SELA to analyse the effects of the COVID-19 economic crisis on GDP and remittances in the region

On Friday 14 August at 11:00 am in Caracas, the Latin American and Caribbean Economic System (SELA) will hold a Webinar on “The post-pandemic economic crisis on the continent: GDP and remittances”. The virtual session will be in charge of Manuel Orozco, former Director of the Programme on Migrations, Remittances and Development at the Inter-American Dialogue and current Director of the Centre for Migration and Economic Stabilization at Creative Associates International.

Estimates about the effects of COVID-19 on remittance flows to Latin America and the Caribbean indicate that remittances could shrink between 10 and 15 percent in 2020, and it could take from four to eight years for them to return to the levels reached in 2019.

Between 80% and 90% of remittances are used to cover basic needs of recipient households (food, health and housing), so their contraction will have strong effects on consumption and an increase in poverty. If appropriate actions are taken to mitigate such effects through an economic revival of the region, their flow could continue during and after the pandemic.

Migrants and their contributions to development from host countries generate almost 10% of Gross Domestic Product (GDP) globally. If their integration process in their new destination countries is carried out in a safe, orderly and regular manner, it could add between US$ 800 billion and US$ 1 trillion to the global economy every year.

In order to generate a space to address the impact of the SARS-CoV-2 virus on migrations, its socio-economic implications and how to face the future, SELA will hold this first event to start a cycle of virtual seminars on the subject.

For free registration click here: bit.ly/39Szt1c.