Remittance inflows into Ho Chi Minh City in the first nine months of the year are estimated at around $3.8 billion.

Remittance flows into Ho Chi Minh City in thefirst nine months of the year were estimated at around 3.8 billion USD, a year-on-yearincrease of 7 percent.

According to Nguyen Hoang Minh, Deputy Director of the State Bank of Vietnam’sHo Chi Minh City branch, most of the remittances was invested in production andbusiness instead of being poured into real estate, securities or savings.

Minh said remittances to the southern hub could reach 5 billion USD for thewhole year.

The amount of remittances often depends on macroeconomic conditions and thesituation of overseas workers, as well as services that attract remittances.

Vietnam’s macroeconomy has remained stable while the pressure of an increase inthe exchange rate due to market psychology has been eliminated. Therefore,receivers of remittances tend to convert them into Vietnamese dong instead ofholding foreign currencies.

As a result, the USD/VND exchange rate has been kept stable since the outset ofthe year despite fluctuations in the global market.

The World Bank said Vietnam is one of the top ten remittance recipientsglobally. The country as a whole received nearly 16 billion USD in remittanceslast year, one hundred times higher than in 1993. Remittances to Vietnam camefrom more than 4.5 million overseas Vietnamese together with a large number ofVietnamese migrant workers.

Ho Chi Minh City is among the biggest recipients ofremittances in Vietnam. Remittances to the southern hub have increased by 8 to10 percent in recent years./. VNA

Overseas remittances to HCM City on the rise

Overseas remittances to HCM City were estimated to reach $3.45 billion in the first eight months of this year, according to the State Bank of Vietnam’s HCM City branch.