OFW remittances reach 3-month high in March

  • Page Views 754
  • MONEY sent home by overseas Filipino workers (OFWs) rose to a three-month high in March, the Bangko Sentral ng Pilipinas (BSP) reported on Wednesday.

    Personal remittances — made up of OFWs’ net compensation; personal transfers, whether in cash or kind; and capital transfers between households — reached $2.796 billion in the month, 6.4 percent higher than the $2.627 billion posted a year earlier, and 9.3 percent higher than the $2.557 billion booked in February.

    The amount was the highest posted since December 2018.

    In a comment, Rizal Commercial Banking Corp. economist Michael Ricafort attributed the latest growth to base effects and seasonality.

    “The faster growth… may have to do with lower base/denominator effects a year ago,” Ricafort said.

    He noted that remittances in March last year fell by 9.9 percent after the government briefly banned the deployment of OFWs to Kuwait and threatened to do the same in other countries that have cases of abused Filipino workers.

    “In a typical year, seasonal increase in OFW remittances and conversion to pesos also happen in March to fund increased spending for graduation celebrations, as well as preparations for Holy Week holiday-related spending (considered also as a major spending for families in a typical year), and also for upcoming tuition payments,” Ricafort said.

    The March figure brought first-quarter remittances to $8.098 billion, 3.7 percent higher than the $7.809 billion registered in the comparable 2018 period.

    “The continued growth in personal remittances during the first three months of 2019 was driven by steady remittance inflows from land-based OF workers with work contracts of one year or more, which aggregated to $6.2 billion, and compensation of sea-based workers and land-based workers with short-term contracts, which totaled $1.7 billion,” BSP Governor Benjamin Diokno said in a statement.

    Cash remittances, which only count money coursed through banks, rose by 6.6 percent to $2.514 billion in March from $2.360 billion a year earlier. It also rose by 9.2 percent from $2.301 billion in February 2019.

    “Of the 6.6 percent growth in March 2019, 2.0, 1.7 and 1.2 percentage points were contributed by the United States, Singapore and the United Kingdom, respectively,” Diokno added.
    Year to date, cash remittances grew by 4.2 percent to $7.299 billion from $7.006 billion last year.

    “This growth was buoyed by the increase in remittances from both land-based ($5.71 billion) and sea-based ($1.58 billion) workers, which rose by 2.5 percent and 10.8 percent, respectively,” Diokno said.

    By country source, the US registered the highest share of overall remittances for the period at 35.1 percent, he added.

    It was followed by Saudi Arabia, Singapore, United Arab Emirates, the UK, Japan, Canada, Qatar, Hong Kong and Kuwait.

    The combined remittances from these countries accounted for almost 78 percent of total cash remittances from January to March 2019.

    OFW remittances hit $32.21 billion last year, the “highest annual level to date,” the central bank said. (M. Caraballo, TMT)

    Share

    New Posts Recently publish post More

    • 12 December 2019
      2 days ago No comment

      Filipino Olympians honoured at SEA Games

      The fourth day of the 30th SEA Games brought the past to the present, as the Philippine Olympians Association held an event where Philippine Olympians of the past were honoured. Each Olympian was given an OLY pin, to confirm them as a member of the POA. The pins were ...

    • 12 December 2019
      2 days ago No comment

      Philippines wins overall SEA Games championship

      MANILA-After a dominant two weeks, the Philippines has finished the 30th edition of the Southeast Asian Games with a haul of 149 gold medals, 117 silvers, and 121 bronze. Taking a shocking 23 medals on Day 1, the Philippines managed to surpass their totals from the last SEA Games ...

    • 09 December 2019
      6 days ago No comment

      Boy Abunda’s mother passes away at 90

      The Abunda family is mourning the passing of their matriarch, Licerna Abunda. Licerna ‘Lesing’ Romerica Abunda, the mother of veteran television host and talent manager Boy Abunda, has passed away at the age of 90. Earlier today, December 2, her daughter, Eastern Samar congresswoman Maria Fe Abunda, shared that ...

    • 09 December 2019
      6 days ago No comment

      A thousand memes, Baby Yoda breaks internet

      Baby Yoda may stand only a few inches tall, communicating with high-pitched squeaks and mischievous gestures, but the adorable green creature has loomed large online, causing a global social media meltdown. The cute, wide-eyed tyke, unveiled three weeks ago in the premiere of Disney’s live-action Star Wars series “The ...

    • 09 December 2019
      6 days ago No comment

      ‘Dead Kids’ will keep you hooked until the very end- Netflix

      Mikhail Red’s “Birdshot” (2016) was the first Filipino film to stream on the Netflix platform. There had since been several other Filipino films to reach worldwide viewership this way. This year, Red goes one step further with his latest film “Dead Kids,” which gains the distinction as the first ...

    %d bloggers like this: