MANILA - Foreign direct investments (FDI) rose 13.2 percent in January according to the Bangko Sentral ng Pilipinas (BSP).
The BSP said FDI inflows reached $685-million in the first month of the year, higher by $80 million compared to the $605 million booked in January 2016.
"This developed as investors remain optimistic on the growth potential of the economy backed by strong macroeconomic fundamentals," the BSP said in a statement.
"In particular, non-residents’ investments in debt instruments (or lending by parent companies abroad to their local affiliates to fund existing operations and business expansion) grew by 122.6 percent to US$566 million from the year-ago level of US$254 million," the BSP added.
FDI inflows reached $7.9 billion last year. This was higher by 40.7 percent last year compared to $5.64 billion in 2015 and exceeded the $6.7 billion target set by monetary authorities.
The central bank is optimistic that FDI inflows will be sustained this year and reach $7 billion despite challenges from Brexit and the normalization of US interest rates.