Philippines: Growth in remittances softens in September
November 15, 2016
In September, cash remittances from Overseas Filipino Workers (OFW) grew 6.7% from the same month of last year to USD 2.4 billion. The reading came in below the previous month’s strong 16.3% increase, which had marked the sharpest growth rate since March 2014.
The overall trend improved slightly, as cash remittances totaled USD 26.5 billion in the 12 months up to September, up from August’s USD 26.4 billion. The reading represented a 3.2% expansion over the same period of the previous year, up from the previous month’s 2.7% rise, and was the highest reading on record. Remittances, which accounted for approximately 9.8% of GDP in 2015, are an important source of income for many Filipino families and thus one of the main drivers of private consumption. Remittances in September came mainly from the United States, Saudi Arabia, the United Arab Emirates, Japan, Qatar, Taiwan and Kuwait.