More than 70pct inward remittances in HCM City poured into production

06-Oct-2017 Intellasia | Bao Hai Quan | 6:00 AM Print This Post

Since the beginning of 2017, the amount of inward remittances sent to HCM City has been relatively stable, mostly flowing into production instead of pouring into real estate sector as before, Nguyen Hoang Minh, the State Bank of Vietnam (SBV)’s HCM City branch deputy director, said.

In particular, till the end of September 2017, the total amount of inward remittances transferred to HCM City reached $3.375 billion, rising 12.5 percent from the end of August and 6 percent against the same period last year. Of which, the amount of remittances transferred to HCM City from the US market still accounted for the highest proportion with about 60 percent, followed by Europe with about 19 percent.

Minh said that remittance structure is increasingly flowing into business and production activities rather than investing in real estate or savings as before. Specifically, 72 percent of remittances were spent on business and production operations, 22 percent on real estate and 6 percent on personal spendings.

The satisfactory remittance results were thanks to the stable macro economy together with the development of remittance attraction services.

With this positive increase, the amount of inward remittance to HCM City would reach $5.7-5.8 billion in 2017, a year-on-year increase of 5.6 percent, SBV’s HCM City branch said.

In 2016, the amount of inward remittance transferred to HCM City reached $5 billion, accounting for 57 percent of the country’s total amount of inward remittances.


Category: Finance

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