Family remittances to El Salvador surpassed an impressive $7.56 billion from January to November 2023, demonstrating the unwavering support of Salvadorans abroad, according to the Central Reserve Bank (BCR). This figure represents a $164.7 million increase compared to the same period in 2022, reflecting the vital economic lifeline provided by the Salvadoran diaspora.
The United States remained the largest contributor, accounting for 92.8% of remittances. By November, Salvadorans in the U.S. had sent $7.01 billion, a 1.9% growth year-on-year. Contributions from other countries also saw significant growth, with Canada increasing by 6.7% ($76 million), Spain by 22.2% ($52.5 million), and Italy by 20.8% ($47.6 million). Even the United Kingdom recorded a 9.3% rise, reaching $12.9 million.
Despite a modest overall growth rate of 2.2%, the remittance landscape showcased positive trends. More than 23.79 million transactions were made in the first 10 months of the year, marking a 3.3% increase in operations. Notably, Santa Tecla emerged as a standout, with a remarkable 23% growth in remittances, followed by Candelaria de la Frontera in Santa Ana, which grew by 11.1%.
The average remittance transaction nationwide was $308.7, with Chalatenango and Cabañas leading at $391 and $376.2, respectively. These numbers underscore the strong connections Salvadorans abroad maintain with their families, providing vital support in times of need.
Banks have also played a significant role in facilitating these transactions, handling 38.3% of remittances and seeing a 6.8% growth in flow. Meanwhile, cryptocurrency wallets, though representing just 1% of total remittances, experienced a 2.5% increase, reflecting emerging trends in digital transfers.
With December traditionally being the peak month for remittances due to holiday celebrations, the year is set to end on a high note. The resilience and dedication of Salvadorans living abroad continue to be a cornerstone of the nation’s economy and a source of hope for families across the country.