At the end of the month, the Mexicans will send millions of funds of funds from the United States, probably more than any other month this year. May is generally the month with the highest volume of funds, even disappointing in December and the Christmas holidays, perhaps due to “the effect of Mother’s Day”.
A recent survey of 58 users of ZAPP, a platform to send money via WhatsApp, particularly targeting Mexican immigrants in the United States, revealed that around 67% of respondents make a special transfer to their mother on May 10, the day when Mother’s Day is celebrated in Mexico.
ZAPP reported that on average, users send USD 360 to their mother that day.
According to BBVA Research Migration and Research Fund ObservatoryShipments of funds are often used for economies, daily expenses or for a celebration honoring mothers, aunts, sisters or grandmothers.
Meanwhile, the ZAPP survey revealed that 79%of respondents send money directly to their mother, while others do it through other parents, including sisters (30%), children (30%), or deliver it in person (10%). About 31% said they were sending money to be able to spend it as they wish. Others say that it is for medicine (19%), food (13%) or simply to buy something good (15%).
Between 2019 and 2023, May saw 6.5% more funds than the adjacent months of April and June, perhaps explained by the effect of Mother’s Day.
In May 2024, Mexico recorded 14.8 million payment transactions, which represents an annual increase of 1.4% – its highest level of all time. The BBVA report suggests that reducing payment costs observed in recent decades and a gradual increase in digital funds through financial applications may be some of the factors stimulating this growth in the volume of transactions. However, the average amount of funding in 2024 was US $ 381, down 2.3% compared to the same month of 2023.
BBVA transmission specialists have also found that over the past 20 years, payment transfers received for an average of 14% have increased on average compared to the rest of the year. In May 2020, funds culminated by 18% awarded to the concerns about the Mexico health crisis during the COVVI-19 pandemic.
Another visa survey has shown that 42% of Mexican migrants who send funds to the country do so electronically. The report nicknamed “The Money Journey: Adopting Digital Remitnces in 2024”, noted that seven users out of 10 of these digital money transfer platforms consider them a faster and more efficient payment method than traditional channels.
With reports from The Economist
