Remittances to El Salvador under threat from Trump planned deportations

19 January 2018: The Trump administration has decided to end the Temporary Protected Status (TPS) for some 200,000 Salvadoran migrants living in the US. On January 15, ratings agency Moody’s warned that the US decision to end TPS would have a long-term negative impact for El Salvador if it leads to ‘massive deportations’. Salvadorans send a significant amount of money back home; the World Bank says more than US$4.5bn of remittances were sent in 2016, making up 17 % of El Salvador’s GDP.

TPS has been in effect since 2001 when, after two deadly earthquakes struck El Salvador, the George W. Bush administration permitted undocumented Salvadorans residing in the US to apply for protected status, which allowed them to obtain work permits and spared them from deportation. The temporary program was renewed several times in the ensuring years. Click here for the full story.

This is an extract from the Caribbean Council’s fortnightly publication, Central America Briefing, which provides in depth information on current economic, political and commercial developments across Central America. Please follow the links on the right-hand side of this page to subscribe, or access a free trial.  

 

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