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Item Restricted Effects of the 2008 global financial crises on Philippine remittances(2011-10) Ahmad, Adnan P.; Diokno, Benjamin E.Remittances form the backbone of the Philippine economy, as is commonly believed nowadays, by making up 11% of GDP as of 2010. However the financial crises of 2008 threatened this source of income originating from the US which is the major source of remittances. Using the exchange rate, Philippine GOP and US GOP as the main variables, regression models using OLS and the Chow test show that there is a structural break in remittances to the Philippines. Despite this the number of OFWs have~Jed to Increase along with the amount of remittances {although at a slower rate).And forecasts, using VAR, of remittances also point towards such a trend. Filipinos working abroad are mainly employed in the service sector which is not as prone to the financial crises as other job sectors such as managerial, administrative or professional Added to this, the geographical spread, as there are significant populations of OFWs in other countries such as the United Arab of Emirates~ UK~ Canada and Australia, may be seen to contribute to dampening the effect of the crises on remittances. Hence, despite the structural break, forecasts show remittances to continue to increase and not be severely affected by the crises.