spot_img
29 C
Philippines
Thursday, March 28, 2024

Foreign direct investments in February up 20% to $746m

- Advertisement -

Net inflow of foreign direct investments in February rose 20.2 percent to $746 million from $621 million posted in the same period last year, the Bangko Sentral ng Pilipinas said Friday. 

“Investment inflows continued as investors remain confident in the Philippine economy on the back of strong economic growth prospects and sound macroeconomic fundamentals,” the central bank said.

Net equity capital investments contributed largely to the increase in FDI net inflows during the period, expanding 142 percent to $233 million from $96 million in February 2018. 

“This was due to the 126.3-percent increase in equity capital placements to US$258 million that were sourced mainly from Japan, China, the United States, Singapore, and Switzerland,” it said.

Equity capital investments for the period were channeled primarily to transportation and storage, financial and insurance, manufacturing, real estate, and professional, scientific and technical industries. 

- Advertisement -

Reinvestment of earnings grew 13.7 percent to $79 million from $69 million in the same month a year ago. Non-residents’ placements in debt instruments issued by local affiliates (inter-company borrowings) recorded lower net inflows of $435 million from $455 million in February 2018. 

FDI net inflows amounted to $1.4 billion in the first two months of 2019, lower by 15.7 percent from $1.6 billion on year.

“The decrease in FDI net inflows during the period was due mainly to the 67.1-percent decline in non-residents’ net equity capital investments as placements decreased by 31.5 percent, while withdrawals grew by 236.5 percent,” the Bangko Sentral said.

Equity capital placements during the period came mostly from Japan, China, South Korea, Mauritius and the United States. 

Equity capital infusions were mainly invested in financial and insurance, transportation and storage, real estate, administrative and support service and manufacturing industries. 

Meanwhile, net placements in debt instruments increased 12.9 percent to $1 billion from $896 million in the first two months of 2018.

- Advertisement -

LATEST NEWS

Popular Articles