Digital apps top choice for Asia Pacific youth remittances

A new report from Visa indicates that over 74% of young people in key Asia Pacific markets now prefer to use digital apps for sending and receiving remittances, with speed and trust emerging as the primary factors in choosing remittance methods ahead of transaction fees.

The Money Travels: 2025 Digital Remittances Adoption Report is based on a survey of 44,000 remittance senders and receivers across 20 countries and territories, mapping evolving remittance preferences worldwide, including the Asia Pacific, a region that plays a prominent role in the global remittance sector estimated at USD $905 billion.

Digital app preference

The report shows that digital applications remain the most popular channel for remittances in Asia Pacific, with both sending and receiving usage rates peaking in India (74%/76%), the Philippines (74%/66%), and Singapore (70%/75%). Japan is also experiencing robust growth, with digital app usage up by 10% to 58% for senders and 56% for receivers compared to the previous year.

Respondents overwhelmingly perceive digital payments as the fastest way to access funds. In the Philippines, 73% of both senders and receivers hold this view, followed by Singapore (67%/66%), Australia (58%/55%), and India (55%/53%).

Across all Asian markets surveyed, most users reported few or no issues with digital remittance transfers, particularly in Australia (48%/53%), Japan (37%/41%), Singapore (36%/37%), and Mainland China, which saw increases of +13% for senders and +8% for receivers since 2024.

Motivations for remittances

Reasons for sending and receiving remittances vary throughout the region. Contributing to accounts or investments was a primary motive in Mainland China (45%/36%), Singapore (38%/33%), and Japan (27%/23%). Humanitarian reasons, both general and specific, are also significant: Mainland China (45%/33%), India (40%), Singapore (27%), and Australia (25%) cited this as a key rationale.

Sending money for unexpected needs is most common in India (44%), the Philippines (41%), and Australia (31%). Regular remittances are received by approximately a third of respondents in the Philippines (39%), Mainland China (34%), and India (30%).

Security and convenience over cost

In terms of security, digital apps are widely viewed as the most secure way to transfer remittances in Asia Pacific, with the highest responses from India (50%/53%), Australia (49%/45%), and Singapore (44%/42%). Respondents highlighted ease of use in Singapore (51%/51%), the Philippines (48%/54%), Japan (47%/42%), and Australia (42%/40%) as a top benefit.

"Remittances have long driven growth across Asia Pacific, uplifting many economies in the region," said Chavi Jafa, Senior Vice President, Head of Commercial and Money Movement Solutions, Asia Pacific, Visa. "The clear shift to app-based remittances reflects the region's demographics, the growing prominence of digital payment modes, as well as user preferences for easy, safe and quick ways to send and receive money. This shift is an important one for banks, remitters and fintechs to note as it will shape how they engage and serve evolving consumer expectations."

Fees for digital app remittances remain a pain point, especially in the Philippines (43%/30%), India (36%/33%), and Singapore (32%/32%). High costs are also the main complaint regarding physical remittances across all markets, particularly in the Philippines (45%/29%), India (41%/37%), Singapore (38%/30%), and Australia (29%/30%). Travelling long distances and inconvenient processes continue to challenge users of physical remittance methods in India (36%) and Mainland China (27%). In Singapore and Australia, 29% of each market's respondents described such processes as inconvenient and time-consuming, alongside concerns about high fees. Perceived security of physical remittances is low (3%-6%) across most markets, with Mainland China showing slightly more confidence (10%-12%).

The Asia Pacific region remains a hub for remittance activity, with more than one billion people globally relying on remittance services and platforms each year, according to IFAD data referenced in the report.

"Remittances have long been a lifeline across Asia Pacific, and they will continue to play a vital role in uplifting communities and livelihoods. At the same time, many small businesses are also beneficiary of remittances driving local growth in local economies," said Rhidoi Krishnakumar, Vice President, Head of Visa Direct, Asia Pacific, Visa. "At Visa, we recognise the enduring purpose of our role in delivering remittances on behalf of our clients and continue to innovate and build solutions to enable more efficient, reliable and secure ways to move money."

Visa collaborates with global remitters such as MOIN, WireBarley, Money Chain World Remittance, and EzRemit to facilitate digital remittance transfers and support financial access and operational efficiency for payments providers.