Tuesday, August 08, 2006

If you are an "immigrant" living in the USA, part of your money goes back home

When my phone rings at home, and the caller is from El Salvador, chances are I will be heading for the bank after the conversation is over.

It is the plight of most immigrants: to work for you, for your own family and the extended... and I mean, "extended" family which may include that unfamiliar cousin whom you've known only during those times when he or she may need your help.

Thousands of Salvadoreans living in the USA go through the same drill; and we are hardly alone. Every other nationality that I know, be that Mexican, Guatemalan, Haitian, Jamaican, SouthAfrican, Zimbawean... and yes, even Canadian or Irish, from time to time must send money back home to pay for the uncle's X-Rays, or the cousin's monthly meds, or grandma's rent, or a sister's children's school. At times, even for my cousin's son's twin daughters' medical check up/clothes/baby stroller all wrapped up in one single phone call (take advantage of that prepaid calling card right? Why buy 2 when you can pack all three requests into one call).

The debate, which obviously does not include the opinions of that "needed and extended family" is something like this: Is the money being sent to our countries of origin, helping or hurting their respective local economy? There are answers and there are answers to the answers.

Some people, mostly among the college educated young adults, seem to hint that the money is not spent in ways that help the local economy because it creates mainly dependency and consumerism. To us, the immigrant sending the money is not even a debate. The family needs it and we are to send it. If not, then risk being regarded as a heartless materialistic pig who have no compassion for the needy poor relatives facing daily hardships.

In internet forums such as www.ayvevos.com and other online communities where Salvadorean meet and voice our opinions and concerns, the majority appears to be of the opinion that the money sent helps only temporarily and just to meet the immediate needs but that hardly any of it goes into savings, investment, property, property improvements, or to start up a small business and therefore, the money is spent as soon as it is received and it ends up in the hands and bank accounts of big business. In other words, it does not improve lives in the long run and when it does, it is only in a minimal scale by comparisson.

Salvadoreans are sending around 2.5 billion dollars (US $$) a year. Mexicans on the other hand are sending the equivalent of what the country produces in crude oil and the foreing investment combined. And most of that money goes mainly to provide spending cash for the families and relatives of the working immigrants.

So, where is all this money really going? If it's utilized to mainly pay for goods and services, a small part stays in the local economy and the greater portion, must go back to the producers, makers and processors of all those goods.

Maybe it's true that the money is primarily sustaining the consumerism frenzy which otherwise would be impossible for the poor in my country and thus creating dependency which results in less jobs fullfilled since people can time themselves to a small income via money order.

The number of businesses such as Western Union, Banco Agricola, Bank of America and many others alike have gone through the roof; and even the US Post Office is in the line of transferring funds to Mexico and other countries.

In 2005, I spent $10,000 to rebuild my aunt's and cousin's house. The house was desperately in need of real repairs. The roof was leaking everywhere. The floor tile dilapidated. The paint on the outside, around, and inside walls had decayed for decades. The water comming in from the roof and which had trickled running over the walls had damaged and streaked all the walls. The doors and windows were broken. The entire place looked like an abandoned old haggar house even though my family was still living in it. So, I decided to stepping and help with the cost of rebuilding and repairs. After getting a couple of quotes from local construction guys, we went with the one who seem to be the more experienced and much more technically savvy.
It paid off. He did a great job. When we went back on 2006. My wife and I were very pleased with the results. The house had been transformed into a place of dwelling. We were so pleased that we decided to throw in some new furniture as well. Good roof, good floor, windows, doors, a patio, a corridor protected with iron work, new kitchen, new bathroom and we also included plumbing ready to be hooked up to the water main. All drains connected to the street sewage. We were very pleased as to how things turned out. But I couldn't do it alone. My wife and I supplied the money; while a couple of friends supplied to logistics of talking to my family and the constructor and supervising the actual work and they were incharged of communicating with us all the time about the progress and result of the project by sending us pictures, scanned receipts for all materials and payments to the constructor, and an overall feeling as to where and how things were going. The end result was a complete success in providing a decent place for my family to live and for my cousin to raise her two young sons.

I would like to believe that our efforts as immigrants for the betterment of our families back home is worthwhile and that not everything is lost in a cra ze and frenzy of consumerism and spending.

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