Remittances up 7.1% in first 2 months

Published April 16, 2018, 12:00 AM

by manilabulletin_admin

By Lee C. Chipongian

Overseas Filipinos’ cash remittances increased by 7.1 percent year-on-year to $4.65 billion as of end-February, mainly coming from workers based in the US, Middle East and Asia, according to a report from the Bangko Sentral ng Pilipinas (BSP).

Remittances sent through the formal channels – or banks – for February alone rose by 4.5 percent to $2.27 billion year-on-year, but lower compared to January 2018’s $2.38 billion.

In a statement, BSP Governor Nestor A. Espenilla Jr. said cash remittances were propped up by fund transfers from land-based workers who sent $3.7 billion during the period, up 6.4 percent from same time in 2017. Sea-based workers remitted $1 billion, higher by 9.8 percent year-on-year.

Data show that for February, overseas Filipinos located in the US, United Arab Emirates (UAE), Germany and Malaysia were the big contributors to the value of remittances.

Remittances from the US and UAE each contributed 1.2 percentage points to the 4.5 percent overall growth, said the BSP. Germany and Malaysia each accounted for one percentage point to total growth in cash remittances.

For the January-February period, bulk of remittances from the US, UAE, Saudi Arabia, Singapore, Japan, United Kingdom, Qatar, Germany, Hong Kong and Canada.

“The combined remittances from these countries accounted for almost 80 percent of total cash remittances,” said the BSP. As explained by the central bank, the US would be indicated as a main source of funds because most correspondent banks are located in the US.

Personal remittances, on the other hand, amounted to $5.18 billion in the first two months of the year, up 8.1 percent from same time in 2017 of $4.79 billion.

For just February, personal remittances went up by 5.4 percent to $2.53 billion.