‘Hot money’ outflow eases in September but PH still in the red in 2019

The net outflow of short term investments from the Philippines was halved in September compared to the same period last year, but the total exodus so far of foreign portfolio investments continued to rise, according to data form the central bank.

The Bangko Sentral ng Pilipinas (BSP) said net outflow of $232 million was recorded in September as a result of the $1.5 billion outflow which more than offset the $1.3 billion inflow for the month. This figure is an improvement from the net outflow of $392 million recorded in August 2019.

From the start of 2019 to the first week of October, $1.33 billion in net outflow was recorded by the central bank compared to $74.6 million in net inflow in the same period in 2018.

In September 2019 alone, the $1.3 billion registered investments reflected a 7.2 percent increase
from the $1.2 billion figure in August. /TSB