The Central Bank of the Philippines published balance of payments-based foreign direct investment (FDI) statistics showing net inflows of USD 110 million in December 2024, down 85.2% from USD 743 million a year earlier. The decline was driven by higher debt repayments by resident corporations to nonresident direct investors, which pushed net investments in debt instruments to a USD 19 million net outflow from a USD 618 million net inflow in December 2023. Reinvestment of earnings fell 14.7% to USD 80 million (from USD 94 million), while nonresidents’ net equity capital investments excluding reinvested earnings rose 58.0% to USD 49 million (from USD 31 million). Equity capital placements mainly came from Singapore, Japan, the United States, and South Korea and were directed largely to information and communication, manufacturing, financial and insurance, construction, and real estate; full-year 2024 FDI net inflows were broadly stable at USD 8.9 billion. The central bank noted the data are compiled under BPM6 and presented in net terms, reflecting actual flows rather than approved investment commitments from other government sources.
Central Bank of the Philippines 2025-03-10
Central Bank of the Philippines reports December 2024 FDI net inflows fell 85.2% to USD 110 million as intercompany debt swung to outflows
The Central Bank of the Philippines reported a significant decline in FDI net inflows to USD 110 million in December 2024, an 85.2% drop due to increased debt repayments by resident corporations. Reinvestment of earnings fell by 14.7% to USD 80 million, while nonresidents’ net equity capital investments rose by 58.0% to USD 49 million, mainly from Singapore, Japan, the US, and South Korea. Full-year 2024 FDI net inflows remained stable at USD 8.9 billion, with investments in information and communication, manufacturing, financial and insurance, construction, and real estate sectors.