 million) this year, while Spain saw a 62.4% increase, amounting to $13.2 million.
Regionally, the central zone of the country has received the largest share of remittances at 49%, followed by the eastern zone at 30.1%, and the western zone at 16.9%. When it comes to specific departments, San Salvador leads with 20.6%, followed by San Miguel at 11.1%, La Libertad at 8.2%, Santa Ana at 7.9%, and Usulután at 7.4%. In contrast, Cuscatlán receives only 2.8% of the total remittance pie. The overall average per department from January to September is approximately $313.9, based on official figures.
The BCR also highlights that out of the entire sum distributed across the country, 4.1% corresponds to mobile top-ups, cash disbursements, and unspecified remittance methods, including cryptocurrency wallets.
Additionally, in September, the entire remittance ecosystem involved a total of 18.8 million transactions, indicating a 4.8% increase compared to the same month in 2022 when there were 17.9 million operations.
Projections from the Inter-American Dialogue, based in Washington, suggest that remittances will reach $8,100 million in 2023, marking a 4% growth compared to the $7,855.4 million received in 2022. This means Salvadoran households will receive an additional $331 million, underlining the significant role of remittances in the country’s economy.