Philippines Remittance growth likely rebounded in February but faces challenges

The Philippines will release February remittance data on 15 April. 

Remittances from Asia have contracted on a y/y basis for three consecutive months, reflecting consolidating growth momentum in the region. Growth in remittances from Europe has declined for eight consecutive months. 

According to Standard Chartered research, the growth in overseas workers' remittances to have rebounded to 4.5% y/y from 0.5% in January due to fewer holidays in February compared to January. Remittance growth should remain stable, but faces near-term challenges. 

Remittances from the Middle East may also ease if low oil prices impact employment prospects and wage growth for overseas workers. 

The remittance growth is expected to improve as the year progresses.