MANILA, Philippines — The Philippines has become a net borrower as of 2016, ending a 13-year streak of net lending to the rest of the world, the Bangko Sentral ng Pilipinas (BSP) said in a report released over the weekend. As a result, the domestic economy’s net borrowing from the rest of the world amounted to P53.4 billion in 2016, reversing its net fund provision of P333 billion in 2015. “The domestic economy becomes a net borrower, financed by the rest of the world largely through loans, equity and investment fund shares,” the BSP said. The central bank said the general government sector continued to be a net borrower with its financing requirements jumping 61 percent to P261.6 billion in 2016 from P162.5 billion. Likewise, the household sector reversed to a net borrower in 2016 with P52.9 billion from P50 billion in 2015, ending its net lending position that started in 2000.

Source: Philippine Star March 18, 2018 16:01 UTC