Central bank governor Amado Tetangco said the slight increase to US$1.3 billion (S$2 billion) came in a 'challenging external environment' and following an earlier slump in the number of overseas workers.

Remittances from seamen were up but money sent back by land-based workers, particularly from the United States, had fallen, Tetangco said in a statement.

Government figures showed 165,737 workers left the Philippines in January, a 25.3-per cent increase year on year, the bank said.

The Philippines, whose main export industry is electronics and components, has been hard hit by the global slowdown with overall shipments down 41 per cent, prompting the government to promote the benefits of working overseas.

The Philippines is one of the world's leading sources for skilled and unskilled workers with up to nine million people, or about 10 per cent of the population, living and working in 140 countries.

The major sources of remittances were the United States, Saudi Arabia, Canada, Singapore, Japan, the United Kingdom, Italy and the United Arab Emirates, the central bank said.

The money has become a pillar of the Philippine economy, making up about 10 per cent of the country's gross domestic product. Total remittances in 2008 rose to US$16.429 billion, up 13.7 per cent from 2007. -- AFP