The inward remittances sent to Ho Chi Minh City in H1/2012 are estimated to have reached about $1.9 billion, down nearly 20.8 percent over the same period last year.The total amount of inward remittances declined by about $500 million compared to the same time period last year.
A remittance is a transfer of money by a laborer working overseas to their home country; for example, a Vietnamese worker in California sending money to his/her family in Vietnam.
The money transfer turnover via HCMC-based credit institutions saw a relatively strong fall, while the amount of remittances sent through economic institutions surged sharply over the same period last year, said the HCMC branch of the State Bank of Vietnam (SBV).
According to remittance companies, the current global economic turmoil certainly influences the amount of foreign currency transferred to Vietnam.
In addition, the stagnant real estate market and US dollar interest rate ceiling control policy of the SBV have caused a strong decline in big deposits for investment purpose.
Remittance companies are still trying to maintain the turnover in labor export markets such as Taiwan, Korea and Japan.
The major remittance markets are still the US, Europe, Australia and Canada.
The World Bank (WB) said Vietnam’s inward remittances in 2011 were estimated at $9 billion.
According to the HCMC branch of SBV, the amount of inward remittances to the city in 2011 is estimated to have reached around $5 billion, up 10 percent against the previous year and accounting for nearly two-thirds of the country's total.
The remittances mainly came from the US, Australia, and Canada thanks to the sustainable income of overseas laborers in those countries.
According to the WB, Vietnam will be one of the top 16 remittance recipients in the world this year, and is expected to continue being a potential overseas remittance market for global transfer agencies.
The total inward remittance sent to Vietnam in 2010 was US$8 billion, of which the total volume of inflow to HCMC reached over $3.8 billion, up nearly 20 percent from 2009.
In 2009, the total inward remittances sent to Vietnam decreased nearly 13 percent, reaching only $6.3 billion, much lower than 2008's $7.2 billion.
Remittances are one of the most important foreign currency channels in Vietnam, significantly contributing to reducing the current accounts deficit, minimizing the risks in raising capital, and reducing dependence on foreign capital sources of the country.
Source: tuoi tre
|< Prev||Next >|
» City receives flood of remittances
» Vietnam real estate market eagerly await inward remittances
» Inward remittances sent to Vietnam this year to hit $8.5 bln
Latest Category Posts
- OCB provides preferential loans
- VPBank offers zero per cent rates
- SBV stays steadfast amid recommendation on currency devaluation
- Dollar rises as FX policy remains unadjusted
- Bank directors need to play by the rules
- Bank card information at risk
- Gold loses its sheen as global prices drop off
- The foreign capital flow unknown
- Vietnamese remittances to reach $10.6bn this year
- A lot of commercial banks change hands
Popular Category Posts
- Vietnam pursues cautious, flexible monetary policy
- VN economy sees dollarisation decline
- Stability helps bolster investors’ confidence
- Vietnamese people spend USD3.5 million on jewelry annually
- Vietnamese banks’ CARs surprisingly high
- Interest arroused over Eximbank, Sacombank new merger rumours
- Gold measures balance market
- SBV regulates debt grouping
- Gov’t confirms higher budget deficit plan
- Interbank interest rates fall 1.17%
- PM mulling greater foreign interest in banking sector
- VND will be devaluated, but when and how?
- People worry themselves sick about gold kept at banks
- “Black credit” provides money to businesses to pay bank debts
- SBV wants banks to settle gold loans
- Gold auctions were handled legally: SBV
- Commercial banks queue up to sell bad debts
- VAMC signs the first bad debt purchasing contract
- Customer ID required for large value transactions
- “Wall Streets” in Saigon