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MANILA, Philippines - Foreign direct investments (FDI) in the Philippines last February fell by 30 percent from a year ago
In a statement, the Bangko Sentral ng Pilipinas (BSP) said FDI inflows eased to $84 million last February from $121 million in the same month last year.
Last February's inflows also fell by a faster 89 percent from the $766 million in January.
Equity capital dropped to $77 million in February from $739 million the month before amid lower placements and higher withdrawals in the second month of the year.
"Equity capital infusion in the first two months came mainly from the US, Australia, Japan, and Kuwait," the BSP said.
"The sectors that benefitted from these inflows were the manufacturing, wholesale and retail trade, real estate, financial and insurance services, mining and quarrying, and information and communication," it added.
Reinvested earnings increased to $28 million last February from $16 million in the same month last year, but fell from $32 million in January this year.
"This developed as foreign investors opted to retain some of their profits in domestic firms, encouraged by positive macroeconomic developments and favorable corporate earnings prospects," the BSP said.
The other capital account—consisting largely of intercompany borrowing/lending between foreign direct investors and their subsidiaries/affiliates in the Philippines—reversed to a net outflow of $21 million last February from a net inflow of $94 million in the same period last year.
The BSP said this was "due mainly to repayments of intercompany loans by local subsidiaries/affiliates to their parent companies abroad."
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