Total inflows from overseas Filipino workers (OFWs) posted a fresh monthly record-high of USD3.49 billion in December 2022, bringing the full-year figure to an all-time high of USD36.14 billion, up by 3.6 percent.<\/p>\n
Data released by the Bangko Sentral ng Pilipinas (BSP) on Wednesday showed that cash remittances last December registered an annual jump of 5.8 percent to USD3.16 billion, up from year-ago\u2019s USD2.99 billion.<\/p>\n
Rizal Commercial Banking Corporation (RCBC) chief economist Michael Ricafort expects further improvement in remittances, citing more opening and recovery of economies hosting OFWs.<\/p>\n
He said these developments open more opportunities for job creation that benefits the OFWs, among others.<\/p>\n
\u201cOFW remittances at new record highs on a monthly basis, a bright spot for the Philippine economy in terms of spurring\/supporting consumer spending, which accounts for at least 75 percent of the economy, and in turn, support faster GDP (gross domestic product)\/economic growth,\u201d he added.<\/p>\n
Remittances account for around 9 percent of the country\u2019s annual output for several decades now and these are among the structural sources of the country\u2019s foreign reserves.<\/p>\n
Ricafort said sustained rise of remittances as of last December \u201cmay be attributed to the relatively higher prices\/inflation that may have required the sending of more remittances to cope up with higher prices of goods and services for OFWs and their families\/dependents in the Philippines.\u201d<\/p>\n
The rate of domestic price increases posted a new 14-year high of 8.7 percent last December due largely to the faster rise in the housing, water, electricity, gas and other fuels index.<\/p>\n
Amidst the growth in remittances, Ricafort said risks remain and among these include the possible recession in the United States, the economic impact of discovery of new and more contagious coronavirus disease 2019 (Covid-19) variants, as well as increased infection cases in China following its reopening in late 2022.<\/p>\n
He said the elevated inflation in countries hosting OFWs \u201ccould potentially reduce OFWs\u2019 disposable income and in turn, the amount of remittances sent to the Philippines.\u201d<\/p>\n
He added Russia\u2019s invasion of Ukraine is another risk as could slow down global economic recovery prospects. (PNA)<\/p>\n","protected":false},"excerpt":{"rendered":"
According to Bangko Sentral ng Pilipinas, the continuous increase of overseas Filipino workers is helping the country’s economy through their remittances. <\/p>\n","protected":false},"author":73,"featured_media":227914,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[19565],"tags":[],"class_list":["post-233615","post","type-post","status-publish","format-standard","has-post-thumbnail","category-business-today"],"zyndk8_nxtgen_metadata":[],"_links":{"self":[{"href":"https:\/\/uptownmanila.com\/index.php?rest_route=\/wp\/v2\/posts\/233615","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/uptownmanila.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/uptownmanila.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/uptownmanila.com\/index.php?rest_route=\/wp\/v2\/users\/73"}],"replies":[{"embeddable":true,"href":"https:\/\/uptownmanila.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=233615"}],"version-history":[{"count":0,"href":"https:\/\/uptownmanila.com\/index.php?rest_route=\/wp\/v2\/posts\/233615\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/uptownmanila.com\/index.php?rest_route=\/wp\/v2\/media\/227914"}],"wp:attachment":[{"href":"https:\/\/uptownmanila.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=233615"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/uptownmanila.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=233615"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/uptownmanila.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=233615"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}