Nearly 1 billion USD in remittances flow into Ho Chi Minh City every month

The State Bank of Vietnam, Ho Chi Minh City branch, said that in the first 6 months of 2024, remittances to the city reached nearly 5.2 billion USD, equal to 54.7% compared to the whole year of 2023 and increased by 19.5% over the same period. On average, about 860 million USD of remittances were transferred to Ho Chi Minh City each month.

This number continues to set a new record. Because last year, the entire year of 2023, the amount of remittances flowing to Ho Chi Minh City accounted for nearly 9.5 billion USD and accounted for more than half of the country's remittances.

At the same time, 2023 is also the year that remittances flowing to the city reached their highest level ever.

Ho Chi Minh City is the locality with the largest amount of remittances in the country.

Mr. Nguyen Duc Lenh, Deputy Director of the State Bank of Vietnam, Ho Chi Minh City Branch, said that remittances from Asia still accounted for the highest proportion, accounting for 56.1% and increasing by 48.5% over the same period. Human resources and labor market factors continued to be factors that positively affected the amount of remittances from this region.

Besides objective factors affecting the amount of remittances such as political economy, society, employment and income, the effective use of remittance resources and solutions to attract remittances also play a very important role.

To continue attracting remittances, Mr. Nguyen Duc Lenh stated that it is necessary to continue implementing well the foreign exchange policy mechanism and remittance attraction; improve the investment environment and enhance the quality of remittance payment services. Convenience and ensuring safety and efficiency are also important factors in attracting remittances through the operation of the remittance payment system, including remittance companies and credit institutions in the area.

"Using remittance resources effectively, with the orientation and concentration of remittance resources to develop production, business, trade and services through financial instruments such as local government bonds, investment funds or securitization... to bring greater efficiency, will be a solution of strategic significance, in line with the city's economic development orientation" - Mr. Lenh said.

Source: https://nld.com.vn/gan-1-ti-usd-kieu-hoi-do-ve-tp-hcm-moi-thang-19624071811530064.htm