By Joann Villanueva | Philippine News Agency
Money sent home by overseas Filipino workers (OFWs) grew by 2.7% on an annual basis in February 2025 to $2.72 billion from year-ago’s $2.65 billion, the Bangko Sentral ng Pilipinas (BSP) reported Tuesday.
Including in-kind remittances, total personal remittances in February reached $3.02 billion, a 2.6-percent jump from the $2.95 billion in the second month last year, data from the central bank showed.
For the first two months of the year, cash remittances jumped by 2.8% to $5.63 billion while personal remittances rose by 2.7% to $6.10 billion.
While growth of remittances continues, Rizal Commercial Banking Corporation chief economist Michael Ricafort forecasts challenges on the inflows in the coming months vis-a-vis the impact of protectionist policies of the Trump government.
“(US President Donald) Trump’s threats of higher tariffs/reciprocal tariffs and other America-first policies could also slow down global trade, investments, employment including some OFW jobs, and overall world economic/GDP (gross domestic product) growth, thereby could also indirectly slow down the growth in OFW remittances from other countries around the world,” he said in a reply to e-mailed questions from the Philippine News Agency.
Ricafort, however, noted that with the Philippines among the largest source of seafarers and medical workers overseas, remittances will remain among the domestic economy’s strong growth drivers and boost domestic spending.
“Total OFW remittances account for nearly 10 percent of the country’s economy/GDP as an important contributor to the country’s consumer spending, which accounts for at least 70 percent of the economy/GDP and also as a source of incomes, wealth, and spending power for many Filipino families around the country,” he added.
