Remittances expected to drop next year, Visa survey finds

Overseas workers expect to cut down on their remittance over the next 12 months, with remittance recipients also expecting a drop-off, according to Visa, Inc., citing the results of a survey.

“All countries surveyed show a decline in expectations to send/receive remittances over the next 12 months,” Visa said.

Visa surveyed 44,000 remittance senders and receivers from 20 countries, including the Philippines.

Only 7% of Filipino respondents said they expect to send remittances over the next 12 months, while 44% expect to receive remittances.

In May, cash remittances coursed through Philippine banks rose 2.9% year on year to $2.658 billion.

This the lowest level of monthly remittances since May 2024.

Within the Asia-Pacific, China posted the steepest expected remittance decline, with those expecting to remit funds at 26%, down 25 percentage points, and those expecting to receive at 21%, down 15 percentage points.

The corresponding figures for Japan were send 3%, receive 4%; India send 18%, receive 28%; and Australia send 25%, receive 22%.

In the Philippines, 41% of respondents said they sent or received remittances due to unexpected needs, while 39% reported receiving regular remittances.

Digital apps remained the most popular method to send or receive remittances in the Asia-Pacific. In the Philippines, 74% of senders and 66% of receivers cited a preference for digital apps.

“In all markets surveyed, second to digital apps (were) digital remittances from a physical location,” Visa said.

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Source: Business World

Remove illegal parking

The initiative of the Department of the Interior and Local Government to remove illegally parked cars on major roads is well-intentioned, but could be self-defeating if the outcome is only to give more road space to private motor vehicles. Because of the phenomenon of “induced demand,” any measure that makes driving easier by giving more space to cars only attracts further car (and motorcycle) use, eventually leaving our roads even more congested than before.

Because road space is limited, we need to use our roads so that they deliver the greatest good for the greatest number — this means prioritizing the most productive, inclusive and socially beneficial travel options on any road space. The desired outcome of the removal of illegal vehicle parking should be to enhance the safety, comfort and attractiveness of walking, cycling and public transport (instead of offering the added road space to private motor vehicles). Not only is this approach desirable from the standpoint of transportation science, it is what is required based on principles of equity and social justice.

Giving additional road space to private motor vehicles is, in effect, choosing the least efficient and most environmentally damaging application for a scarce resource; it would be a foolish and wasteful use of public assets. One road lane (3.5-meter width) used mainly by cars can move 600 to 2,000 persons per hour per direction. If the same space is converted into a pathway for pedestrians or cyclists, the same space can move five to 10 times more people. If the road space is dedicated to public transport (buses, jeepneys, etc.), the space can move from five to 20 times more people. Any investment in our roads should encourage a shift to these desirable, space-efficient and low-impact travel modes. It is a no-brainer.

Devoting any freed-up space for public transport, walking and cycling also make sense when one considers that car owners are only a small minority in the Philippines. Nationwide, only 6 percent of households own four-wheeled motor vehicles (11.5 percent of households for Greater Manila, defined as Metro Manila plus surrounding provinces). About one-third of Filipino households own motorcycles. This means that the majority of Metro Manila’s population depends on walking, bicycles or public transportation to get around their neighborhoods and cities. This segment is also the most vulnerable and disadvantaged — they should be the focus of measures to improve mobility using freed-up road space.

Pedestrians are endangered when they have to mix in the same road space with fast-moving motor vehicles. For this reason, safe pathways for pedestrians should be a part of any urban road. Sidewalks are essential because they save lives. Unfortunately, all over Philippine cities, many sidewalks have been illegally converted into parking spaces or have become part of the roadway for motor vehicles. In the absence of safe sidewalks, many avoid walking and shift to using a motor vehicle. If we want fewer motor vehicles on our congested roads, we need to rectify this anomaly and make our streets walkable.

With a wider sidewalk, shade trees and greenery can be planted. A tree-shaded street delivers many benefits for a neighborhood, foremost of which is the lowering of ambient temperatures by 5 to 10 degrees centigrade. Because a very large number of trips daily are for journeys of 3 kilometers or less (therefore, very walkable), many of these trips could be completed via walking as long as there are pathways that are safe, shaded and accessible by persons with disability.

The same arguments justify the creation of protected bike lanes out of the road space occupied by illegally parked cars. The owners of bicycles today outnumber the owners of cars by a factor of 4:1. Many more Filipinos would use bicycles to move around our cities if there were safe and continuous bike paths connecting residential neighborhoods to destinations with jobs, social services and markets. Millions of Filipinos are already using bicycles daily to travel — achieving shorter, more predictable journey times; adopting healthier, more active lifestyles; and generating savings in travel costs that can be used for food, health care, personal development or investment.

Freed-up road space should also be used to create dedicated lanes for public transport (which could include school transport and emergency vehicles), enabling them to have faster and more predictable travel times. National and local government planners should meet with public transport operators to discuss how buses and jeepneys can escape traffic bottlenecks and achieve more round trips if offered exclusive road space.

A recent concern is the fact that many jeepneys and buses are parked on public roads when not in use, mainly because they have no access to depots or garages. Instead of penalizing owners of these vehicles, local governments should help to organize common depot space for such units in every locality, so that transport services can also be better managed and coordinated. This is one way that a local government unit can help deliver better services to constituents by enabling public transport operators to be more efficient and financially viable.

Forget about removing illegally parked cars in order to offer more lanes to private motor vehicles. The focus should be on making walking, cycling and public transport safe, convenient and attractive, thereby facilitating a shift away from private motor vehicle use.

Source: Manila Times

The danger of OFWs starting businesses

Overseas Filipino workers (OFWs) are rightfully called modern-day heroes. Their sacrifices have sustained countless families and propped up the Philippine economy through billions in remittances.

However, behind the success stories, many OFWs face heartbreaking realities—especially when it comes to starting businesses.

Entrepreneurship is often seen as the ultimate dream for OFWs, a way to finally come home for good and enjoy financial independence. While the intention is noble, the risk is real.

In fact, the danger is highest when OFWs attempt to start businesses while still working abroad.

Here are the reasons why:

1. Funding without leading

One of the biggest mistakes OFWs make is becoming “absentee entrepreneurs.” You provide the capital, but someone else runs the business.

In many cases, this person is a family member or friend. While there are exceptions, the sad reality is that trust doesn’t always translate to competence—or integrity.

You’re working 12-hour shifts abroad, sending your hard-earned money back home, and hoping your sari-sari store, tricycle business or mini grocery will grow.

But you’re not there to monitor the daily operations. You’re not seeing where the money goes. You don’t know if the earnings are being reinvested or spent.

I’ve heard countless stories where the OFW is left with nothing: the business folds, relationships are strained and years of sacrifice are lost.

Entrepreneurship requires hands-on leadership. Capital alone does not guarantee success.

2. Lack of business know-how

Many OFWs dive into business without the proper training or experience. They might be great at their jobs overseas—as nurses, engineers or technicians—but business is a different world. It demands knowledge in operations, marketing, accounting and more.

Starting a business just because a relative or friend suggests it—or because it worked for someone else—is not a wise strategy. Every business involves risk, and without education and preparation, that risk multiplies.

Before putting money into a venture, OFWs should invest first in financial literacy and entrepreneurial training.

Learn before you launch.

3. Over-romanticizing the ‘come-home-for-good’ dream

It’s natural for OFWs to dream of coming home for good.

But it must be backed by a solid plan, not just emotion. Many OFWs are so eager to return that they rush into business without counting the cost.

A business isn’t a magic exit from working abroad. In fact, it can create more stress, especially when it starts to fail. Instead of being a pathway to freedom, it becomes a trap of debt and regret.

The transition from employment to entrepreneurship should be gradual and well-planned. Don’t use your business as a ticket home unless it has already proven to be stable, profitable and sustainable.

4. Pressure from family and community

Let’s be honest. Many OFWs are pressured to support not just their immediate family but their extended relatives.

Often, the idea of starting a business is influenced by well-meaning—but sometimes entitled—family members who promise to “take care of it.”

This dynamic can lead to emotional manipulation:

“Kaya mo na ‘yan; ikaw na ang nasa abroad!” (You can take care of it; you’re the one based overseas.)

“Para naman makauwi ka na!” (It’s so that you can come home)

And so, out of guilt or desire to please, OFWs pour money into businesses they did not study or plan for.

Entrepreneurship requires objectivity. It cannot be driven by pressure or utang na loob (debt of gratitude).

Always remember: your hard-earned money deserves wise stewardship.

5. Starting with the wrong mindset

Another danger is the belief that entrepreneurship is the answer to all financial problems. It’s not. Most small businesses in the Philippines don’t last beyond three years. Success in business is not guaranteed.

Some OFWs pour everything they have—retirement money, savings, even borrowed funds—into one business venture. It’s an all-or-nothing move.

When it doesn’t work out, the result is devastating: no savings, no income and in some cases, no way to go back abroad.

If you are going to start a business, do it with the mindset of a steward, not a gambler.

Start small. Test the waters. Grow gradually.

Focus first on building a strong financial foundation. This means having an emergency fund, insurance, zero debt and savings set aside for capital, not borrowed money.

At the same time, educate yourself through business courses or mentors. Start small while abroad, and wait until you’re home or have a trusted partner before going all in.

I believe many OFWs can become great entrepreneurs. But it must be done wisely, not emotionally. Don’t let your years of sacrifice go to waste because of poor planning and misplaced trust.

Remember: A business can be a blessing—but only if built with vision, discipline and stewardship.

Source: Inquirer