MANILA, Philippines – Personal remittances from overseas Filipinos reached its highest ever in 2024, totaling $38.34 billion — 3% more than the $37.21 billion in 2023.
In a statement on Monday, February 17, the Bangko Sentral ng Pilipinas (BSP) said inflows from the United States, Saudi Arabia, Singapore, and the United Arab Emirates were key drivers of the increase. Remittances from the US accounted for 40.6% of the cash sent home in 2024, followed by Singapore and Saudi Arabia.
As explained by the BSP, the US is the main source of remittances because the “common practice of remittance centers in various cities abroad is to course remittances through correspondent banks, most of which are located in the US.”
Meanwhile, cash remittances coursed through banks also inched up 3% to $34.39 billion from $33.49 billion in 2023.
There were 10.7 million overseas Filipinos as of December 2022, with 5.1 million or 47% of them in North America; 2.6 million or 24.3% in Asia-Pacific; 2.37 million or 22% in the Middle East, according to the Department of Foreign Affairs.
The full-year remittances boosted household income and consumption, accounting for 7.4% of the country’s gross national income and 8.3% of the gross domestic product in 2024.
December was also a record month for personal remittances. OFW money totaled $3.38 billion in December 2024 from $3.28 billion the previous year as both land-based and sea-based workers sent more funds back home.
These all-time high numbers come as the peso continues to weaken and commodity prices back home are on a steady rise.
The peso reached a two-year low of P59 per dollar in 2024.
Meanwhile, December marked the third straight month of rising inflation jumping to 2.9% from 2.5% in November and 2.3% in October. House rentals and higher electricity prices were among the culprits of the country’s quickening inflation rate. – Rappler.com