MONEY that overseas Filipino workers (OFWs) send back to the Philippines will likely endure the global financial turmoil, according to a former Central Bank governor.

While some OFWs will likely lose their jobs, especially those in the US, remittances may continue to grow, said former central bank governor Jose L. Cuisia Jr., who is also president and chief executive officer of Philippine American Life and General Insurance Co. (Philamlife).

He said the money sent back to loved ones and relatives of in the Philippines by 8 million Filipinos overseas will only be affected in an adverse way if and when Middle East countries become embroiled in the financial crisis that brought banks and financial institutions in Europe and the US to their knees.

“I believe OFWs remittances will not be impacted too much as their remittances are still up from January to July,” Cuisia said.

“But if the Middle East [countries] were also dragged into the crisis, OFWs will be adversely affected. But right now, only the Filipino-American workers are affected [by the financial crisis],” he added.

Earlier this week Michel Camdessus, former managing director of the International Monetary Fund, said the worst thing that could happen to labor exporter Philippines is to find that some of its labor exports have been laid off. He was also of the opinion that overall remittances might not be affected too much.

So far OFW remittances remained strong in the first seven months of the year. In July OFW remittances reached $1.36 billion, up 24 percent from a year earlier, according to central bank numbers.

July was the fourth month in a row when the remittances grew in double-digit terms and brought remittances for the first seven months to $9.608 billion, or 18.2 percent higher from the same period last year.

Dollar remittances remain a significant source of income for the Philippines and accounts for nearly 10 percent of the $117- billion economy on yearly basis.

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OFW money likely to endure financial crisis

MONEY that overseas Filipino workers (OFWs) send back to the Philippines will likely endure the global financial turmoil, according to a former Central Bank governor.

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