Central America: remittances and the macroeconomic variable
By Manuel Orozco
September 17, 2007
Report prepared for the Inter-American Development Bank.
This report provides an analysis of the relationship between remittances and the local economies in Central America, with special attention to Nicaragua and Guatemala. Based on time series quarterly data and nationwide surveys, the report looks at the impact of remittances on growth, exchange rates and savings in Central America. The report also provides some policy recommendations to leverage and mitigate the impact of remittances.