Net inflows of foreign direct investments (FDI) fell to its lowest level in 11 months in April, reflecting the continued impact of the coronavirus disease 2019 (Covid-19) pandemic on investor sentiment, the Bangko Sentral ng Pilipinas (BSP) said on Wednesday. “The slowdown in FDI inflows reflected the continued weak global and domestic demand prospects, prompting many investors to put on hold [their] investment plans amid the unresolved Covid-19 pandemic,” the BSP said in a statement. The decrease in year-to-date inflows was largely blamed on the 53-percent drop in net investments in debt instruments to $1.05 billion from $2.23 billion. The year-to-date plunge, however, was partly tempered by the 95.2-percent growth in net equity capital placements to $661 million from $338 million. Last year, net FDI inflows sank to a four-year low of $7.64 billion on the back of dampened investor sentiment because of global uncertainties.

Source: Manila Times July 22, 2020 17:34 UTC