Tuesday 21 September 2021

Remittances to Central America are caught in Trump’s line of fire

Earnings of Central American workers in US become a political sore point as the White House threatens to use remittances as leverage in migration dispute

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As political tensions between Central American countries and the US ramp up, the cash flows are being caught in the line of fire.

Augusta Godínez Pérez lives in Cuilco, Guatemala, in an eight-room home paid for thanks to remittances sent back by her two sons in the US © Ben Marino/FT

US president Donald Trump has begun to use remittances as a political weapon; in July he threatened Guatemala that unless it agreed to act as a safe third country for refugees, he would slap taxes on the money that its citizens in the US send home.

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And Mr Trump’s crackdown on migrants in the US has hit their families’ pockets, the Financial Times reports.

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Q Costa Rica
Reports by QCR staff

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