The forecast is a downward adjustment from the previously estimated $2.9-billion surplus and smaller than the $7.84-billion surplus posted last year. For 2021, the central bank expects the BoP surplus to widen to $2.4 billion, or 0.6 percent of GDP. Although the latest amount boosted the January-to-April surplus to $1.59 billion, the year to-date BoP position remains much lower than the $4.26-billion surplus in the same period in 2019. “The foreign portfolio investment outflows and lower foreign direct investments inflows were mitigated by the lower merchandise trade deficit and higher remittances from overseas Filipinos in January [to] March,” it added. Moreover, it is also about 5.5 times the country’s short-term,” the BSP said.

Source: Manila Times June 11, 2020 17:15 UTC