Philippines: Net FDI down in May

  • Aug 11, 2016

Philippines: Net FDI down in May

Thursday, 11 August 2016 – Elections likely caused investor jitters in May, pulling down foreign direct investments (FDI) by nearly a 10th, the Bangko Sentral ng Pilipinas (BSP) reported yesterday.

FDI recorded a net inflow of $364 million, 9.6 percent down from $403 million in the same period a year ago. A net inflow indicates more investments entered the country than left.

The BSP did not provide any explanation, but Emilio Neri Jr., lead economist at Bank of the Philippine Islands, said the national elections last May 9 could be the reason.

“This could be a transitory dip given that it was an election month. Investors probably were in a wait-and-see attitude,” Neri said in a phone interview.

“We could have probably seen a bounce back in June since we had an orderly election,” he added. Read More?