Indonesian Migrant Workers' Remittances Show US$1.57 Billion Surplus in Q2 2021

Bank Indonesia (BI) recorded US$2.28 billion in remittances from Indonesian workers (TKI) abroad in the second quarter of 2021, equivalent to Rp 33 trillion (using an exchange rate of Rp 14,496/US$). This figure represents a 0.75% increase compared to the first quarter of 2021, which totaled US$2.26 billion (month-to-month/m-to-m).

Compared to the second quarter of 2020, TKI remittances also grew by 0.64% (year-on-year/yoy). However, for the first half of 2021, the value of TKI remittances decreased by 6.7% to US$4.53 billion (cumulative-to-cumulative/c-to-c).

Meanwhile, remittances from foreign workers (TKA) sent to their home countries reached US$689.37 million, or Rp 9.99 trillion, in the second quarter of 2021. This amount increased by 1.09% compared to the previous quarter (m-to-m), but decreased by 1.81% compared to the same quarter of the previous year (yoy).

For the first half of this year, TKA remittances totaled US$1.37 billion. This figure decreased by 5.17% compared to the first half of the previous year (c-to-c).

Therefore, the balance of TKI remittances against TKA remittances in Indonesia resulted in a surplus of US$1.59 billion, or Rp 23 trillion, in the second quarter of 2021. This value grew by 0.61% quarter-on-quarter (m-to-m) and increased by 1.74% year-on-year (yoy).

For the first half of 2021, the balance of TKI remittances against TKA remittances showed a surplus of US$3.17 billion. However, this value decreased by 7.35% compared to the first half of 2020, which amounted to US$3.42 billion (c-to-c).

Furthermore, Indonesian workers in Saudi Arabia recorded the largest remittances in the first quarter of 2021, namely US$706.65 million. This was followed by remittances from Indonesian workers in Malaysia and Taiwan, which amounted to US$640.37 million and US$342.05 million, respectively.

Meanwhile, the largest TKA remittances originated from India, at US$156.26 million. This was followed by China and Japan, with TKA remittances reaching US$101.66 million and US$85.81 million, respectively.