FDI up 18.8% between Jan-May period
Foreign direct investments (FDIs) registered with the Bangko Sentral ng Pilipinas (BSP) grew 18.8% to $4.17 billion from January to May, higher than last year’s $3.5 billion.
According to the BSP, FDI net inflows for May rose 64.1% to $742 million from $452 million in 2021.
“The year-to-date growth was mainly on account of the increase in non-residents’ net investments in debt instruments, which muted the decline in net equity capital placements (other than reinvestment of earnings),” said the BSP.
For May, non-residents’ net investments in debt instruments and equity capital of their local affiliates boosted FDIs.
The BSP said the bulk of equity capital placements were sourced from investors located in Japan, the United States (US), Singapore, and the Netherlands.
FDIs were mostly invested in the manufacturing sector (30%), real estate (20%), construction (15%), and financial and insurance sectors (13%).
The BSP is projecting net FDI to reach $11 billion this year. In 2021, net inflows increased to an all-time high of $10.52 billion, up by 54.2 percent from $6.82 billion in 2020. The previous record level was $10.3 billion in 2017.
