Cash Remittances Climb 3.7% in June 2025, Driven by Strong OFW Inflows

Business | Finance Posted on 2025-08-16 22:33:34

MANILA – Cash remittances from overseas Filipino workers (OFWs) rose by 3.7 percent year-on-year in June 2025 to USD2.99 billion, up from USD2.88 billion in the same month last year, the Bangko Sentral ng Pilipinas (BSP) reported Friday.

Inflows from land-based OFWs grew 3.7 percent to USD2.43 billion, while remittances from sea-based workers also increased 3.5 percent to USD555 million.

For the first half of 2025, cash remittances reached USD16.25 billion, marking a 3.1 percent growth compared to USD15.75 billion a year earlier. By source country, the United States accounted for the largest share (40.1 percent), followed by Singapore (7.1 percent) and Saudi Arabia (6.2 percent).

Meanwhile, personal remittances, which include in-kind transfers, rose 3.7 percent in June to USD3.33 billion, bringing the end-June total to USD18.67 billion, also up 3.1 percent year-on-year.

Outlook and Economic Impact

Rizal Commercial Banking Corporation (RCBC) chief economist Michael Ricafort said the sustained growth remains a positive signal for the Philippine economy, as remittances continue to be a vital driver of domestic consumer spending, which makes up about 68 percent of GDP.

He noted that June’s 3.7 percent growth marked the highest monthly inflow in six months, since the USD3.38 billion peak in December 2024.

While possible risks remain from US protectionist policies, Ricafort highlighted that inflows from Singapore, Saudi Arabia, the UAE, Qatar, Taiwan, and Hong Kong posted above-average growth.

Globally, the Philippines remains the fourth-largest recipient of remittances after India, Mexico, and China, buoyed by sustained demand for Filipino seafarers, medical professionals, and other skilled workers.

— NPO News Team / PNA

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