MONEY sent home by overseas Filipinos (OFs) fell for a second straight month in May to a one-year low, Bangko Sentral ng Pilipinas (BSP) data showed on Wednesday.
Personal remittances, which include cash sent through banks and informal channels, dropped by 0.13 percent month on month but rose 2.1 percent from the year-earlier $2.97 billion.
Cash remittances alone totaled $2.71 billion, lower by 0.18 percent compared to April’s P2.72 billion but up 2.0 percent from May 2025’s P2.66 billion.
Both were the lowest since May 2025’s P2.97 billion and P2.66 billion, respectively.
To date, personal and cash remittances were 2.6 and 2.5 percent higher at P15.7 billion and P14.11 billion from January-May 2025’s P15.34 billion and P13.77 billion.
Land-based workers accounted for the bulk of cash remittances at $2.17 billion, up from $2.12 billion a year earlier, while sea-based worker remittances remained at $540 million.
Union Bank of the Philippines chief economist Ruben Carlo Asuncion said the data suggested that growth remained “positive but may be losing some momentum.”
“More importantly, the renewed risk of a US-Iran escalation raises the possibility that the impact on OFW (overseas Filipino worker) employment and deployment in the Middle East could become more visible in the months ahead,” he added.
“While remittances remain resilient for now, we believe downside risks have increased and may not yet be fully reflected in the latest data,” he added.
The United States continued to account for the biggest share with 39.4 percent, followed by Singapore (7.4 percent), Saudi Arabia (6.4 percent), Japan (5.1 percent), and the United Kingdom (4.6 percent).
Rounding out the top 10 were the United Arab Emirates (4.3 percent), Canada (3.3 percent), Qatar (2.9 percent), Taiwan (2.8 percent), and Korea (2.7 percent).
The BSP said there were limitations on data by source, as remittance centers abroad normally send the money through correspondent banks that are mostly located in the US.
Also, remittances sent through couriers are recorded under the country where their main offices are located, which again in many cases is the US.
“The US appears to be the main source of OF remittances by origin, because the remitting or correspondent banks are mostly located in the US,” the central bank said.
“The data does not imply that the funds were generated within the US,” it added.
