NET inflows of foreign direct investments (FDIs) reached US$529 million in February this year, the Bangko Sentral ng Pilipinas (BSP) said.
Data released on Monday, May 12, 2025, showed that the FDI net inflows declined by 61.9 percent from the US$1.4 billion recorded in February last year.
FDIs include investments by a non-resident direct investor in a resident enterprise whose equity capital in the latter is at least 10 percent, and investments made by a non-resident subsidiary or associate in its resident direct investor. The latter can be in the form of equity capital, reinvestment of earnings, and borrowings.
The BSP said the decline in the FDI net inflows in February 2025 was due to the contraction in nonresidents’ net investments in equity capital, which dropped to $108 million from $764 million in February last year.
Nonresidents’ net investments in debt instruments and their reinvestment of earnings also declined by 35.4 percent to $348 million from $540 million, and by 13.1 percent to $73 million from $84 million, respectively.
Japan, the United States, Ireland and Malaysia were the top sources of FDIs in February, the BSP said.
“These investments were largely directed towards the manufacturing, financial and insurance, real estate, and information and communication industries,” it added.
For the first two months of the year, FDI net inflows decreased by 45.2 percent to $1.3 billion from $2.3 billion in January to February last year.
The top sources of FDIs were Japan, the United States, Singapore, Malaysia and Ireland. / PNA