The principal effect is the increasing remittances received by the inhabitants of the state.
CAMPECHE – After the Mexican oil industry was hit by the fall of oil prices around the world, and being Campeche a state that depended on the extraction of this resource, a massive wave of layoffs has generated 30 thousand unemployed people, according to data from the Mexican Institute of Social Security (IMSS in Spanish).
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This situation has caused inhabitants of Campeche to leave the country and go to the Unites States to be able to work, which has generated that in the first quarter of this year Campeche reported an annual growth of remittance income of 19.8%, despite the fact that it is one of the five states that have received a remittances income below $50 million dollars, according to information from El Economista.
The Central Bank of Mexico pointed out that the states with the best remittances growth rate were Campeche (19.8%), Querétaro (16.0%), Oaxaca (15.7%), Sinaloa (14.8%), Colima (13.1%), San Luis Potosi (12.7%), Zacatecas (12.5%) and Durango (11.9%).
An expert from the Center for Economic and Budgetary Research (CIEP), Kristobal Meléndez, said that Campeche has had an unexpected increase in migration level to the United States, due to the crises that face the state in several economic and productive sectors, particularly the production of oil, which has made a huge number of people to leave the country in order to find a new job and now they are sending a huge amount of remittances to Mexico. “It is important to remember that there are sometimes upward and downward flows of remittances,” he said.
In the first quarter of this year, total remittances sent to Mexico from the United States were $6.3 billion dollars; this represents an increase of 7.1% in the national remittances income, as an annual percentage rate.
Also, five states have showed a remittances income below $50 million dollars: Yucatan ($35.8 million), Tabasco ($34.6 million), Quintana Roo ($32.1 million), Campeche ($17.1 million) and Baja California Sur ($13.6 million).
The US economy represents 96.1% of total incomes that reach Mexican territory. The states of the US that sent the most remittances to Mexico were California ($1,990.7 million USD), Texas ($957.4 million USD), Illinois ($323.3 million USD), Florida ($282.2 million USD), New York ($257.2 million USD) and Georgia ($241.6 million USD). Together they contribute 63% of the total remittances income for Mexico.
About the increase of 7.1% of revenues from the United States between January and March 2017, the states with the highest increases of remittances rates are South Carolina (26.6%), Vermont (26.3%), Tennessee (20.6%), North Carolina (20.6%) and Montana (20%).
The CIEP expert said that these states have previously registered a decrease in their send of remittances because they did not have high reception level of Mexicans; however, they are propitious to a greater change in the future.
“They haven’t had as high remittance flows as the other states because they were afraid of what would happen with the new US political administration. Now that everything is being known about Donald Trump’s policies, that can’t be implemented as easily as he thought, then remittance flows are normalizing. “
Source: expresocampeche.com
