The Ministry of Labor, Invalids and Social Affairs’ report estimates that in 2023, about 155,000 Vietnamese workers are expected to work abroad under contracts, the highest number to date and a 8.55% increase compared to 2022. On average, about 120,000 to 143,000 workers go abroad to work each year, and the remittances sent back by these workers reach USD 3.5-4 billion, contributing to the country’s socio-economic development.
Despite the global economic downturn, high inflation, and ongoing political tensions, the remittances coming to Vietnam in 2023 have still increased compared to 2022.
According to the State Bank of Vietnam, remittances in 2023 are estimated to reach USD 16 billion, a 32% increase compared to 2022. Ho Chi Minh City alone has received nearly USD 9.5 billion in remittances, a 43.3% increase compared to 2022. This is the highest growth rate in the past 10 years.
As in previous years, the United States remains the main market for remittance companies in Vietnam, even though the volume from this market has decreased by about 10% – 20% in 2023. There has also been a significant increase in remittance volume from labor export markets such as South Korea, Japan, and Taiwan, especially South Korea.
Vietcombank, the representative of Vietcombank’s remittance company, said that they have captured these signals since the beginning of 2023 thanks to in-depth research on labor export trends, so they have timely oriented and had special policies for partners in major labor export markets, especially South Korea.
Mr. Trinh Hoai Nam, Director of Vietcombank’s remittance company, added that by capturing timely information and adapting flexibly to market changes, as well as always ensuring the leading quality of payment services, Vietcombank’s remittance company has become the largest remittance company in Vietnam. The consolidated remittance volume of Vietcombank’s system in 2023 reached USD 4 billion, accounting for about 24% of Vietnam’s remittance market share.
“Currently, we are strategically collaborating with partners in all markets, including North America, Europe, Asia, and the Middle East. We are well aware that technology plays a key role in enhancing customer experience and keeping up with global technology trends, so we always timely apply new technologies to develop our products and services to improve the quality of service for customers. In addition, we have priority policies on exchange rates, payment time… to ensure the best and consistent service quality across all regions in Vietnam. Besides, we have specific policies for each partner with programs not only for customers receiving in Vietnam but also in coordination with partners to carry out promotions in the home countries through economic and cultural cooperation events between Vietnam and other countries. This has contributed to making Vietcombank’s remittance brand a reputable choice for foreign partners when conducting money transfers,” Mr. Trinh Hoai Nam shared.