Overseas money transfer reaches almost $10b in 2010

Money remittances to foreign countries, including foreign workers’ income transfers, jumped last year to nearly $10 billion (11.2 trillion won) amid the economic recovery, central bank data showed Friday.

Total money flowing to foreign countries reached $9.97 billion last year, up 31 percent from the previous year, according to the Bank of Korea.

Among total remittances, payment of income to foreign workers on a short-term stay came to $1.08 billion last year, up 66.1 percent from the previous year. The 2010 figures marked the first time that such payments surpassed the $1 billion mark.

The remainder covers money remitted by long-staying foreign workers to their home countries and local people’s money transfers to Koreans living in overseas countries. Such money outflows rose 27.7 percent on-year to $8.89 billion last year.

The rise in money remittance came as companies accelerated factory operations amid the economic recovery, raising demand for labor from foreign workers, the bank said.

The Korean economy grew 6.1 percent in 2010, sharply up from a 0.2 percent expansion in the previous year, as robust exports and improved domestic demand helped the country emerge from the impact of the global financial turmoil. (Yonhap News)