Overseas Filipinos’ cash remittances coursed through the banking networks rose by 2.7 percent year-on-year to $10.167 billion as of end-April from $9.898 billion, data from the Bangko Sentral ng Pilipinas (BSP) showed.
For the month of April only, cash remittances went up by 3.9 percent to $2.395 billion from $2.305 billion same period in 2021.
The BSP said on Wednesday, June 15, that cash remittances expanded due to the growth in receipts from land-based workers which rose by 4.7 percent to $1.863 billion from $1.779 billion last year. Fund transfers from sea-based workers, meantime, also went up by 1.4 percent to $533 million from $526 million.
“The growth in cash remittances from the United States (US), Saudi Arabia, Japan, Taiwan, and Singapore contributed largely to the increase in remittances in January – April of 2022,” said the BSP.
The US continued to register the highest share of overall remittances at 41.2 percent in the first four months of 2022, followed by Singapore, Saudi Arabia, Japan, the United Kingdom, the United Arab Emirates, Canada, Qatar, South Korea, and Taiwan. “The combined remittances from these top ten countries accounted for 79.2 percent of total cash remittances during the period,” said the BSP.
As for personal remittances, overseas Filipinos sent home $11.317 billion as of end-April, up by 2.6 percent from $11.028 billion same time in 2021.
Personal remittances for the month of April also increased by 3.8 percent year-on-year to $2.671 billion from $2.574 billion.
According to the BSP, the increase in personal remittances in April was due to land-based workers with work contracts of one year or more, which sent $2.022 billion, up by 4.7 percent year-on-year from $1.931 billion.
Sea- and land-based workers with work contracts of less than one year, also remitted $581 million during the period, up 1.4 percent from $574 million in April 2021.
The BSP continues to pursue initiatives to enhance and improve the environment of remittances as one of the country’s primary foreign currency source.
These initiatives are: enhancing transparency and fostering competition in the remittance market; promoting efficient and speedy transfer of funds to beneficiaries particularly in remote areas of the country; and encouraging overseas Filipinos and their families to channel remittances into savings and investments.
The BSP is projecting cash remittances to grow by four percent this year, however BSP Governor Benjamin E. Diokno said in March that it is possible for remittances to grow higher or by five percent.
In 2021, cash remittances increased by 5.1 percent year-on-year to a record high of $31.42 billion but was off the expected six percent growth for the year.