The Bangko Sentral ng Pilipinas is keeping a conservative 4-percent growth target for remittances this year, amid the improving trade and rosy outlook for the global economy.
Bangko Sentral Deputy Governor Diwa Guinigundo said in a news briefing Friday that the 4-percent expansion would translate into $28 billion worth of remittances this year, from the record $26.9 billion registered in 2016.
Bangko Sentral reviews the growth target for remittances, alongside other economic data, twice yearly in May and November.
Remittances together with business process outsourcing receipts account for around $50 billion inflows annually and have been the source of the country’s strong external payments position. The $26.9-billion total value of remittances last year accounted for around 10 percent of GDP.
Guinigundo said “global growth this year is seen at 3.5 percent, higher than the 3.1 percent in 2016.”
Latest data showed that money sent home by Filipinos working overseas increased 4.2 percent to $9.036 billion from $8.670 billion in the same four-month period last year.