FOREIGN direct investments (FDIs) into the Philippines posted a double-digit decline in March as investors factored in concerns over slower economic growth prospects across the globe, the Bangko Sentral ng Pilipinas (BSP) reported yesterday.
Data released by the central bank showed that FDI net inflows stood at $548 million in March, 30.7% lower than $792 million the same month last year, and lower than $1.047 billion in February.
“The said decline resulted from lower net inflows from across all major FDI components amid investor concerns over subdued global growth prospects,” the BSP said.
Inflows of non-residents in net debt instruments fell by 37.2% to $389 million, net equity other than reinvestment of earnings dropped by 11.7% to $94 million, and reinvestment of earnings slipped by 0.1% to $65 million.
Equity capital placements for the month came mostly from Singapore, Japan, and the United States, which were then channeled to manufacturing (27%), information and communication (26%), real estate (23%), and others (25%).
The latest figures brought the first-quarter FDI net inflows down 19.6% to $2.042 billion from $2.542 billion the comparable period last year. Japan, Singapore, and the United States were the top country sources for the period.
This comes as the current administration — led by President Ferdinand Marcos Jr. — has continued to conduct roadshows across the globe to entice more investments into the country.
Malacañang in December said Marcos’ foreign visits in 2022 alone have generated $23.6-billion in investment pledges. He has since visited more countries including the United States where $1.3-billion worth of pledges were reportedly secured. (GMA Integrated News)
