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BSP reports slight growth in remittances

By Michelle Remo
Philippine Daily Inquirer
First Posted 23:54:00 06/15/2009

Filed Under: Remittances, Economy and Business and Finance, Economic Indicators, Overseas Employment

MANILA, Philippines?Remittances from overseas workers grew slightly in April, substantiating fears that job cuts abroad would temper the rise in money they send home.

The Bangko Sentral ng Pilipinas reported Monday that remittances reached $1.4 billion in April, up 2.2 percent over that of the same month last year. Monetary officials said that growth in remittances was expected to decelerate this year because of the global downturn.

The BSP has projected zero growth in remittances for the entire year. In 2008, remittances grew 13.7 percent to $16.4 billion.

The amount of money sent by overseas Filipino workers (OFWs) in April brought the total figure in the first four months of the year to $5.5 billion, up 2.6 percent from that of the same period last year.

The BSP said that even a measly growth in remittances this year would be welcome, explaining that the projected remittances of at least $16.4 billion this year would still be substantial enough to allow growth in household consumption, a major driver of the economy.

The BSP said remittances came mostly from Filipinos based in the United States, Canada, Saudi Arabia, United Kingdom, Singapore, United Arab Emirates, Italy and Germany.

The BSP also said deployment of Filipino workers abroad was still high, contrary to what some economists had projected for this year.

The BSP said the number of Filipinos so far laid off abroad was being offset by the deployment of more Filipinos to alternative labor markets overseas.



Copyright 2011 Philippine Daily Inquirer. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.



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