The Philippines is experiencing a significant shift towards digital remittances, with 71 percent of Filipino remittance users adopting app-based solutions for sending and receiving funds, according to a Visa study.

The study, entitled “Money Travels: 2023 Digital Remittances Adoption,” surveyed Filipinos residing in the Philippines from mid to late December 2022. Besides noting the high adoption of apps, the study also found that 57 percent of Filipino respondents intend to utilize digital remittances more often.

Another country in the Asia Pacific region where app-based solutions have become the norm in Singapore, with 73 percent of respondents saying they remit using apps. On a global scale, 57 percent of respondents worldwide utilize digital apps for sending money.

As to why app-based digital payments have become the preferred method, the respondents highlighted convenience and speed as the main benefits. Security is also cited as a key feature of digital payments, as many respondents in Singapore said they encountered fraud and theft via physical remittances.

Data from the Philippine Statistics Authority reveal that, as of 2021, 70 percent of Filipinos in the Philippines mainly receive remittances from other countries while only 17 percent send money. According to The World Bank, remittances accounted for 9.3 percent of the country’s GDP in 2021.

It’s worth noting that a different study conducted from October to November 2022 found that Filipinos were still reluctant to use digital money transfers, with only 44 percent of Philippine consumers preferring to receive money thru digital platforms.

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