FX.co ★ FDI into the Philippines Drop 7.5% YoY in July

In July 2025, the Philippines experienced a 7.5% year-on-year decline in net foreign direct investment (FDI), totaling USD 1.3 billion. This decrease was largely attributed to a notable drop of 39.4% in debt instruments. However, this downturn was somewhat balanced by a significant rise in net inflows of equity capital, which surged by 240.6%, alongside a moderate increase of 14.3% in the reinvestment of earnings. The majority of equity capital during this period was sourced from Japan (60%), followed by the United States (15%) and Singapore (5%). These investments predominantly targeted sectors such as wholesale and retail trade (73%), manufacturing (12%), and real estate (8%). Over the first seven months of 2025, net FDI amounted to USD 4.7 billion, marking a sharp 20% decrease compared to the same timeframe in the prior year.