The Central Bank of the Philippines published an International Investment Position update showing the country’s net external liability position widened to USD 54.9 billion, or 11.2 percent of gross domestic product, as of end-March 2026. The change was mainly driven by a faster decline in external financial assets than in external liabilities. The fall in assets reflected lower reserve assets, largely due to the central bank’s foreign exchange operations and national government drawdowns on its foreign currency deposits with the central bank for debt servicing. Higher bond yields, tied to geopolitical uncertainty and a weak global outlook, also led to downward valuation adjustments in external assets, including foreign-issued debt securities. The release added that the Philippines’ external position continues to be supported by foreign investment inflows and access to external financing.
Central Bank of the Philippines2026-06-30
Central Bank of the Philippines reports net external liability position widened to USD 54.9 billion at end-March 2026
The Central Bank of the Philippines said the country’s net external liability position widened to USD 54.9 billion, or 11.2 percent of gross domestic product, at end-March 2026. The shift mainly reflected a sharper decline in external assets, led by lower reserve assets and valuation losses on foreign holdings as bond yields rose.