OFW Remittances are the lifeblood of the Philippine economy. The absolute value of OFW remittances reached a record $24.64 billion in 2012, repeating its relentless upward march every year since 1998.
Despite this, OFW Remittances as a % of Philippine GDP has been in a steady downtrend since 2005, indicating that the economy is becoming slightly less reliant on OFWs.
But the rise in OFW Remittances has not led to an increase in the country's Gross Savings (GS) or Gross Capital Formation (GCF). These indicators have remain range-bound since the 1980s. Meanwhile, Services as a % of GDP has been on a steady climb, indicating that OFW Remittances have transformed the country into a consumer society.
Meanwhile, OFWs and their families have remained at a steady 10% of the total Philippine population.
As such, OFW jobs have provided a steady source of employment for a significant portion of the Philippine Labor Force. Without it, unemployment would be much, much higher - almost 4 times the official unemployment rate of 7.00% as of 2012.