Net foreign direct investment (FDI) in the Philippines rose by 31.1% year-on-year to USD 0.6 billion in December 2025. Net inflows from reinvestment of earnings increased by 2.6%, while equity capital surged by 800%. In contrast, investments in debt instruments fell by 8.8%. During the month, Japan was the largest source of FDI, with most inflows channeled into financial and insurance activities.
For full-year 2025, equity capital placements came primarily from Japan, the United States, Singapore, and South Korea, with funds largely directed to the manufacturing, wholesale and retail trade, and financial and insurance sectors. On a cumulative basis, FDI reached USD 7.8 billion, a 17.1% decline from the USD 9.4 billion recorded in the same period a year earlier.
