Cash remittances from overseas Filipinos hit a six-month high in June, but growth slowed to its weakest pace in more than four years.
Bangko Sentral ng Pilipinas (BSP) data showed cash remittances rose 1.7% to $3.04 billion from $2.99 billion a year earlier. The growth rate was the slowest since February 2022, when inflows increased 1.3%.
In absolute terms, however, the June figure was the highest since December 2025, when remittances reached $3.52 billion, and the biggest monthly inflow so far this year.
Personal remittances, which include transfers through banks and informal channels as well as remittances in kind, increased 1.8% to $3.39 billion from $3.33 billion in June last year.
For the first half, cash remittances grew 2.4% to $17.15 billion from $16.75 billion a year earlier. Personal remittances likewise rose 2.4% to $19.12 billion from $18.67 billion.
Jonathan Ravelas, senior adviser at Reyes, Tacandong & Co., said the slowdown was not a cause for concern.
“The slowdown in remittance growth to 1.7 percent in June is more a story of moderation than a cause for concern,” Ravelas said.
“A combination of base effects, softer economic conditions in some host countries, geopolitical uncertainties in parts of the Middle East, and timing-related factors likely weighed on growth during the month,” he added.
Despite the slower growth, Ravelas said remittances should continue to provide support to the economy as long as overseas labor markets remain relatively stable.
“As long as global labor markets remain relatively stable, remittances should continue to support household spending, which remains a key driver of economic growth,” he said.
The United States remained the largest reported source of cash remittances in the first half, accounting for 39.4% of total inflows, followed by Singapore at 7.2% and Saudi Arabia at 6.3%. Japan accounted for 5.1%, while the United Kingdom contributed 4.6%.
The BSP said the continued inflows helped support household income, spending and overall domestic demand.
