Net foreign direct investment (FDI) inflows into the Philippines rose by 24.9% year-on-year to USD 690 million in August 2026. This growth was mainly driven by higher net equity capital placements excluding reinvested earnings, as well as a substantial increase in reinvested earnings, which expanded by 29.5% and 50.2%, respectively. These gains were partly offset by a 16.7% decline in net investments in debt instruments.
Over the first eight months of the year, however, net FDI inflows fell by 18.6% to USD 4.8 billion, from USD 5.9 billion in the same period a year earlier. The contraction reflected a 30.0% drop in net investments in debt instruments, mainly due to lower intercompany borrowing from foreign direct investors. Reinvestment of earnings also slipped by 2.7% over the period.
Equity capital placements came primarily from Japan, the United States, and Singapore, with funds directed mainly to the manufacturing, financial and insurance, and real estate sectors.
