Net FDI inflows into Philippines drops 7.5% YoY to $1.3 bn in Jul 2025

Inflows from Japan and into wholesale and retail trade took the lead in the month.

The drop resulted from lower non-residents’ net investments in debt instruments, which fell by 39.4 per cent year on year (YoY) from $1.2 billion to $711 million.

Net foreign direct investment (FDI) inflows into the Philippines declined by 7.5 per cent from $1.4 billion in July 2024 to $1.3 billion in July 2025, central bank data show.
The drop resulted from lower non-residents’ net investments in debt instruments, which fell by 39.4 per cent YoY to $711 million.
FDI net inflows fell by 20 per cent YoY to $4.7 billion in January-July 2025.

However, the reduction was tempered by the 450.6-per cent increase in non-residents’ net investments in equity capital (other than reinvestment of earnings), which rose YoY from $76 million to $418 million. Similarly, reinvestment of earnings grew by 14.3 per cent YoY from $122 million to $139 million, a release from the central bank said.

Equity capital placements in July 2025 were sourced primarily from Japan and the United States.  Industries that received most of these investments were wholesale and retail trade, manufacturing and real estate.

FDI net inflows declined by 20 per cent from $5.9 billion posted in January-July 2024 to $4.7 billion in January-July 2025.

Fibre2Fashion News Desk (DS)