Philippines: Remittances expand healthily in February
April 15, 2016
In February, cash remittances from Overseas Filipino Workers (OFW) rose 9.1% over the same month last year and reached USD 2.1 billion. The reading marked the fastest expansion in eight months and followed January’s softer 3.4% growth. The overall trend ticked up, as cash remittances totaled USD 26.0 billion in the 12 months up to February, which slightly exceeded January’s USD 25.8 billion and marked a new record. The reading represented a 4.6% expansion over the same period of the previous year, which was up slightly from January’s 4.5% rise. Remittances, which accounted for approximately 9.8% of GDP in 2015, are an important source of income for many Filipino families and thus a main driver of private consumption. Remittances came mainly from the United States, Saudi Arabia, the United Arab Emirates and Singapore.FocusEconomics Consensus Forecast panelists expect private consumption to grow 6.0% in 2016, which is unchanged from last month’s projection. For 2017, the panel expects private consumption to expand 5.8%.