Personal remittances from Overseas Filipinos (OFs) registered a 5.2 percent growth to reach US$25.7 billion for the first ten months of 2017. For October alone, personal remittances grew by 9.7 percent to US$2.6 billion compared to US$2.3 billion a year ago, BSP Governor Nestor A. Espenilla, Jr. announced today. Personal remittances from land-based OFs with work contracts of one year or more including other household-to-household transfers posted an increase of 4.2 percent (at US$19.8 billion) and those from sea-based and land-based OFs with work contracts of less than one year increased by 4.1 percent (at US$5.3 billion) for January to October of 2017.1
Likewise, OFs cash remittances coursed through banks grew by 8.4 percent year-on-year to US$2.3 billion in October 2017. The top countries that contributed to the increase in total cash remittances during the month were the United Arab Emirates (UAE) and United States (US). For the first ten months of 2017, cash remittances reached US$23.1 billion, or a 4.2 percent increase compared to the US$22.1 billion registered in the same period in 2016. The increase was boosted by the increase in remittances from land-based workers and sea-based workers, which both grew by 4.2 percent compared to the level posted a year ago.
Cash remittances coming from the US, UAE, Saudi Arabia, Singapore, Japan, United Kingdom, Qatar, Kuwait, Germany, and Hong Kong comprised about 80.2 percent of total cash remittances in the first ten months of 2017. 2
1As defined in the Balance of Payments Manual, 6th Edition (BPM6), personal remittances represent the sum of net compensation of employees (i.e., gross earnings of overseas Filipino (OF) workers with work contracts of less than one year, including all sea-based workers, less taxes, social contributions, and transportation and travel expenditures in their host countries), personal transfers (i.e., all current transfers in cash or in kind by OF workers with work contracts of one year or more as well as other household-to-household transfers between Filipinos who have migrated abroad and their families in the Philippines), and capital transfers between households (i.e., the provision of resources for capital purposes, such as for construction of residential houses, between resident and non-resident households without anything of economic value being supplied in return). The BSP started to release data on personal remittances in June 2012.
2 Remittance centers in various cities abroad course remittances through correspondent banks, most of which are located in the U.S. These remittances coursed through money couriers cannot be disaggregated by actual country source and are lodged under the country where the main offices are located, which, in many cases, is in the U.S.
Source: Bangko Sentral ng Pilipinas (BSP)