Ho Chi Minh City received US$5.178 billion in remittances from abroad during the first half of 2024, up 19.5 percent year on year and equal to 54.7 percent of the figure for the entirety of 2023.

Remittances to Ho Chi Minh City in the January-June period of 2024 rose over 19 percent year on year. Photo: Quang Dinh / Tuoi Tre 

In the second quarter alone, the remittance inflows to the southern metropolis rose 4.2 percent over the same period last year to $2.309 billion, said Nguyen Duc Lenh, deputy head of the State Bank of Vietnam (SBV) branch in Ho Chi Minh City.

More than 56 percent of the remittances sent to the southern hub came from Vietnamese living and working in Asian countries and regions, representing a 48.5-percent year-on-year rise.

Factors such as human resources and the labor market continued to have a positive impact on remittance inflows into the city during the January-June period, the SBV official added.

The political stability in Asia, coupled with the expansion and development of trade, service, and tourism activities, has bolstered the steady growth of the city’s inward remittances.

From January to March this year, the city’s inbound remittances was almost $2.9 billion, improving 35.4 percent versus the same period last year and equal to 30.3 percent of the figure for the whole of 2023.

Experts said that the steady growth of the city’s incoming remittances has made positive contributions to the foreign exchange market operation and monetary policy.

Official data showed that more than 5.3 million Vietnamese are living and working overseas, with approximately 2.3 million having close association with Ho Chi Minh City.

This indicates that remittances to the southern hub always account for a high portion of Vietnam’s total figure.

Last year, Vietnam-bound remittances reached an estimated $16 billion.

Of the figure, Ho Chi Minh City brought in some $9.46 billion, surging over 43 percent against 2022 and triple the foreign direct investment into the city.

According to data from the State Commission for Overseas Vietnamese Affairs, remittances to Vietnam from 1993 to 2022 topped $190 billion, almost equal to the disbursement of foreign direct investment during the same period.

As of 2023, Vietnam-bound remittances had reached a combined $206 billion.

Hong Ngan – Anh Hong (Source: tuoitrenews.vn)