Cash Sent Home By Mexicans Craters 16.2% In June As More Immigrants Leave US Workforce

The amount of cash being sent home by Mexicans living in the United States cratered in the first half of 2025 - with June marking the third consecutive monthly increase.

According to Banxico, Mexico’s national bank, remittances from the United States have fallen by nearly 6% since January, and 16.2% during the month of June - when only $5.2 billion was sent back to Mexico, vs $6.207 billion in the same month in 2024. 

And while the bank reports that the average amount being sent back is higher than in 2024 at $409, the number of people sending money back has dropped by 14%. 

Executives at Western Union recently admitted on an earnings call that the outflow of hot money from the United States has slowed amid the crackdown on illegal aliens.

CFO Matt Cagwin told Wall Street analysts that they “continued to see weakness in North America, driven by immigration policy, which led to a slowdown in the independent channel.”

CEO Devin McGranahan explained that the “slowdown” is in both retail and digital businesses between the United States and Mexico.

Over the past year, nearly $63 billion was sent back to Mexico by people living north of the border - a significant drop from the peak years of 2023 and 2024. 

Illegals sent $56 billion dollars back to their home countries just in the year 2024

$56 BILLION was sent out of America while they received free housing, healthcare, food etc

This has been the scam of illegals for decades. Collect our benefits while building a life in Mexico pic.twitter.com/DWGgd84ROW

— Wall Street Apes (@WallStreetApes) June 23, 2025

“Remittances plummeted in June due to low job creation for Mexicans in the United States and the fear of migrants to go out due to the possibility of being deported,” Gabriela Siller, director of economic analysis at Banco Base, wrote on X on Friday, adding that “remittances could continue to decline for the rest of the year, affecting consumption in Mexico.”

As we noted on Friday, there has been an unprecedented purge of illegal alien workers in the United States. In July, the number of foreign born workers tumbled by 467K. It wasn’t just July though: as shown below, foreign-born workers (which, again, are mostly illegal aliens) have declined four months in a row…

Analysts, meanwhile, think remittances could continue to fall throughout the second half of the year. 

Analysts from the banks Banorte, BBVA, Goldman Sachs and JPMorgan also believe there is a risk that remittances will continue to decline in the second half of 2025, according to the newspaper El Economista.

Such an eventuality would affect millions of Mexican families that depend on remittances to meet their basic needs. It would also affect the Mexican economy, reducing consumption and thus contributing to what is widely forecast to be a lower level of growth in 2025. -MexicoNewsDaily

The vast majority of remittances to Mexico are sent from the United States – which will impose a 1% tax on cash sent starting Jan. 1, 2026 – which has prompted the Mexican government to promote a government bank card that can avoid US-based Mexicans to avoid the tax.

Immigrants are leaving US workforce in mass.

Remittance payments US→MX plummeting, down over -2 million from a year ago.

Biggest decline by far in 30+ years – a period that includes a homebuilding depression and a 100-year financial crisis. pic.twitter.com/o49TeyLvOC

— Eric Finnigan (@EricFinnigan) August 3, 2025

99% of money transfers were done electronically, while the rest were done via cash or money transfers according to Banxico, as reported by Border Report. 

According to Jesús Cervantes González, director of economic statistics at the Center for Latin American Monetary Studies, “there are indicators that show a weakening of employment for Mexican immigrant workers in the United States,” MexicoNewsDaily reports.

“That could be due both to a genuine decrease in demand for such workers and to their irregular presence at their workplaces out of fear of being deported,” he said. 

US Immigration and Customs Enforcement has been carrying out immigration raids in various US cities this year – including a major operation in Los Angeles in June – with President Trump pledging to carry out the “largest deportation operation in US history.”