2 days ago
OFW Remittances Reach Six-Month High in June, Driven by Strong Global Demand
Cash remittances from overseas Filipino workers (OFWs) climbed to their highest level in six months in June, fueled by steady demand for Filipino labor abroad and seasonal household spending.
According to Bangko Sentral ng Pilipinas (BSP) data, cash remittances rose by 3.7 percent to $2.99 billion in June from $2.88 billion in the same month last year. Land-based workers accounted for $2.43 billion, growing 3.7 percent year-on-year, while sea-based workers sent $555 million, up 3.5 percent.
For the first half of 2025, total cash remittances reached $16.75 billion, a 3.1 percent increase from the $16.25 billion recorded in the same period last year. Personal remittances also grew 3.7 percent in June, bringing the first-half total to $18.67 billion.
The BSP attributed the growth mainly to inflows from the US, Singapore, and Saudi Arabia. The US remained the top source, accounting for 40.1 percent of overall remittances, followed by Singapore (7.1 percent), Saudi Arabia (6.2 percent), Japan (5 percent), and the UK (4.9 percent).
Economist John Paolo Rivera said the increase reflects strong overseas demand for Filipino workers, particularly in healthcare, construction, and services across the US, Middle East, and Asia. He added that seasonal education and household expenses also boosted inflows.
However, risks such as global economic uncertainties, currency fluctuations, geopolitical tensions, and potential policy changes like the proposed US remittance tax could weigh on future remittances.
The BSP projects cash remittances to grow by 2.8 percent this year and three percent in 2026.
