World Bank forecast Viet Nam's overseas remittances attraction this year would hit US$11 billion, bringing the country to the 9th position in top 10 countries in the world.— File Photo

HA NOI (Biz Hub)— World Bank forecast Viet Nam's overseas remittances attraction this year would hit US$11 billion, bringing the country to the 9th position in top 10 countries in the world.

Viet Nam's overseas remittances reached $10 billion last year, rising by 10 per cent over the previous year.

A large proportion of the total originated from the more than 4 million Vietnamese expatriates and approximately 400,000 guest workers in Japan, the Republic of Korea, Malaysia, Taiwan (China), and the Middle East.

India, China and the Philippines were the three largest countries in the list with $71 billion, $60 billion and $26 billion. Mexico followed with $22 billion, Nigeria and Egypt $21 billion and $20 billion respectively.

India and China accounted for one-third of the total overseas remittances poured in developing countries this year.

WB said the world's total overseas remittances including those poured in high-income countries this year was estimated to reach $540 billion and jump to the record level of $707 billion by 2016.

Of the total, remittances sent to developing countries would increase 6.4 per cent to $414 billion this year and surpass $500 billion by 2016.

It added that total remittances into developing countries would surge in short term with average growth rate of 9 per cent each year.

The WB's figures revealed changes in national classification. Some countries which received large portion of overseas remittances including Russia, Latvia and Uruguay have no longer been listed in the group of developing countries.

Costs for transfer remittances through formal channels were still high, making people prefer using informal ones. The average cost last year was 9 per cent worldwide and remained unchanged. However, banks added some fees on the remittances up to five per cent. — VNS