Remittances to the DR heading to a record $12.2 billion despite the US tax

Money sent by Dominicans abroad would top $12.2 billion this year, a historic record, despite the 1% US tax on cash money transfers. The resilient flow confirms the weight of the diaspora in the local economy.

A flow that does not stop

Transfers from Dominicans abroad — more than 80% from the United States — would keep growing between 3.5% and 4% in 2026. Last year they closed at $11,866 million, and this year’s figure would set a new all-time high.

How they dodge the tax

The new 1% levy on cash transfers, included in the “One Big Beautiful Bill Act”, has not stopped the flows. The key is digital banking: more than 80% of the diaspora has bank accounts, allowing money to move through electronic channels that avoid the levy.

Why it matters

Remittances are one of the main sources of foreign currency for the Dominican Republic, ahead even of tourism in some periods. They sustain the consumption of millions of families and stabilize the exchange rate. That they keep growing despite the tax is good news for the national economy.

The key figure

$12.2 billion. The projected record for 2026, and proof that the bond between the diaspora and the country is stronger than any tax.