Net FDI inflows shrank by 34% in May

MANILA -The net inflows of foreign direct investments (FDI) into the Philippines fell by 34 percent to $488 million in May from $739 million in the same month of 2022, amid a sharp contraction of inflows into debt instruments.

“The decline in FDI net inflows reflected the 70.7-percent contraction in non-residents’ net investments in debt instruments to $161 million from $551 million in the same month last year,” the Bangko Sentral ng Pilipinas said in a statement.

“FDI remains subdued due to the effects of relatively higher price and interest rate levels globally,” the central bank added.

For the January-May period, net inflows dropped by 21 percent to $3.4 billion from $4.3 billion in the same period last year.