The impact of remittances in Mexico. Possibilities and limitations of the 3x1 Program.

Globalization has changed the flow of migrants and remittances making them more fluid, and much attention has been paid to the relation between remittances and developments around the world. Today there are more than 50 million Latinos living in the United States, 63% of which are Mexicans. They remit money to their families in Mexico and their financial support is crucial not only for the family budget but also for the Mexican economy. Besides, Mexican migrants form communities in the U.S. with people from the same province expanding their transnational networks and they send collective remittances to their hometowns. Furthermore, a social development-community project, the “3x1 Program” is promoted by Mexico’s Social Development Ministry (SEDESOL) cooperating with three levels of Mexican government: federal, state, and municipal. It is a unique phenomenon that communities of Mexican migrants in the U.S. send collective remittances to invest in development for their native towns maintaining their identities. The main objective of this research is to analyze the impact of the remittances from migrants in Mexico and the function of this program with remittances as a community development tool.