Ho Chi Minh City Receives Over $4 Billion in Remittances in First Half, But Sees 23% Drop

Remittances to Ho Chi Minh City exceeded $4 billion in the first half of 2026. This marks a decrease of nearly 23% compared to the same period last year, although signs of recovery were observed in the second quarter, with further improvements anticipated in the latter half of the year. According to the State Bank of Vietnam's Ho Chi Minh City branch, the primary drivers behind the decline in remittances include the slowdown in global economic growth, the sustained high value of the US dollar, and changes in immigration policies and labor markets in countries with significant Vietnamese populations. Domestically, the 0% interest rate on foreign currency deposits and the diversity of investment channels have also influenced the flow of funds through the banking system. Remittances from overseas Vietnamese workers are a crucial source of foreign exchange for Vietnam's economy. Ho Chi Minh City, as an economic hub, is a major recipient of these funds. The recent decrease in remittance amounts may reflect the global economic uncertainties and the changing circumstances of Vietnamese expatriates. However, the recovery trend observed in the second quarter suggests a potential gradual improvement in the situation.