Philippines’ FDI net inflows fall 31% in February

Net inflows of foreign direct investments (FDIs) into the Philippines declined by nearly 31% year on year in February, the Bangko Sentral ng Pilipinas (BSP) said.

Preliminary BSP data showed FDI net inflows fell by 30.99% to $590 million in February from $855 million in the same month last year.

Month on month, however, FDI net inflows increased by 33.18% from the $443 million recorded in January, marking the highest monthly level in three months.

“Foreign direct investments (FDIs) into the Philippines posted net inflows of $590 million in February 2026,” the BSP said in a statement on Monday.

“The United States was the leading source of FDIs, while corporations engaged in financial and insurance activities were the biggest recipients of FDIs during the month,” it added.

For the first two months of 2026, cumulative FDI net inflows declined by 34.79% to $1.033 billion from $1.584 billion in the comparable period a year earlier.

FDIs refer to cross-border investments in which a nonresident investor holds at least 10% equity in a resident enterprise. These may take the form of equity capital, reinvestment of earnings and intercompany borrowings.

The BSP’s FDI data reflect actual investment flows. This differs from the Philippine Statistics Authority’s approved foreign investment data, which represent investment commitments that may not necessarily be realized within the reference period.

The central bank expects FDI net inflows to reach $7.5 billion this year. — Katherine K. Chan