LatinNews Daily - 19 November 2025

*The Inter-American Development Bank (IDB) has released a new report indicating that Central American countries have “once again” experienced the highest remittance growth rates in Latin America and the Caribbean in 2025. The IDB report cites estimates that by the end of the year, remittance inflows to Central America will be around US$55.40bn, up 20.4% on 2024, which it describes as “significantly higher than the previous year”. The IDB report attributes the increase to “migrants’ response to the uncertainty they face in the main country of origin of these flows; during the first months of the year, many used their savings to send more money to their families and in higher average amounts, leading to a 21.2% increase compared to the same period last year”. The IDB report notes that the countries that posted the largest increases in remittances received during 2025 were Honduras (+26.0%), Guatemala (+20.2%), Nicaragua (+18.2%), and El Salvador (+17.9%), whose diasporas are mainly concentrated in the US. It highlights that Belize (+4.5%), Costa Rica (+8.4%), and Panama (+2.0%) also registered notable increases, although smaller than those in the other countries of the subregion. The report notes that the US remains the main sender in all cases, accounting for over 90% of remittances in El Salvador (95.8%), Guatemala (92.9%), and Honduras (90.1%), and also reaching high percentages in Belize (84.1%) and Nicaragua (75.3%). According to the IDB, while the proportion is lower in Panama and Costa Rica, the US remains the primary source of remittances, with 61.5% in both cases. It adds that during 2025, Central American countries will have received 31.8% of the remittances sent to Latin America and the Caribbean, up from the 28.3% recorded in 2024.

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