By Lawrence Agcaoili

American banking giant Citigroup sees the growth of remittance inflows from Filipinos working abroad slowing down to just 3 percent this year due to the decline in job deployment amid the global crisis.

?The decline in job deployment overseas could flag remittance weakness. We do not rule out potential wage cuts in line with increasing slack globally on the back of US job cuts, oil price lows threatening Middle East growth prospects, and global trade collapse in Asia,? Citibank economist Jun Trinidad said in a commentary.

Data released by the Bangko Sentral early this week showed that remittances from migrant workers went up 13.7 percent to $16.43 billion last year from $14.45 billion in 2007.

He said money sent back monthly by Filipinos working abroad hovered between $1.3 billion and $1.4 billion in the second half of last year after peaking at $1.4 billion in June.

?Monthly remittance value below this range in 2009 could suggest a combination of headcount loss, overseas wage cuts, and less payment from migrant Filipinos on onshore residential purchases,? Trinidad said

Preliminary data from the Philippine Overseas Employment Administration showed that the number of Filipinos deployed abroad rose 27.8 percent to 1.376 million in 2008 from 1.077 million in 2007.

However, the number of deployed abroad in December declined 5.8 percent to 89,799year-on-year.

Trinidad said the release of the stronger-than-expected remittances failed to perk up the market.

The central bank had expected remittance inflows to grow 13 percent to $16 billion last year. Actual remittances were $400 million more than the projection.

Major sources of remittances were the United States, Saudi Arabia, Canada, United Kingdom., Italy, United Arab Emirates, Japan, Singapore, and Hong Kong.