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Remittances and COVID-19: A Tale of Two Countries Accessible Data
Figure 1. Remittances to El Salvador and Mexico
Figure one shows the year over year percent change for remittances flowing from the US to Mexico and El Salvador. The figures show remarkable opposite trajectories in the second quarter of 2020, with remittances to El Salvador plummeting, while those to Mexico increasing at an exponential rate.
Note: Percentage growth in remittances from the United States is shown on a year-over-year basis. Remittances are denominated in U.S. dollars.
Source: Banco de México and Banco Central de Reserva de El Salvador
Figure 2. The Exchange Rate of the U.S. Dollar to the Mexican Peso
Figure two shows the depreciation of the Mexican peso against the USD dollar from 2003 to 2020. The Mexican peso has suffered several sharp depreciations over that time, with the last one happening during the first half of 2020.
Note: MXN/USD nominal exchange rate expressed in natural logs.
Source: FRED economic data, Federal Reserve Bank of St. Louis
Figure 3. U.S. Housing Starts
Figure 3 plots the evolution of the US housing starts, and indication of the state of the housing market. The graph shows the rapid increase in house starts during 2019, a sharp drop in the beginning of 2020, and a successive swift recovery.
Note: Data indicate privately owned housing units.
Source: U.S. Census Bureau, FRED at St. Louis Fed