MANILA, Philippines– Remittances from overseas Filipino workers (OFWs) continued to rise in May 2018, the Bangko Sentral ng Pilipinas (BSP) said on Monday, July 16.
Personal remittances from OFWs reached $2.7 billion in May 2018, up 6.1% from the same month last year. The figure is also slightly higher than the $2.6 billion registered in April 2018.
OFWs were able to send a total of $13.2 billion from January to May, 4.4% higher year-on-year. Land-based OFWs with work contracts of one year or more were able to send a total of $10.2 billion, while sea-based and land-based workers with short-term contracts contributed $2.7 billion.
Similarly, cash remittances coursed through banks rose by 6.9% to $2.5 billion in May. Cash remittances sent by land-based workers ($1.9 billion) and sea-based workers ($0.5 billion) grew by 5.3% and 13.2%, respectively.
Most of the cash came from OFWs in the United States, the United Kingdom, and Singapore.
On a year-to-date basis, cash remittances have registered a 4.2% increase to reach $11.8 billion.
Cash remittances from the US, Saudi Arabia, Singapore, United Arab Emirates, UK, Japan, Qatar, Hong Kong, Germany, and Kuwait accounted for about 78% of total cash remittances sent through banks.
OFW remittances reached an all-time high of $31.29 billion in 2017, 5.3% higher than the $29.7 billion recorded in 2016 and beating the 4% projection of the central bank.
Remittances help fund the widening current account deficit of the country and serve as a buffer from external shocks. – Rappler.com