MANILA – Net inflows of foreign direct investments (FDI) went up by 7.1 percent in April this year, the Bangko Sentral ng Pilipinas (BSP) said.
Preliminary data released on Thursday showed that net inflows during the month reached USD610 million from USD570 million in April last year.
FDIs include investments by a non-resident direct investor in a resident enterprise whose equity capital in the latter is at least 10 percent, and investments made by a non-resident subsidiary or associate in its resident direct investor.
The latter can be in the form of equity capital, reinvestment of earnings, and borrowings.
The BSP said the increase was due to the higher net inflows from nonresidents’ net investments in debt instruments, which went up by 24.3 percent from USD420 million to USD522 million.
Reinvestment of earnings also increased by 3.3 percent from USD82 million to USD84 million.
Nonresidents’ net investments in equity capital (other than reinvestment of earnings) however declined by 94.1 percent to USD4 million.
The BSP said equity capital placements came mostly from Japan, the United States, Singapore, South Korea, and Taiwan.
These were invested in manufacturing, financial and insurance, and real estate industries. (PNA)