Remittances to Mexico, mainly from the U.S., reached a record high of $26.97 billion in 2016, up 9% from 2015, according to central bank data.
In December 2016 alone, remittances rose 6.2% to $2.3 billion compared to the same month a year earlier, the data showed.
The jump in remittances in late 2016 was driven by the depreciation of the peso as well as concerns that U.S. President Donald Trump could impose restrictions on transfers to pay for the planned border wall, Reuters reported.
The increase confirmed BBVA Research's earlier prediction of a spike in remittances due to the Trump effect. BBVA Research had predicted remittances would reach 26.80 billion in 2016, significantly exceeding its peak in 2007.