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									tral Asia are slowing. In contrast, flows from the Gulf                                      by Mexico’s Central
Cooperation Council countries to Asia and South Asia            recession                    Bank disclosed that
have grown rapidly.”13
    Mexico seems to be paying one of the high-
                                                                And                          total remittances fell
                                                                                             3.6 percent in 2008 to
est penalties so far. According to the World                    remittAnces                  $25 billion. The decline
Bank, “[o]fficial remittances declined by 3.7 per-                                           marked the first annual
cent between January and September 2008 com-                                                 drop on record since the
                                                                 by Diana Rodriguez
pared to the same period the previous year. Later                                            bank began keeping track
in the year, however, recorded remittances fell sharp-                                       of the figures in 1995. The
ly, prompting the Mexican authorities to fore-                 Rising unemployment           reduction was sharpest in
cast an 8 percent decline in remittance flows in 2008.”14      and the (not-unre-            the Federal District (19.6
The same report concluded that officially record-              lated) crackdown on           percent), and the states
ed remittances were likely to decline by a total of            undocumented work-            of Tabasco (13.9 percent)
4.4 percent in 2008. These data tell only part of the          ers worldwide have put        and Hidalgo (13.5 per-
story since there is no way to systematically track fluc-      developing countries and      cent). Michoacán, which
tuations in unrecorded remittances. Yet because remit-         their emigrants in a bind.    received the nation’s larg-
tances are a family affair, the fact remains that even in      Especially hard hit will      est total of remittances
the context of an ever-escalating crisis deeply affect-        be countries like Mexico,     ($4.45 million), was one of
ing the fortune and wages of Mexican immigrants in             where remittances from        the few able to sustain a
the U.S., migrants will still send money home, taking          the U.S. not only con-        modest growth rate of 2.7
extra jobs or drawing on savings if necessary. Again,          tribute a large chunk of      percent.
love and family connections will continue to drive             dollar reserves, but act         Mexican immigrants
remittances to relatives south of the border. According        as an informal safety net     who remain in the U.S.
to the World Bank, despite a decrease in the incomes           for the poor.                 face the double burden of
of Mexican migrant households in 2007, remittance                 In January, a report       continuing to provide for
flows increased that same year.15
    But the crisis is still unfolding. The decline in the
latter part of 2008 will likely continue. Because the
bulk of remittances go to current-use expenses (food,           The three oldest sisters said the additional
clothing, school fees, textbooks, uniforms, and the         income paid for school fees, books and uniforms.
like) the impact of even relatively minor declines can      Without the remittances, their mother confided, the
be severe—especially as the flow of private capital         girls would most likely be headed toward early mar-
continues to dry up.                                        riages and children.
    In a recent visit to the Mixtec Sierra region—a             In the short term the global economic crisis is
source of massive migration from Mexico to New York,        likely to dampen further migration from developing
a researcher and I met the widowed mother of a young        countries. There is preliminary evidence suggesting
Mexican migrant in Queens, New York. Every month,           that poor economic conditions are motivating Mexi-
the migrant sent $200 to $250 (in good months, $300)        cans to remain at home. Mexico City’s National Sta-
to his mother and five siblings left behind in Puebla.      tistics, Geography and Information Institute recently
These “migradolares” supplement the small amount            reported that, from August 2007 to
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