Remittances reach record high $35.6 billion

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February 17, 2026 | 12:00am

In 2025

MANILA, Philippines — Remittances from overseas Filipinos surged to a new record in December, lifting full year inflows to an all-time high and underscoring the sector’s resilience despite global economic uncertainty.

Data released by the Bangko Sentral ng Pilipinas (BSP) showed cash remittances reached $3.52 billion in December 2025, the highest monthly level on record. This brought full-year cash remittances to $35.63 billion, up by 3.3 percent from $34.49 billion in 2024.

Remittances in 2025 also slightly exceeded the central bank’s forecast of $35.5 billion for last year.

The BSP said full-year cash remittances accounted for 7.3 percent of gross domestic product (GDP) and 6.4 percent of gross national income, highlighting their continued importance to the Philippine economy.

Personal remittances, which include cash sent through banks and informal channels as well as remittances in kind, also hit a record high of $3.89 billion in December, bringing full-year personal remittances to an all-time high of $39.62 billion, 3.3 percent higher than the $38.34 billion recorded in 2024.

The United States remained the largest source of remittances in 2025, accounting for 39.7 percent of the total, followed by Singapore (7.3 percent) and Saudi Arabia (6.6 percent).

Remittances from land-based workers rose by 4.5 percent year-on-year to $2.83 billion in December, while those from sea-based workers also increased by 3.3 percent to $690 million.

On a cumulative basis, land-based remittances climbed by 3.4 percent to $28.49 billion, while sea-based remittances inched up by 2.9 percent to $7.14 billion.

Analysts said the strong December outturn reflects both seasonal factors and the underlying strength of overseas Filipino employment.

“Remittances in 2025 hit a record $35.6 billion, and while December’s surge clearly reflects year-end bonuses and holiday spending, the bigger story is resilience. Overseas Filipino employment held up well despite global uncertainty,” Reyes Tacandong & Co. senior adviser Jonathan Ravelas said.

“This matters for growth. Remittances likely added around half a percentage point to GDP by supporting consumption, housing and services,” he added.

However, Ravelas cautioned that risks remain, particularly from the proposed US remittance tax. He said higher costs could slow formal transfers and weigh on growth momentum over time.

John Paolo Rivera, senior research fellow at the Philippine Institute for Development Studies, said the record inflows were likely driven by a mix of seasonal and structural factors.

“These were likely driven by seasonal holiday inflows, steady deployment of overseas Filipino workers abroad particularly in health care, maritime and service sectors as well as the continued recovery of host economies in the US, Middle East and parts of Asia,” Rivera said.

He added that the relatively weaker peso encouraged higher remittance conversions, while digital transfer channels made sending money faster and more convenient.

“Remittances remain a key stabilizer for the Philippine economy, supporting household consumption, cushioning external shocks and helping sustain domestic demand despite slower growth and global uncertainties,” Rivera added.

The BSP expects cash remittances to grow by three percent to $36.6 billion this year.