Venezuelan Immigrants: We cannot send money to Venezuela at the rate of inflation

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Whistle He spoke with two Venezuelan immigrants in Spain and one in the United States, and all three agreed that it was very difficult to make ends meet every day to help their relatives in Venezuela. On the one hand, the economic situation in the countries where they live is complicated, they are already living on a tight budget, and on the other hand, prices in the country are constantly rising.

María José Pulido is a young Venezuelan who has been living in Madrid, Spain for over four years. Today, she is happy to be able to send money back to her mother in Venezuela after nine months, but saddened to learn that there is little her relatives in the country can do with that amount. Prices continue to rise even in dollars.

“Although I didn’t send her money, I knew the prices there. I sent her 20 euros (about 22 dollars) so that she helped herself a little, but now I have to send her at least 50 euros (about 54 dollars) so that she can help half. Can,” he said. Whistle.

For Pulido, the situation is worrying because since the start of the Russian invasion of Ukraine, prices in Spain have risen significantly, and it is further complicated by knowing that they do not have the amount of money they send to their relatives in Venezuela every day. enough to cover their expenses.

No country can keep pace with inflation and uncontrollable prices in Venezuela

Kelly Pereira, Venezuela in America

“For those here, it is often difficult to send money to our relatives there because of this situation, and when we do want to send money, things are still expensive,” he said.

In a similar reality is Vanessa Torres, another Venezuelan living in Spain. This 30-year-old woman lives in Seville and only works seasonally, so she does not have a steady income throughout the year to regularly send money to her relatives in Venezuela. “I send when I’m working, but everything has increased here since the war started. And every time I send to Venezuela, they tell me it’s not enough”, he says, noting that in his country of residence, Venezuela, there is not enough to produce easily due to inflation.

“I literally break my arms to win it. Sometimes I feel very frustrated because I work in something I don’t study, the job seems permanent, so it’s hard for them to tell me I don’t have anything,” said this young woman with a degree in international trade who will eventually clean in hotels. An employee.

Sometimes I find it hard to say that because I am working in a job that I am not studying for, the job itself seems permanent and nothing.

Vanessa Torres, Venezuela in Spain

This young Venezuelan woman sends her relatives between 20 and 100 euros, but only when she is there, depending on the level of trouble they need. “But it will never be enough. With that inflation (the Maduro government) they also hurt those of us who are outside. Some people are going back because they can’t afford to maintain two houses,” he assured.

This story keeps repeating itself among Venezuelan immigrants in different countries. In the United States, Kelly Pereira always makes sure her mother in Maracaibo, in the state of Julia, doesn’t lack for anything, but she assures that it won’t be easy. “Inflation affects you a lot in Venezuela, because prices rise here, but one already has a budget that is more or less fixed for expenses, but suddenly my mother tells me, the purchase price is high, or they bought less food because the price went up. . . price,” he said. .

Like all residents of this country, this Venezuelan must cover his expenses, and pay taxes, insurance, rent and utilities. “If inflation goes down, no country will be able to continue with inflation and the lack of price controls in Venezuela. The migrant has costs, he has to suffer from hives and save money,” he stressed.

Cost of living abroad

Even as Venezuelans leave the country in search of better living conditions, and many find peace of mind in their destination countries lacking in Venezuela, the economic and labor situation is complicated by the arrival and recovery of the Covid-19 pandemic. It was achieved after Russia’s invasion of Ukraine reduced the prison term.

Accordingly Eurostat, European Statistics Office, Spain closed December with the lowest inflation in the Eurozone. After reaching its highest peak of 10.8% in July, the index stood at 5.6% in December. But despite the slowdown in inflation in the Iberian country, price increases are still being observed in Spanish supermarkets.

Venezuelan María José Pulido lives alone and pays rent for an apartment. On food, he promises to spend about 100 euros (108 dollars) until 2021, but the budget almost doubled last year, and now he has to set aside approximately 180 euros (about 195 dollars) to buy the same amount of food. Among the products that increased the most, eggs, oil, gas and gasoline stand out.

I can plan my budget and save for food, weather changes and my mom, but now I can’t cover everything.

Maria Jose Pulido, Venezuela in Spain

“Expenses increased because of the war in Spain and there were no salary changes. I can plan my budget and save for food, weather changes and my mother, but now I can’t cover everything. I imagine it’s the same for anyone who lives alone and has to bear all the expenses like me. ,” he added.

Pulido cites government measures that have allowed him to save on transportation costs, such as free Renfe train service or discounts on public transportation, whereby he paid 72 euros (about $78) a month for transportation, down from 10 euros (almost 11). dollars) for four months. However, he assured that the increase in prices cannot be offset.

Although the perspectives of the Spanish government are positive, the opinion about migrants is the opposite, as they believe that the economic situation will worsen in the coming months. “The government helps on the one hand, but they also take it from you. Food keeps increasing and I doubt prices will be maintained until the war settles,” he asserted.

Venezuela has a misconception about how they make money in the US

Kelly Pereira, Venezuela in America

“A big crisis is coming in Spain and in Europe in general. Every time I go to the supermarket I want to run with the prices,” said Vanessa Torres.

In the United States, inflation eased to 6.5% in December, but the outlook in this country is very different, as prices change depending on the state of the country. In Nevada, where Kelly Perera lives, one of the foods that have gone up in price the most is eggs, pit meat, which she says has always been more expensive. Petrol prices have come down slightly. In this context, this Venezuelan explains that it is not easy to prepare money to cover all the expenses incurred by a migrant, so sending money to Venezuela is always costly.

“In Venezuela they have a very wrong idea about how money is made here (in the U.S.). Those who come have a rash, sleep in a borrowed car or on a sofa, don’t pay taxes, and are thrown out after a month,” he reiterated. Paying taxes, insurance, rent and all basic expenses. He pointed out that a person lives very tight financially.

Statistics on remittances to Venezuela

According to the 2022 National Survey of Living Conditions (NCOVI), the number of Venezuelans sending remittances to their relatives in the country decreased last year. According to this study, the frequency with which migrants export has also decreased.

“Remittance assistance may cease to be a complementary source of household income over time because there are no more family members to send assistance, or the number of members is reduced, so assistance is reduced,” the researcher said. Encovi’s coordinator, Anitsa De Freitz, during the presentation of the study last November.

And with that inflation in Venezuela, they’re also affecting people outside. Some are unable to maintain two homes and go back.

Vanessa Torres, Venezuela in Spain

According to a study by the Inter-American Dialogue Organization, it broke down Bloomberg In December, 2022, about 4.2 billion dollars entered in remittances to Venezuela. Although these figures reveal the country’s high dependence on aid exports from abroad, they show a decline compared to previous years.

The figure is $2.5 billion, Cesar Atencio, director of Zoom Casa de Campio, told the portal in an interview. Digital Finance He assured that from 2021, remittance reception through formal channels such as exchange houses has started to increase. However, according to Digital Finance, by 2022 80% of remittances will come into the country through informal channels.

A global recession on the horizon

A recent World Bank report warns that there is a risk of recession in the global economy this 2023 due to weak growth in countries such as the US, Europe and China.

The multilateral body’s report indicated the United States could avoid a recession this year, but weakness in the rest of the world could pose a challenge for American businesses and consumers. Added to this scenario is high inflation and high interest rates. “Furthermore, if Covid continues to spread or the war in Ukraine worsens, the country will be vulnerable to disruptions in supply chains,” the quoted report said. Los Angeles Method.

People here often find it difficult to send money to our relatives

Maria Jose Pulido, Venezuela in Spain

The International Monetary Fund’s estimates are less encouraging, as the agency calculates that a third of economies will enter recession by 2023, with Europe the most vulnerable region. The situation in Europe is affected by the weakness of the Chinese economy, a country that exports a large part of its merchandise, as well as the energy crisis it faces as a result of the war in Ukraine.

While some economic sectors in the United States are clinging to the possibility that the country will not enter a recession this year, government agencies in Spain are optimistic about economic growth data at the end of 2022, a slowdown needed by Venezuelan immigrants Maria Jose Pulido, Kelly Pereira and Vanessa Torres to support their families in Venezuela. He hopes to be able to cover the costs.

I send money to Venezuela when I work, but everything has increased here since the war started

Vanessa Torres, Venezuela in Spain

Kimberlynn ThaleroView_1