Remittances from overseas Filipinos up by 2.6% in March

The BSP attributed the increase in cash remittances to the growth in receipts from both land- and sea-based workers. (Pexels photo)

MANILA – Personal remittances of overseas Filipinos (OFs) went up by 2.6 percent in March this year, the Bangko Sentral ng Pilipinas (BSP) said.

Data released by the BSP on Wednesday showed that personal remittances from OFs climbed to USD3.05 billion from USD2.97 billion in March last year.

Personal remittances cover cash sent through banks and informal channels, as well as remittances in kind.

“The increase in personal remittances in March 2024 was due to remittances from land-based workers with work contracts of one year or more and sea- and land-based workers with work contracts of less than one year,” the central bank said.

Of the total personal remittances during the month, cash remittances coursed through banks amounted to USD2.74 billion, higher by 2.5 percent than the USD2.67 billion recorded in March 2023.

The BSP attributed the increase in cash remittances to the growth in receipts from both land- and sea-based workers.

For the first quarter of the year, personal remittances grew by 2.8 percent to USD9.15 billion from USD8.90 billion in the first three months of 2023.

Cash remittances, meanwhile, amounted to USD8.22 billion, also higher by 2.7 percent than the USD8 billion last year.

“The growth in cash remittances from the United States (US), Saudi Arabia, United Arab Emirates (UAE), and Singapore contributed mainly to the increase in remittances in Q1 (first quarter) 2024,” the BSP said.

Top sources of remittances during the month included the US, Singapore, and Saudi Arabia.

Rizal Commercial Banking Corporation chief economist Michael Ricafort said the Philippine remittances from overseas workers have consistently been the fourth largest in the world after India, Mexico, and China, amounting more than USD40 billion per year.

“The Philippines has been among the biggest suppliers of nurses around the world, accounting for at least 20% of the total globally. The Philippines has also been the biggest supplier of seafarers worldwide, accounting for about 20%-25% of the total around the world,” Ricafort said.

“Over the years, deployment of OFWs has also been diversified to include more countries worldwide, especially those outside the traditionally biggest host countries,” he added.

Ricafort said the improved foreign relations with host countries would help sustain the growth in OFW remittances.