Cash remittances up 5.6 pct in February

Posted at 04/15/2014 5:33 PM

MANILA, Philippines - Remittances continued to grow in February, as demand for overseas Filipino workers remained strong, the Bangko Sentral ng Pilipinas (BSP) said.

Cash remittances, which help power domestic consumption,
grew 5.6 percent year-on-year to $1.79 billion in February. The total cash remittances for the first two months of the year reached $3.59 billion.

Total personal remittances, which represent the sum of net compensation, household-to-household transfers in cash and kind, and capital transfers of overseas Filipino workers, rose 6.0 percent year-on-year to $1.99 billion in February. This brought the two month total to $3.996 billion.

"Personal remittances continued to draw strength from the steady rise in transfers from land-based workers with long-term contracts, and sea-based and land-based workers with short-term contract," the BSP said.

The major sources of cash remittances in February were the United States, Saudi Arabia, United Arab Emirates, United Kingdom, Singapore, Japan, and Canada.

"The continued demand for skilled overseas Filipino workers contributed partly to the steady flow of remittances," the BSP said.

Citing data from the Philippine Overseas Employment Administration, the BSP said there were 75,064 approved job orders in the January to February period.

"Reports from the Department of Labor and Employment showed that the Middle East, Asia, and Oceania remain possible employment options for overseas Filipino workers," it added.

The increase in the number of bank and non-bank remittance service providers abroad also helped sustain the growth in remittances from OFWs.

The BSP expects remittances this year to grow 5 percent from a record $22.97 billion last year. - With Reuters