OFW remittances hit record $35.6-B in 2025

Remittances from overseas Filipino workers climbed 4.2% year-on-year to $3.52 billion in December 2025, driven mainly by higher inflows from land-based workers, according to the Bangko Sentral ng Pilipinas (BSP).

The December tally pushed total cash remittances for 2025 to a record $35.63 billion, up 3.3% from $34.49 billion in 2024.

Land-based workers sent $2.83 billion in December, 4.5% higher than a year earlier, while sea-based workers remitted $0.69 billion, up 3.3%. For the full year, land-based remittances reached $28.49 billion, rising 3.4%, while sea-based workers sent $6.94 billion, up 2.9%.

Including in-kind transfers and informal channels, personal remittances totaled $3.60 billion in December, also up 4.2%. The full-year figure reached $39.62 billion, a 3.3% increase.

The United States remained the top source, accounting for 39.7% of total remittances, followed by Singapore (7.3%), Saudi Arabia (6.6%), Japan (5%), and the United Kingdom and the United Arab Emirates (4.6% each). Remittances made up about 7.3% of the country’s gross domestic product in 2025.

Michael Ricafort, chief economist of Rizal Commercial Banking Corporation, attributed the growth largely to seasonal factors and currency movements.

“Some OFWs and their dependents waited to convert at the highest possible exchange rate since the US dollar/peso exchange rate breached above the previous record high of 59.00 since October 27, 2025 that led to some pent-up demand until December 2025,” he said.

“Some OFWs also increased remittances and conversion to pesos in December 2025 before the 1 percent tax on OFW remittances from the US took effect in 2026,” he added.