RP continues to show signs of positive growth
Manila (12 April) -- The Palace said the Philippines continue to show signs of positive growth, improving economic prospects as net Foreign Direct Investments (FDI) rose by 51% to $357 million in January from a year ago, even as the Peso breached a record six-year high P47 to a dollar.
Palace Spokesperson Ignacio Bunye announced that the net equity capital inflows rose nearly 70% in January to $70 million as the Philippines’ improving government finances, strong domestic demand and low inflation attracted overseas investors, particularly from Japan and the US. Foreign banks accounted for most of the inflows as they opted to retain their earnings in local branches.
BSP cites economic gains
The Bangko Sentral ng Pilipinas (BSP) said industries which benefited most from the inflows included manufacturing, services, real estate, financial intermediation, and construction.
Net Foreign Direct Investments (FDI) in December rose by 5.7% from a year earlier, bringing total investment inflows to $2.35 billion last year, 18% higher than a central bank estimate.
FDI flows are expected to remain positive in 2007 with investors taking advantage of the country’s improving investment climate. (PIA 10) [top]