By
Lawrence Agcaoili (The Philippine Star) | Updated January 30, 2018 -
12:00am
BSP Deputy Governor Diwa Guinigundo said remittances from
overseas Filipinos are expected to expand by four percent this year, continuing
to be a major source of foreign exchange for the country. AP
MANILA, Philippines — Remittances are expected to continue
growing despite the setbacks arising from the ban on deployment to Kuwait as
well as the imposition of higher fees on remittances, the Bangko Sentral ng
Pilipinas (BSP) said yesterday.
BSP Deputy Governor Diwa Guinigundo said remittances from
overseas Filipinos are expected to expand by four percent this year, continuing
to be a major source of foreign exchange for the country.
Guinigundo said the decision of Malacañang to ban the
deployment of Filipino workers to Kuwait would have minimal impact as the cash
remittances from Kuwait account for only about three percent of the total.
“On the ban on deployment of OFWs to Kuwait, the impact may
not be significant. Prospective workers may still be deployed to other
countries with demand for Filipino workers,” he said.
Last Jan. 19, Labor Secretary Silvestre Bello III issued
Administrative Order 25 ordering the Philippine Overseas Employment Association
(POEA) to stop the processing and issuing of overseas employment certificates
to all Kuwait-bound workers as President Duterte cited the cases of sexual
abuse of Filipino domestic workers.
There are about 276,000 Filipinos working in Kuwait.
Latest data from the central bank showed cash remittance
coursed through banks climbed four percent to $25.32 billion from January to November
last year compared to $24.34 billion in the same period in 2016.
On the other hand, personal remittances including
house-to-household as well as capital transfers rose 5.1 percent to $28.24
billion from $26.88 billion.
Amid the steady growth, Guinigundo said the amount of
personal and cash remittances from Filipinos abroad would continue to exceed
receipts from the business process outsourcing (BPO) sector.
Revenues of the BPO sector grew 8.5 percent to $16.9 billion
in the first nine months of last year and likely ended 2017 with $22 billion,
while remittances amounted to $25.32 billion from January to November last
year.
_______________________________________
