BSP Data: Personal Remittances Up by 4.4 Percent in August 2022

Editing by Nathaniel Cajuday

According to a report from the Bangko Sentral ng Pilipinas (BSP), the personal remittances from Overseas Filipinos (OFs) have increased to $3.02 billion (about ₱178 trillion) in August 2022, which is higher by 4.4% than the $2.89 million (approximately ₱170 billion) billion posted in the same month last year.

The Central Bank’s data showed that the increase was a result of the rise in cumulative personal remittances which went up by 3.0% to $23.34 billion (more or less ₱1.37 trillion) in the first eight months of 2022 from $22.67 billion (₱1.34 trillion) compared to the same time in 2021.

Moreover, the BSP credited these to two factors: first, land-based workers with work contracts of one year or more; then second, sea-based and land-based workers with work contracts of less than one year. 

Accordingly, the monetary authority noted that cash remittances that went through banks grew by 4.3 percent to $2.72 (∼₱161 billion) billion in August 2022 from $2.61 billion (∼₱153 billion) recorded in August 2021. As per the BSP, the expansion in cash remittances in August 2022 was due to the growth in receipts from land-based and sea-based workers.

“On a year-to-date basis, cash remittances amounted to $20.99 billion in January- August 2022, (went) up by 3.0 percent from US$20.38 billion recorded in the same period last year,” the central bank shared.

Subsequently, considering the limitations on obtaining remittance data per country, the BSP highlighted that the growth in cash remittances from the United States (US), Saudi Arabia, Singapore, and Qatar contributed largely to the increase in remittances in the first eight months of 2022.

Recently, BSP Governor Felipe M. Medalla thanked the banking sector for their collective effort with the central bank to support the country’s economic growth and digitalization. (Read more: BSP Recognizes Banking Industry Efforts In Supporting Economic Growth, Digitalization)

On the other hand, as per the last press release of the BSP, the net foreign direct investments (FDIs) in the Philippines dropped to $460 million in July 2022 from $1.3 billion last year, the lowest since the $455 million record in May 2021. (Read more: Foreign Direct Investments Reaches $460m in July, Lowest in 14 Months – BSP Data)

This article is published on BitPinas: BSP Data: Personal Remittances Up by 4.4 Percent in August 2022

Featured Photo: “Off to the Philippines” by Jeff Youngstrom is licensed under CC BY-NC 2.0. 

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