Remittances expected to sustain growth
The continued recovery of economies hosting overseas Filipino workers (OFWs) is expected to further support expansion of remittances, one of the strong pillars of domestic growth, according to a report by Philippine News Agency.
The Bangko Sentral ng Pilipinas (BSP) on Thursday reported the 2.3 percent year-on-year increase in personal remittances last July, bringing the year-to-date volume to USD20.33 billion, higher than the USD19.78 billion in the same period in 2021.
In a report, Rizal Commercial Banking Corporation (RCBC) chief economist Michael Ricafort said year-on-year growth of remittances last July is lower than the 2.5 percent expansion of inflows in the same period last year, but is the highest after the USD2.987 billion in December 2021.
Ricafort attributed the lower year-on-year expansion of the July figure partly to elevated inflation in most parts of the world, which also resulted in central banks’ decisions to increase their key rates.
These factors, he said, dampened global economic recovery as well as OFW employment and income.
“Going forward, any further recovery in OFW remittances in the coming months would also largely depend/be a function of the further/faster recovery of the economies of the major host countries around the world from Covid-19 (coronavirus disease 2019) lockdowns, in able for some OFWs to be able to work again, as well as the pace of restoring/regaining jobs lost by some adversely affected OFWs in the same or different industry/host country,” he added.
Ricafort said OFWs who are working in pandemic-hit industries, such as tourism and travel, are seen to regain their jobs given the resumption of operations of firms in these sectors, backed by governments’ bid towards her immunity.
He said continued diversification of deployment areas for OFWs is also a plus for the resiliency of remittances.
“Aging population in some developed countries also structurally increased the demand for OFWs in recent years, especially amid tighter labor markets in some host/developed countries due to better economic recovery prospects,” he added.
Set to bring innovative education to the forefront, iACADEMY SHS Principal Paolo Antonio Noceda joins the board of trustees of Asosasyon ng mga Pribadong Paaralan ng Makati, Inc. (APPMI), and represents iACADEMY in the group of private schools in Mak...
The local government said it has validated 30 centenarians here who will receive cash incentives worth P200,000 each on Oct. 3, according to a report by Philippine News Agency. Lawyer Marlisa Gallo, City Social Welfare and Development Office (C...
The Philippine Sports Commission (PSC) provided booster shots to its employees and even the national athletes and coaches who have yet to receive one as the sports agency continues its fight against the coronavirus disease 2019 (Covid-19), accor...
Lt. Gen. Rhodel Sermonia has been named Officer-in-Charge (OIC) of the Office of the Deputy Chief for Administration, the Philippine National Police's (PNP) second highest post, in place of Lt. Gen. Jose Chiquito Malayo who reached the mandatory ...