ADB sees Asia Pacific remittances up 6.7per cent in 2021, 5.9per cent in 2022

ADB sees Asia Pacific remittances up 6.7per cent in 2021, 5.9per cent in 2022
FILE PHOTO: Customers receive money from families working abroad at a money remittance center in Makati City, Metro Manila, Philippines, September 19, 2018. REUTERS/Eloisa Lopez

MANILA : Remittances to the Asia Pacific region from citizens working abroad could grow 6.7per cent this year and 5.9per cent next year, after a 2per cent slump in 2020, underpinned by further easing of COVID-19 curbs in advanced economies, the Asian Development Bank said.

In absolute terms, remittances to the region were expected to rise by US$21.2 billion this year and US$19.8 billion next year, the Manila-based lender said in a report published on Tuesday.

Inflows to the region last year reached US$314 billion, the ADB said.

On average, the Asia Pacific region was estimated to account for about 63.4per cent of the total increase in global remittances in 2021 and 2022, the ADB said.

It said worldwide remittance receipts could increase by 4.8per cent, or US$34 billion, in 2021 and by 4.2per cent, or US$30.7 billion, in 2022.

About 60per cent of the remittance inflows to the Asia-Pacific region would likely come from the United Kingdom, United States and the European Union, while nearly 30per cent would be from the Middle East, it said.

The ADB has trimmed its growth forecasts for developing Asia – a group of 45 countries in the Asia-Pacific region – for this year and next to reflect risks and uncertainty brought on by the Omicron coronavirus variant.

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