Households with Venezuelan members contribute an estimated USD 900 million annually to Ecuador’s economy through the consumption of goods and services, according to a new study by the International Organization for Migration (IOM). The findings underscore the significant role of migrants in supporting economic growth and development across Latin America and the Caribbean. Kristina Mejo, IOM Ecuador Chief of Mission, emphasized that when migrants have access to rights and opportunities, they contribute substantially to host societies, benefiting both migrant families and local communities.
Ecuador currently hosts approximately 441,000 Venezuelans out of the 6.9 million residing in the region, presenting opportunities to further leverage migration for economic growth. The study also estimates that Venezuelan households contribute nearly USD 47 million annually in taxes, aided by Ecuador’s policies that improved documentation, access to formal employment, social security, financial services, and recognition of academic credentials.
Venezuelans in Ecuador are predominantly young and productive, with over 70 percent of working age and educational levels comparable to Ecuadorians. However, the study found that about 66 percent are employed informally despite professional qualifications, and only 30 percent work in their field of expertise. Women face additional challenges, with nearly 69 percent in informal jobs earning less than the minimum wage.
Similar IOM studies across Latin America, including in Aruba, Costa Rica, Chile, the Dominican Republic, Peru, Colombia, and Panama, highlight the positive economic impact of migration. In Panama, for example, Venezuelan entrepreneurs have invested over USD 1.8 billion in the past decade, creating around 40,000 jobs. The study concludes that labor inclusion and recognition of skills enhance tax revenues, strengthen social security contributions, and stimulate consumption and investment, emphasizing the importance of building inclusive communities that support migrants’ contributions to development.
