LAWMAKERS are pushing for stronger safeguards on overseas Filipino workers’ (OFW) remittances, citing the critical role migrant workers play in sustaining the Philippine economy.
Sen. Mark Villar co-sponsored Senate Bill 1917, or the Overseas Filipino Workers Remittance Protection Act, which seeks to protect the hard-earned income sent home by millions of Filipinos working abroad.
Villar highlighted the economic importance of remittances, noting that in 2025 remittances reached a record $35.63 billion, accounting for about 7.3 percent of the country’s gross domestic product.
“Considering this essential economic contribution of OFWs, it is imperative that we guarantee the protection of their hard-earned money, which in turn ensures their financial security,” Villar said in a statement.
The proposed measure aims to safeguard the remittances of more than 10 million Filipinos overseas by regulating remittance service fees, strengthening consumer safeguards, improving transparency in foreign exchange transactions, and mandating financial literacy programs for OFWs and their families.
Villar said these initiatives would help protect migrant workers from financial scams and poor financial decisions that could erode their savings.
“It is only right and just that we institutionalize the protection of OFWs and their remittances, which have been keeping the gears of our national development agenda running,” he added.
Swift passage urged
Sen. Joel Villanueva, chair of the Senate Committee on Banks, Financial Institutions and Currencies, sponsored the bill and called for its swift passage. The measure seeks to streamline remittance charges, require disclosure of fee structures, and mandate consultations with stakeholders before any changes in remittance fees are implemented.
Villanueva said the bill is particularly urgent given the ongoing conflict in the Middle East, where many Filipino workers are based.
“We appeal to our colleagues for the immediate passage of this measure, especially today amid the ongoing conflict in the Middle East where a huge number of OFWs work,” he said.
He noted that many OFWs remain burdened by an outdated remittance system that reduces their earnings through excessive fees, hidden charges and unclear foreign exchange practices.
“These are real burdens borne by families who depend on every peso to survive,” Villanueva said.
Under the bill, remittance service providers would be prohibited from implementing sudden fee increases without proper consultation and would face penalties for violations.
The measure also mandates the Department of Migrant Workers and the Overseas Workers Welfare Administration to conduct financial literacy programs for OFWs and their families in partnership with financial institutions. / KOC