Overseas Remittances Crucial To Vietnam Economy
by Joe Fotalatte
According to data from the State Bank of Vietnam branch in the southern city, the number of overseas transfers coming into Ho Chi Minh City during the first nine months of the year is estimated at US$4.78 billion.
In nine months, HCMC received remittances worth $4.78 billion from abroad.
The bank noted that this is a remarkable figure despite the COVID-19 pandemic, high inflation, and the global economic downturn.
The number of remittances increased steadily through each quarter, and despite a slight decline year over year, they significantly boosted domestic investment, production, and consumption.
When the economy is recovering quickly, this source of funding is crucial for fostering socioeconomic growth locally, stabilizing the foreign exchange market, and luring foreign direct investment into the city.
Remittances to the city totaled US$6.6 billion last year, which was more than half the country’s total of US$12.5 billion.