The Ministry of Finance and Government Credits (SHCP) and the Bank of Mexico (Banxico), in partnership with the Association of Banks of Mexico (ABM), will present tomorrow’s actions to support migrants and their families.
It is a proposal to address the problem raised by the reform of the Banxico law in cases of fix currency, to the terms of payment of wire transfers in pesos.
The mechanism will run through the Banco del Bienestar, as announced by the SHCP on February 1, during the Open Parliament, which was organized by Congress to analyze the reform of the Banxico Law on the Acquisition of Foreign Exchange already passed by the Senate, forcing the central bank to absorb dollars without their knowing legal origin.
The head of the agency’s Banking, Securities and Savings Division, Jorge Melendez, said at the House that the problem migrants face to pay their remittances in cash at a competitive exchange rate can be resolved “bluntly” and without the need to force Banxico to buy excess dollars.
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The official noted that the SHC has prepared a project under the Strategy for Financial inclusion that, together with the Banco del Bienestar, has the capacity to address several of these challenges, along with the support of the Institute of Mexicans Abroad.
For this, the SHCP conducted a study, which found that most of the dollars in cash in the country do not belong to migrants, as most do for Electronic transmission using the formal financial system.
In this way, they created a secure mechanism so that they can exchange their remittances or dollars in cash at the branches of the Banco del Bienestar, thus favoring off-bank families living in remote communities.
Also read: Without forcing Banxico, the problem of remittances can be solved: Treasury
In the same forum, the Governor of Banxico relied on the use of the immigration card and having biometric checks can serve to bank the migrant population in a flexible and secure way.
With this, it would be possible to have an alternative to pay a better exchange rate for money transfers in Mexico.
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