Five-month remittances hit $13.36 billion 

Cash remittances processed through the banking system totaled $13.365 billion as of the end of May, marking a three percent rise from the same period last year, according to the latest data from the Bangko Sentral ng Pilipinas (BSP).

The BSP reported on Monday that for the month of May alone, bank-transferred remittances saw a 3.6 percent year-on-year increase to $2.583 billion from $2.494 billion.

Cumulative personal remittances also grew by three percent to reach $14.894 billion, compared to $14.459 billion in the corresponding period last year.

On a monthly basis, personal remittances climbed by 3.7 percent to $2.884 billion from $2.782 billion in May 2023. Personal remittances encompass an overseas Filipino’s net compensation, including personal and capital transfers between households.

The BSP attributed the growth in cash remittances primarily to increased receipts from the US, Saudi Arabia, and Singapore during the first five months of the year.

The US remained the largest contributor, accounting for 40.9 percent of total remittances, followed by Singapore (7.2 percent), Saudi Arabia (6.1 percent), Japan (5.1 percent), United Kingdom (4.7 percent), and United Arab Emirates (4 percent).

Data indicated that cash remittances grew due to higher transfers from both land-based and sea-based workers. Land-based workers sent $10.6 billion, up 3.3 percent from $10.26 billion last year, while sea-based workers remitted $2.77 billion, a 1.7 percent increase from $2.72 billion.

Additionally, personal remittances from land-based workers with contracts of one year or more amounted to $11.47 billion, up 3.1 percent from $11.13 billion last year. Sea- and land-based workers with contracts of less than one year sent home $3.05 billion, a 2.4 percent increase from $2.98 billion in 2023.

Looking ahead, the BSP anticipates a three percent year-on-year growth in cash remittances for 2024. These projections reflect the total value of private income transfers sent back by Filipino overseas workers through formal channels, including banks and money transfer operators.