Remittances fall to 12-month low in May

Money sent home by overseas Filipinos (OFs) grew year-on-year, albeit at a 12-month low in May, data released by the Bangko Sentral ng Pilipinas (BSP) on Tuesday showed.

Cash remittances or money transfers coursed through banks or formal channels reached $2.658 billion in May, up 2.9% from $2.583 billion in the same month last year, but slightly lower than the $2.664 billion in April.

This was also the lowest in 12 months since the $2.583 billion in money transfers seen in May 2024.

Year-to-date cash remittances stood at $13.766 billion, up 3.0% from $13.365 billion the same period last year, with the biggest share, or 40.2%, coming from the United States.

Year-to-date cash remittances stood at $13.766 billion, up 3.0% from $13.365 billion the same period last year, with the biggest share or 40.2% coming from the United States.

“The increase in cash remittances drove an increase in personal remittances as well,” the BSP said.

Singapore came in second with 7.4%, followed by Saudi Arabia with 6.4%, Japan with 5.0%, the United Kingdom with 4.6%, the United Arab Emirates with 4.2%, Canada with 3.3%, Qatar with 2.9%, South Korea with 2.8%, and Taiwan with 2.7%. Other countries made up the remaining 20.9%.

The central bank defines personal remittances as cash sent home by OFs through banks and informal channels as well as remittances in kind.

Personal remittances or the sum of transfers sent in cash or in-kind via informal channels came in at $2.971 billion, slightly lower than the $2.975 billion in April, but higher than the $2.884 billion in May 2024. —VAL, GMA Integrated News