Philippines: Remittances rebound in May
July 17, 2017
In May, cash remittances from Overseas Filipino Workers (OFW) expanded 5.5% from the same month of the previous year to USD 2.3 billion. The reading contrasted the sizeable 5.9% contraction recorded in the previous month.
The overall trend also improved as cash remittances totaled USD 27.4 billion in the 12 months to May, matching March’s multi-year high and marginally up from April’s USD 27.3 billion. The result was 5.1% higher than the same period of the previous year, mirroring the previous month’s growth rate. 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 May was mainly due growing remittances from the United Arab Emirates, Canada, Saudi Arabia and the United States.