$905 billion: the immigrant money that runs the world (and still gets taxed like a crime)

Here is a number that should be on every billboard in every immigrant neighbourhood: in 2024, global remittances reached an estimated $905 billion. That is larger than all foreign direct investment into developing countries. Larger than all international development aid combined. This money — your money — keeps entire economies alive. In El Salvador, remittances represent over 20% of GDP. In Honduras, Guatemala, and Jamaica, they are the single largest source of foreign income.

And yet, the global average cost of sending $200 is still 6.4% — more than double the UN's target of 3%. Sub-Saharan Africa remains the most expensive region at nearly 8%. Latin America averages 5.9%. South Asia is lowest at 4.6%. The people who can least afford to lose money on fees are the ones charged the most.

India received over $111 billion in 2022 — the first country to break the $100 billion mark. Mexico followed as the second-largest recipient, fuelled by the massive US-Mexico corridor. The Philippines, China, France, Egypt, Pakistan, Bangladesh, Nigeria, and Guatemala round out the top ten. Behind every one of these numbers is a person standing at a counter or tapping a phone, making a decision between feeding their family here and feeding their family there.

Digital transfers cost an average of 5%, while cash-based transfers cost 7%. Mobile money operators are cheapest at 4.4%, but represent less than 1% of total volume. The infrastructure to make remittances cheaper already exists. The question is access and awareness.

Your remittance is not charity. It is the largest development finance mechanism on Earth. Demand lower fees. Go digital where you can. Every cent you save on transfer costs is a cent that lands in the hands of someone who needs it.