REMITTANCES INCH UP BY 2.9% IN MAY TO $2.78B

By Raadee Sausa

THEremittances made by overseas Filipino workers (OFWs) in May reached $2.78 billion, higher by 2.9 percent than the $2.70 billion registered in the same month last year, data from Bangko Sentral ng Pilipinas (BSP) showed on Monday.

In a statement, the BSP attributed the increase in personal remittances in May to higher remittances sent by 1) land-based workers with work contracts of one year or more and 2) sea- and land-based workers with work contracts of less than one year.

For the first five months of the year, personal remittances grew by 3.1 percent to $14.46 billion, from $14.02 billion posted in the comparable period in 2022,” it said.

O f the personal remittances from OFWs, cash remittances coursed through banks rose by 2.8 percent to $2.49 billion in May 2023, from the $2.43 billion recorded in the same month last year, data showed.

C ash remittances expansion in May 2023 was traced to the growth in receipts from land- and sea-based workers.

On a year-to-date basis, cash remittances reached $12.98 billion, 3.1 percent higher than the year-ago level of $12.59 billion,” the BSP said.

T he growth in cash remittances from the United States (US), Singapore, and Saudi Arabia contributed mainly to the increase in remittances in the first five months of 2023.

Country sources

MEANWHILE , in terms of country sources, the US accounted for the highest share of overall remittances during the period, followed by Singapore, Saudi Arabia and Japan.

T here are some limitations on the remittance data by source.

A common practice of remittance centers in various cities abroad is to course remittances through correspondent banks, most of which are located in the US.

See “Remittances,” A2