Net FDI inflow to PH surged by 48.3% in April
The net inflows of foreign direct investments (FDI) to the Philippines surged by 48.3% in April to $989 million from $667 million in the same month of 2021.
The Bangko Sentral ng Pilipinas (BSP) said that this growth is due to the 35% rise in nonresidents’ net investments in debt instruments such as treasury bills and bonds — from $1.91 billion to $2.58 billion.
The central bank disclosed that the increased equity capital placements mainly came from Malaysia, the United States, and Japan. These inflows were primarily channeled to the construction, real estate, professional, scientific, technical, and manufacturing industries.
Last week, think tank Fitch Solutions said that the newly-reformed economic laws could help further liberalize the domestic economy, shore up the depreciating peso, and attract more FDI into the Philippines.
The amendments in these laws — including the Retail Trade Liberalization Act, Foreign Investment Act, and Public Service Act — help remove restrictions on foreign ownership of companies in the country.
