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Remittances and banking services : evidence from Mexico (Inglés)

This paper analyzes the impact of remittances on the breadth and depth of the banking sector. There are several reasons to believe that remittances might lead to the opening of new commercial bank branches and to a greater use of financial services by its population. First, fixed costs to send remittances make the flows lumpy, providing households with excess cash for some period of time. Banks offer households a safe place to store this temporary...
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