Cut OFW remittance charges

Overseas Filipino Workers or OFWs are called the country’s new breed of heroes, who last year collectively helped shore up the country’s economy by sending $8.5 billion in remittances. Yet for every remittance they make, as much as 13.5 percent is charged by banks for transaction fees, one of the highest in the world and described by a recent IMF study as "a bit steep." A separate study by the US State Department revealed that global transaction costs range from $15-$26 for a typical $200 remittance. That’s why Sen. Mar Roxas’ suggestion for a global reduction in remittance charges should be pushed because this will mean more income for the country and bigger earnings for more Pinoy households. Local banks reportedly charge a $6 transaction fee for each remittance coursed through a subsidiary in the US. Assuming that an OFW sends money home at least once a month, a total of $72 would have been spent for transaction costs, which is roughly equivalent to 16 days’ minimum wage in the Philippines. Considering the advances made in technology, it should be possible to reduce transaction costs without eroding the profitability of companies engaged in the remittance trade. Next to India and Mexico, the Philippines is the third largest recipient of remittances. This year, remittances are expected to account for almost 60 percent of the country’s gross international reserves of $17 billion.

Beware of text fraud

Scores have complained about a fraudulent Padala text from the number +63928261-6082 which goes: "u won a nokia 7610 from our network. To claim your prize plz call # 09282616082. DTI NCR permit #2838 series of 2005 god bless. T.y" If you happen to fall for this, you will either waste money calling them. Worse, they might actually convince you to spend P33,000 on phone cards without even giving you the Nokia 7610 prize. Usually they say that your number was chosen in a popular noontime variety show raffle so they pressure you into buying a big amount of phone cards by 3 p.m. the same afternoon. The concerned telco, the NTC, and DTI should look into the fraud gang behind this.

Lady R strikes again

Remember Lady R, the Rental Queen of the new Greenhills theater mall complex? It seems that her appetite is so insatiable that now she’s even charging applicants for a small cart space a whopping rate. A Spybiz informant reported that for a cart space of about 2.5 sq. meters suitable for a hotdog stand, the going rate is some P45,000 a month. In which case, the hotdogs would have to sell for P200 each for the lessee to make that much money, the informant commented. The hunkering for more money is not really surprising considering that Lady R’s alleged sweetheart, a female showbiz has-been, is said to have a very expensive lifestyle.

The listening post: 1 million Chinese quit CCP

avendish’ old China hands reported that one million Chinese no longer consider it expedient or fashionable to be affiliated with the Chinese Communist Party, and have declared their resignation. The Chinese are reportedly leaving the CCP at a rate of 20,000 per day, and observers say this could usher in a new system in China and could bring to the eventual disintegration of the CCP. In fact, most of the speakers before a huge rally held in downtown New York recently had grown up under communist rule and spoke of their unfortunate experiences, and called on the rest of the world to urge China to improve human rights, end censorship, and undergo political reforms. Some have even likened the event to something akin to the fall of the Berlin Wall. The Man from Cavendish posited that events such as the huge press conference show Chinese history unfolding before the eyes of the world.

Spy tidbiz: Celebrity diplomat

In the Mailbox of the Philippine STAR’s Business Section, the letters of Ambassador Albert Del Rosario were printed in full. He claims that he no longer had anything to do with Heath Lambert when Napocor’s reinsurance pole-vaulted from $9 million to $17.5 million in 2002. Even big insurance industry players were shocked at the huge jump. If it is true that you were not involved in the 2002 Napocor deal, then good for you, Mr. Ambassador. You thanked Spybiz for making you a celebrity. Just think, if you were involved in that deal, you would have been elevated to international celebrity status just like AIG’s Maurice Greenberg.

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