MANILA – Foreign direct investments (FDI) hit a record-high of $6.2 billion in 2014, surpassing the central bank's projection of $4.4 billion.
The Bangko Sentral ng Pilipinas (BSP) said last year’s FDI grew by 66 percent from the $3.7 billion net inflows in 2013.
“FDI inflows remained robust, buoyed by strong investors’ confidence in the country’s solid macroeconomic fundamentals,” the BSP said in a statement on Tuesday.
Net equity capital infusion surged by 207 percent to $2 billion in 2014 from the $664 million in 2013.
The investments came mostly from the US, Hong Kong, Singapore, Japan and the United Kingdom.
The funds were channeled to financial and insurance; manufacturing; real estate; mining and quarrying; and wholesale and retail trade sectors.
FDI net inflows in December alone reached $557 million, a five-fold jump from the $102 million posted in December 2013.
“Net equity capital infusion contributed largely to the increase in FDI net inflows during the month as it reversed to $482 million net inflows from $60 million net outflows for the same period in 2013,” the BSP said.
It added that the jump in investments was driven by the 1,466 percent expansion in equity capital placements and the 10.7 percent decline in equity capital withdrawals.
The investments came from the US, Hong Kong, the United Kingdom, Republic of Korea, and Singapore, and were directed to financial and insurance; mining and quarrying; real estate; manufacturing; and information and communication sectors.