Philippines: Growth in remittances continues to pick up in August
October 16, 2017
In August, cash remittances from Overseas Filipino Workers (OFW) reached USD 2.5 billion, a 7.8% increase from the same month of the previous year. The reading followed 7.1% growth in July and marked the fastest year-on-year increase in five months.
The overall trend also improved as cash remittances in the 12 months up to August totaled USD 27.9 billion, slightly up from July’s USD 27.7 billion and a multi-year high. August’s 12-month total was 5.6% higher than the same period of the previous year, down from July’s 6.2% increase. Remittances, which accounted for approximately 9.8% of GDP in 2016, are an important source of income for many Filipino families and thus one of the main drivers of private consumption. The expansion registered in August was mainly due to growing remittances from the United States, the United Arab Emirates, Singapore and Qatar.