Jamaica’s Net Remittances Inflows Increased in January, Driven By US Inflows

• Net Remittance Inflows to Jamaica increased by 4.0% in January 2025 year-over-year (y-o-y), rising from US$228.3Mn to US$237.5Mn. This was primarily due to an increase of US9.5Mn (or +3.9%) in total remittance inflows to US$255.5Mn. However, this was marginally offset by a 1.8% rise in remittance outflows.
• Higher inflows through both Remittance Companies and the Other Remittances channel, representing flows via commercial banks and building society, was the main driver of the increase.
• However, for the first ten months of the 2024/2025 fiscal year (April 2024 to January 2025), net remittances were largely flat at US$2.63Bn compared to US$2.62Bn for the 10 months in FY 2023/2024. The year to date (YTD) outturn was moderated by total remittance inflow, which was relatively flat at US$2.816Mn (up US$0.8Mn) and a US$3.8Mn decline in remittance outflow during the period.  
• The U.S. remains the largest source market for remittance flows to Jamaica in January 2025. Remittances from the U.S accounted for 69.7% of total flows, up from the 69.0% recorded for January 2024. Other source countries that contributed a notable share of remittances for the month were the United Kingdom (10.8%), followed by Canada (8.2%, and the Cayman Islands (6.5%).
• The data also indicated a slight contraction in remittance service operations for the 2024 calendar year. The number of active remittance company locations declined from 514 to 492, and total service points fell from 858 to 842. This reduction was mainly driven by an increase in voluntary closures, up from 32 to 49 and a rise in license revocations from 46 to 83.
• Looking ahead, the uncertainties around the Trump administration's trade, immigration and other policy changes could adversely affect remittance inflows if they result in a slowdown in the US economy.

(Sources: BOJ and NCBCM Research)