MANILA, Philippines — Net foreign direct investment (FDI) in the Philippines last year dropped 48 percent to $1.52 billion from $2.92 billion in 2007, the central bank reported Tuesday.
The gross FDI inflow was $1.735 billion and the gross outflow, $215 million, the Bangko Sentral ng Pilipinas (BSP) said.
In December was a net FDI inflow of $89 million, down 3.3 percent from $92 million a year earlier.
The BSP blamed the drop in investments to lingering risk aversion brought about by the global financial crisis, but it said the Philippines was still in a better position than the others in that FDI remained in positive territory.
The Philippines recorded an economic growth of 4.6 percent last year.
The gross FDI inflows in 2008 included $1.56 billion in equity capital.
The major sources of FDI were the United States, Japan, Singapore, South Korea, Germany, Malaysia, Taiwan, Hong Kong, United Kingdom and the Netherlands. The investments were in manufacturing, services, mining, construction, utilities, real estate, trade and commerce, and financial services.
Fitch Ratings earlier said it expected the Philippines to record a net FDI outflow of $1.6 billion this year, reversing last year’s net inflow. [Read story]
The BSP said there was reason to believe the Philippines would still record a net inflow of FDI this year, as some sectors, including business process outsourcing, continued to show encouraging income performance.
The BSP has been easing its monetary policy. It has cut its overnight borrowing and lending rates by a total 125 basis points since December, and has slashed the reserve requirement for banks to 19 percent of deposit liabilities from 21 percent. Edited by INQUIRER.net
June 2025
Philippine Environment Month!
“Action for Nature, for the Future!”
Invoke Article 33 of the ILO Constitution
against the military junta in Myanmar
to carry out the 2021 ILO Commission of Inquiry recommendations
against serious violations of
Forced Labour and Freedom of Association protocols.
Accept National Unity Government (NUG)
of Myanmar. Reject Military!
#WearMask #WashHands #Distancing #TakePicturesVideosturesVideos
Monthly Observances:
1 Jun – World Day of Parents
5 Jun – World Environment Day
7 Jun – World Food Safety Day
8 Jun – World Oceans Day
12 Jun – World Day Against Child Labour
15 Jun – World Elder Abuse Awareness Day
16 Jun – International Day of Family Remittances
17 Jun – World Day to Combat Desertification and Drought
20 Jun – World Refugee Day
25 Jun – Day of the Seafarer
27 Jun – Micro-, Small and Medium-sized Enterprises Day
Daily Observances:
June 6: Migrant Workers Day
June 19: Filipino Youth Day
June 25: Day of the Filipino Seafarer
