HCM City received nearly $5.2 billion in remittances in the first half, up 20 per cent year-on-year. — VNS Photo Bồ Xuân Hiệp

HCM City received nearly US$5.2 billion in remittances in the first half of the year, up 20 per cent year-on-year, according to the State Bank of Vietnam (SBV), HCM City branch.

Remittances from Asian countries accounted for 56 per cent of the total overseas remittances received by the country’s largest economic hub in the period.

Nguyễn Đức Lệnh, deputy director of the central bank’s HCM City branch, said it was vital to effectively utilise remittance resources to maximise their impact.

He recommended enhancing the investment climate and improving remittance payment services to continue to attract remittances.

The city consistently registers the highest volume of remittances nationwide, surpassing half of the country’s total remittances.

Last year, remittances were 2.7 times higher than the foreign direct investment inflow into the city and equivalent to 14 per cent of its GDP.

The rise in remittances to the city has been attributed to the increasing trend of working abroad, along with the recovery of the labour, service, and tourism markets in Asian countries, coupled with a stable economic and political environment in Việt Nam.

Việt Nam has consistently ranked among the top 10 global recipients of remittances, with six million overseas Vietnamese living in over 130 countries and territories. — VNS