XINHUA – Foreign direct investment (FDI) into the Philippines declined 20 per cent year-on-year in January to reach USD731 million, the Philippine central bank said, Xinhua reported.
“The downturn in FDI net inflows during the month was mainly due to the 37.7 per cent decrease in non-residents’ net investments in debt instruments to USD519 million from USD833 million,” the Bangko Sentral ng Pilipinas (BSP) said in a statement.
“This was tempered partly by the shift in non-residents’ net investments in equity capital other than reinvestment of earnings, which turned to net inflows of USD88 million from net outflows of USD11 million,” the BSP said.
According to the BSP, non-residents’ reinvestment of earnings rose 36 per cent to USD125 million from USD92 million recorded in January 2024.
Equity capital placements in January 2025 originated primarily from Japan, the United States, Singapore, and Malaysia.
These investments were channelled mainly to the manufacturing, financial and insurance, and real estate industries, the BSP said.
