OFW Remittances: Turning Hard-Earned Savings Into Sustainable Investments for Western Visayas Families

By: John Dela Cruz

Western Visayas continues to be one of the country’s leading contributors to overseas employment. In 2023, the region ranked fourth in terms of OFW deployment, accounting for 8.5% of the total, according to the latest report from the Philippine Statistics Authority (PSA). This places Western Visayas behind only NCR and CALABARZON in terms of OFW concentration.

A large majority of our OFWs—about 77%—are employed across Asia, particularly in Saudi Arabia, the United Arab Emirates, Kuwait, and Hong Kong. Many of them are women working in elementary occupations, which often involve simple tasks, manual tools, and significant physical labor.

As they sacrifice abroad to support their families, one critical question remains for many of our kababayan: How can we help them make their hard-earned savings work when they come home?

Options for Passive Income and Long-Term Security

While the regular remittance flows help sustain day-to-day family needs, the bigger challenge is ensuring that these earnings are not exhausted on non-essential spending. Instead, families must be guided towards investments that can generate passive income and long-term security. Some viable options include:
• Time Deposits and Savings Instruments
Putting money in time deposits can generate stable, low-risk interest income while preserving the principal amount.
• Real Estate Investments
OFWs can invest in small rental properties, boarding houses, or develop idle land for agriculture and high-value crops, creating steady income while also contributing to local food production.
• Insurance and Pension Plans
Life insurance, educational insurance for children, and private pension plans can offer financial security and peace of mind for the future.
• Health Insurance and Pre-Need Plans
Investing in health insurance protects the family against future medical expenses that could otherwise deplete savings.
• Small Businesses and Franchises
For those with higher risk appetite, venturing into micro-enterprises or franchise businesses can generate income and provide employment to family members.
• Financial Literacy and Personal Finance Management
Above all, families need to prioritize financial education. Wise management of resources can help OFW families avoid overspending on wants and focus instead on assets that grow value over time — such as education, health, and sustainable income streams.

The Bigger Picture: P238 Billion in OFW Remittances

In 2023 alone, PSA data show that OFWs sent home a total of P238 billion in remittances. This massive inflow of capital has become one of the cornerstones of the national and regional economy, fueling consumption, real estate growth, and local investments.

For Western Visayas, maximizing the impact of these remittances can help transform communities and create long-term prosperity, not just for individual families but for the entire region.

As more OFWs eventually return home after years of hard work abroad, our local government units, financial institutions, and community organizations must come together to provide better support systems — financial education programs, investment guidance, and accessible financial products — to help returning OFWs secure a stable, dignified, and comfortable life back home.