Money sent home to Mexico from abroad fell sharply in 2025, with the country posting the largest annual decline in well over a decade, according to figures released Tuesday by the Bank of Mexico. The vast majority of remittances sent to Mexico come from the US.
Total remittances dropped 4.6 percent in 2025 to $61.8 billion, marking the biggest fall since the global financial crisis in 2009. Despite the decline, remittances still made up a significant share of the Mexican economy, accounting for roughly 3.4 percent of GDP, according to analysis by Banco BASE.
The slowdown comes after years of steady growth and follows a period of increased uncertainty for Mexicans living in the United States, where most remittances originate. Analysts pointed to multiple factors behind the drop, including a weaker presence in the US labor market, a stronger peso against the dollar, and heightened fear among migrant communities amid stepped-up immigration enforcement.
Under the Trump admin's deportation agenda, many migrants reportedly reduced their travel and public activity, limiting job opportunities and income, which in turn affected money sent back home.
Electronic transfers remained the dominant method for sending money to Mexico, accounting for 99.1 percent of total remittances, or about $61.2 billion. Of that amount, nearly half, 49.6 percent, was collected in cash, totaling $30.3 billion. The remaining 50.4 percent, or $30.9 billion, was deposited directly into bank accounts.
For many families in rural and indigenous communities, remittances remain a primary source of income. In remote towns, recipients often wait in long lines to collect cash transfers that cover basic living expenses.
Growth in remittances was recorded in only three months during 2025: January, March, and December. December stood out as the strongest month of the year, with remittances totaling $5.3 billion, a 1.9 percent increase compared to the same month in 2024.
The average transfer amount in December rose to $408 per transaction, up from an average of $375 a year earlier. That increase suggests fewer transfers overall, but slightly higher amounts per transaction.
Regionally, the states receiving the most remittance income were Guanajuato, Michoacán, and Jalisco. Guanajuato accounted for 8.9 percent of total transfers, followed by Michoacán at 8.7 percent and Jalisco at 8.3 percent.
Total remittances dropped 4.6 percent in 2025 to $61.8 billion, marking the biggest fall since the global financial crisis in 2009. Despite the decline, remittances still made up a significant share of the Mexican economy, accounting for roughly 3.4 percent of GDP, according to analysis by Banco BASE.
The slowdown comes after years of steady growth and follows a period of increased uncertainty for Mexicans living in the United States, where most remittances originate. Analysts pointed to multiple factors behind the drop, including a weaker presence in the US labor market, a stronger peso against the dollar, and heightened fear among migrant communities amid stepped-up immigration enforcement.
Under the Trump admin's deportation agenda, many migrants reportedly reduced their travel and public activity, limiting job opportunities and income, which in turn affected money sent back home.
Electronic transfers remained the dominant method for sending money to Mexico, accounting for 99.1 percent of total remittances, or about $61.2 billion. Of that amount, nearly half, 49.6 percent, was collected in cash, totaling $30.3 billion. The remaining 50.4 percent, or $30.9 billion, was deposited directly into bank accounts.
For many families in rural and indigenous communities, remittances remain a primary source of income. In remote towns, recipients often wait in long lines to collect cash transfers that cover basic living expenses.
Growth in remittances was recorded in only three months during 2025: January, March, and December. December stood out as the strongest month of the year, with remittances totaling $5.3 billion, a 1.9 percent increase compared to the same month in 2024.
The average transfer amount in December rose to $408 per transaction, up from an average of $375 a year earlier. That increase suggests fewer transfers overall, but slightly higher amounts per transaction.
Regionally, the states receiving the most remittance income were Guanajuato, Michoacán, and Jalisco. Guanajuato accounted for 8.9 percent of total transfers, followed by Michoacán at 8.7 percent and Jalisco at 8.3 percent.
