The growth in remittances sent home by Filipinos living and working abroad is projected to decelerate from 4% in 2022 to 2.5% in 2023 and 2024, aligning with the global outlook for remittances, according to a report published by the World Bank (WB) in partnership with think tank Global Knowledge Partnership on Migration and Development (Knomad).
According to the report titled “Remittances Remain Resilient but are Slowing,” remittances to the Philippines are expected to increase from $38 billion in 2022 to $39 billion this year and $40 billion next year.
In 2022, the Philippines ranked fourth in terms of the amount of cross-border money transfers, following India ($111 billion), Mexico ($61 billion), and China ($51 billion).
The report highlights that recent bilateral agreements between the Philippines and countries hosting overseas-based Filipinos have contributed to the growth of remittances. Additionally, the Philippines, along with Cambodia, stands out among larger East Asian countries with remittances accounting for over 9% of the country’s GDP.
Remittances to the Philippines, the second-largest recipient in the East Asia and Pacific region after China, grew by approximately 4% to reach $38 billion in 2022 compared to $36.7 billion in 2021.
Notable examples include the government lifting the ban on the deployment of workers to Saudi Arabia due to abusive treatment by employers, as well as specific agreements forged by the Filipino government with countries that are members of the Organisation for Economic Cooperation and Development.
The relatively lower cost of sending money to the Philippines has also contributed to the increase in remittances.
The projected decline in inflows to the Philippines is attributed to a slowdown in the movement of workers caused by the resurgence of tourism.
READ: OFW remittances up 3% in March
Denial of responsibility! VigourTimes is an automatic aggregator of Global media. In each content, the hyperlink to the primary source is specified. All trademarks belong to their rightful owners, and all materials to their authors. For any complaint, please reach us at – [email protected]. We will take necessary action within 24 hours.
