Remittance flows to Jamaica have risen nearly 40 per cent in the September quarter, a spike that is being attributed in part to changing travel patterns, as well as crisis support since the pandemic, according to Bank of Jamaica Governor Richard Byles.
With fewer persons flying into Jamaica, persons who would normally bring cash for family during trips to the island – cash that would not traditionally be counted as remittance – are now said to be sending those funds instead through the money transfer system. The central bank tracks the latter in its monthly estimates of remittance flows.
Remittances initially say a dip but quickly recovered after the coronavirus showed up in Jamaica. During the third quarter, July-September, inflows amounted to US$865.2 million, up 39.5 per cent from US$620 million in the comparative 2019 period, according to the a year earlier.
Byles said at his quarterly press briefing last week that less travel means relatives are not carrying cash in transit.
“We have tried to understand the cause, and there are a number of things – not just one explanation – but remittances tend to be counter-cyclical,” he said, meaning that remittances grow during times of economic contraction.
http://jamaica-gleaner.com/article/business/20201125/falling-travel-helps-push-remittances-higher
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