RiaBlog

A Brief History of Remittances and Immigration in Colombia

A Brief History of Remittances and Immigration in Colombia

July 11, 2019 4 min read

A Brief History of Remittances and Immigration in Colombia

Colombia, the land of magic realism and the second most populated country in South America, has always had a close relationship with its neighbors. Since the era of the Gran Colombia, the brainchild of political leader Simón Bolívar, the borders of what is today the Republic of Colombia have witnessed the comings and goings of many migrants, with significant amounts of remittances sent to and from Colombia.

Let’s take a closer look.

A (Very) Brief History of Colombia

According to archeological research, the territory of present day Colombia has been occupied since at least 12,000 BCE by Indigenous civilizations. Throughout the years, these early settlements established themselves into structured societies that cultivated lands and developed their own political systems. Among these nations were the Quimbaya, the Zenú, and the Muisca, to name a few of these pre-Columbian societies and cultures. It is also known that, before the arrival of the Europeans, the Muisca formed a Confederation of rulers among themselves, which demonstrates how complex the organization of the original inhabitants of Colombia was.

After the arrival of the Spanish, the New Kingdom of Granada was founded, and thus began the establishment of different land properties such as the encomiendas. Later, in the 18th century, this political entity and its provinces were reorganized into a Viceroyalty of New Granada with more territories, and Bogotá, its capital, became an important administrative center of the Spanish crown. In 1810, the Viceroyalty became independent from the Spanish empire, developing into the country known as the United Provinces of New Granada. From there, further political developments brought the country under a short-lived Granadine Confederation, the United States of Colombia, and finally the Republic of Colombia, founded in 1886.

Since then, going through complex changes in its politics, economy and society, Colombia – a country with unique landscapes, going from islands to parts of the Amazon rainforest – has turned into one of Latin America’s greatest economies, with the Colombian peso as its currency. It is also one of the most important leaders of the region, being part of significant worldly institutions such as the Organization of American States (OAS) and the North Atlantic Treaty Organization (NATO), to name a few.

Colombian Immigration

The economy of Colombia is diversified, has a strong internal demand, and has been growing at a reasonably stable rate in recent times. Even so, the country has been subject to migration waves, with many Colombians choosing to live abroad. The Colombian Ministry of Foreign Affairs distinguishes three migration waves in Colombian history, the first taking place in the 1960s with the United States as primary destination, the second in the 1980s to Venezuela, and the third in the 1990s to Spain.

The United States wave was led by middle- and upper-class migrants with a good command of the English language who were looking for job opportunities or escaping political unrest. Today, around a million Colombians reside in the United States.

Given that Colombia is the fourth largest coal producer, third largest coffee exporter and second largest cut flowers exporter in the world, as well as the fourth largest oil producer in Latin America, its industry drives immigration from neighboring countries, China and Japan.

Although more than 721,000 Colombians had moved to Venezuela by 2011, the recent socio-economic crisis has led many to return, bringing with them a wave of one million Venezuelans looking for a fresh start. The Colombian foreign minister stated that this number could reach four million by 2021.

On the other hand, migration to Spain was led by middle- and working-class women migrants from the Eje Cafetero, a diaspora which peaked in 1998. Currently, over 200,000 Colombians are living in Spain, making it the fourth largest foreign population in the Iberian country. However, many nationalized and native Spaniards have moved to Colombia since the 2008 crisis, totaling 36,281 according to INE (Instituto Nacional de Estadísticas, National Statistics Institute).

The impact of Colombian remittances

In 2020, more than US$ 6.9 billion were sent in remittances to Colombia. Despite the fact that this number represents approximately 2.5% of the country’s GDP, Colombia is the fourth highest recipient of remittances in Latin America, according to World Bank Data. At the same time, migrant workers in Colombia sent US$ 259 million abroad.

Colombia is both an important sender and receiver of remittances, an ecosystem in which funds reach those who need it most at home or abroad.

Ready to send money to Colombia with Ria? Download our app for iOS or Android today to get started!

This is an installment of our “Brief Histories” Series. Continue discovering: Poland, Senegal, Malaysia, Philippines, Canada, Italy, Georgia, Dominican Republic, Morocco and Ukraine.

To expand and download the infographic, click here.

Related posts

How to Send an International Money Order: A Complete Guide 
Remittances

How to Send an International Money Order: A Complete Guide 

While international money orders may seem archaic compared to instant transfers via apps or online banking, they continue to serve as a reliable means of transferring funds across borders, especially for individuals without access to digital financial services. What is an International Money Order? An international money order is a payment instrument issued by a […]

March 19, 2024

How Migrants Can Send Money Home with Ria 
Remittances

How Migrants Can Send Money Home with Ria 

International migrants comprise around 3.5 percent of the global population; an estimated 281 million people. And the money they send back home is a powerful force supporting the global economy: remittance flows reached $630 billion in 2022, according to the World Bank.   But remittances are more than just monetary transactions. Every hard-earned dollar or euro […]

February 27, 2024

Hurricane in Guerrero, Mexico: What We’re Doing to Help
Remittances
Ria News

Hurricane in Guerrero, Mexico: What We’re Doing to Help

Last week, the Mexican state of Guerrero suffered severe damage as a result of Hurricane Otis. At least 48 people have lost their lives and dozens more remain missing. From all around the world, the Ria community sends our love and support to our colleagues, costumers, and friends affected by this tragedy. Here’s what we’re […]

November 2, 2023

Learning poverty is getting worse. What can we do about it? 
Remittances

Learning poverty is getting worse. What can we do about it? 

Access to consistent quality education has the power to change lives for the better and set children on a path toward a bright future. It is a fundamental tool for their development and growth, and it also acts as a safeguard against injustices like poverty, violence, exploitation, and abuse.   What is learning poverty?  Children who […]

August 17, 2023