Strong macroeconomic fundamentals in the country
Makati, one of 17 cities that make up Metro Manila, Philippines. joyfull / Shutterstock.com
Foreign direct investments (FDI) in the Philippines grew 7 percent year-on-year in July, the country’s central bank announced this week.
Total FDI in the archipelago hit USD503 million in July, compared with the USD470-million inflow in the same period last year, the Bangko Sentral ng Pilipinas (BSP) reported.
“The increase in FDI inflows was driven by investors’ positive outlook on the Philippine economy, reinforced by strong macroeconomic fundamentals,” the BSP said in a statement.
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Foreign investments in equity capital hit only USD23 million in July however, an 85.5 percent drop from the same month last year. Such inflows were ploughed into real estate, among other sectors, and originated from such countries as Germany, Singapore, Japan, South Korea, and the US.
Such massive investments are gushing into the country even as President Rodrigo Duterte steps up his caustic rhetoric against the US and other Western allies, as well as the United Nations. Duterte is said to be courting China for billions of dollars in infrastructure investments ahead of an official visit this year.
A bulk of the FDI reported was made in debt instruments, which grew 79.4 percent from USD232 million in July 2015 to USD417 million in July 2016. As with the equity capital category, reinvestment of earnings made a steep plunge of 19.5 percent to USD63 million.
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Source : property-report.com
Read more…Philippines FDI increase put down to positive investor sentiment
