The Central Bank of the Philippines (Bangko Sentral ng Pilipinas, BSP) reported a balance of payments (BOP) deficit of USD 1.5 billion in December 2024, reversing a USD 642 million surplus in December 2023. Despite the December shortfall, the cumulative BOP position for 2024 remained in surplus at USD 609 million, down from USD 3.7 billion in 2023. The December deficit reflected the BSP’s net foreign exchange operations and a drawdown of national government deposits with the BSP to meet foreign currency debt obligations. Based on preliminary data, the lower full-year surplus was driven by a wider trade in goods deficit, lower net receipts from trade in services, and reduced net foreign borrowings by the national government, partly offset by continued net inflows from personal remittances and net foreign portfolio and direct investment. Gross international reserves fell to USD 106.3 billion as of end-December 2024 from USD 108.5 billion at end-November, equivalent to 7.5 months of imports of goods and payments of services and primary income and about 3.7 times short-term external debt on a residual-maturity basis.
Central Bank of the Philippines 2025-01-20
Central Bank of the Philippines reports USD 1.5 billion December 2024 balance of payments deficit and reserves at USD 106.3 billion
The Central Bank of the Philippines reported a balance of payments deficit of USD 1.5 billion in December 2024, reversing a USD 642 million surplus from the previous year. Despite this, the cumulative BOP position for 2024 remained in surplus at USD 609 million, down from USD 3.7 billion in 2023. The December deficit was influenced by net foreign exchange operations and national government deposit drawdowns, while the annual surplus was affected by a wider trade deficit and lower net receipts from services and borrowings.