#publicservice — Public Fediverse posts

Philippines Economic Growth May Fall Behind Southeast Asian Neighbors

In the latest economic analysis of Bank of America (BofA), the Philippines may end up behind its Association of Southeast Asian Nations (ASEAN) neighbors in terms of economic growth, and it could also mark another year of failing to hits is growth target, according to a report by BusinessWorld.

This is not surprising as the Philippines did not benefit economically from hosting the ASEAN Summit while it endured high inflation, weak gross domestic product (GDP) growth and lower foreign direct investment (FDI) inflows this year.

To put things in perspective, posted below is an excerpt from the news report of BusinessWorld. Some parts in boldface…

THE PHILIPPINE ECONOMY may be among the slowest growing in Southeast Asia this year, as weak domestic demand keeps growth below its potential, Bank of America (BofA) said.

In a report dated Sept. 8, BofA Global Research kept its gross domestic product (GDP) forecasts for the Philippines at 2.5% in 2026 and 3.5% in 2027.

For 2026, this projection puts the Philippines on par with Thailand as the slowest-growing economies among the Association of Southeast Asian Nations (ASEAN) members included in the report.

The two countries are expected to trail Vietnam (8.2%), Indonesia (5.3%), Malaysia (5.2%), and Singapore (5.1%) this year. If BofA’s forecasts hold, the Philippines will miss its growth target for five straight years. Economic managers are targeting 3.5%-4.5% GDP growth this year and 5%-6% in 2027-2030.

“In second half of 2026, we see GDP growing 2.5% with gentle gains in consumption and the bottoming of investment spending,” BofA China & Asia Economist Helen Qiao and Asia Economist Ting Him Ho said.

“Government spending may help mitigate the effects of the oil shock by aiming subsidies at consumer and transport groups most affected,” they added.

The Philippine economic growth slumped to a post-pandemic low of 2.3% in the second quarter, bringing first-half growth to 2.6%. Economic managers said that last year’s flood control corruption scandal continued to weigh on public construction and investments, while the Middle East war-driven energy shocks dampened household spending.

“Domestic demand grew only 0.9% in 2Q26 with net trade providing the lift to overall GDP,” the BofA economists also noted. “Within domestic demand, private consumption slowed, investments shrunk, and government spending was unable to fully cushion.”

Let me end this post by asking you readers: What is your reaction to this recent development? Do you think the Philippines will continue to be the economic weakling of ASEAN this year? Has the weak economic growth of the Philippines affected you in many ways?

You may answer in the comments below. If you prefer to answer privately, you may do so by sending me a direct message online.

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Thank you for reading. If you find this article engaging, please click the like button below, share this article to others and also please consider making a donation to support my publishing. If you are looking for a copywriter to create content for your special project or business, check out my services and my portfolio. Feel free to contact me with a private message. Also please feel free to visit my Facebook page Author Carlo Carrasco and follow me on Twitter at @CarloCarrascoPH as well as on Tumblr at https://carlocarrasco.tumblr.com/ and on Instagram at https://www.instagram.com/authorcarlocarrasco

Philippines Economic Growth May Fall Behind Southeast Asian Neighbors

In the latest economic analysis of Bank of America (BofA), the Philippines may end up behind its Association of Southeast Asian Nations (ASEAN) neighbors in terms of economic growth, and it could also mark another year of failing to hits is growth target, according to a report by BusinessWorld.

This is not surprising as the Philippines did not benefit economically from hosting the ASEAN Summit while it endured high inflation, weak gross domestic product (GDP) growth and lower foreign direct investment (FDI) inflows this year.

To put things in perspective, posted below is an excerpt from the news report of BusinessWorld. Some parts in boldface…

THE PHILIPPINE ECONOMY may be among the slowest growing in Southeast Asia this year, as weak domestic demand keeps growth below its potential, Bank of America (BofA) said.

In a report dated Sept. 8, BofA Global Research kept its gross domestic product (GDP) forecasts for the Philippines at 2.5% in 2026 and 3.5% in 2027.

For 2026, this projection puts the Philippines on par with Thailand as the slowest-growing economies among the Association of Southeast Asian Nations (ASEAN) members included in the report.

The two countries are expected to trail Vietnam (8.2%), Indonesia (5.3%), Malaysia (5.2%), and Singapore (5.1%) this year. If BofA’s forecasts hold, the Philippines will miss its growth target for five straight years. Economic managers are targeting 3.5%-4.5% GDP growth this year and 5%-6% in 2027-2030.

“In second half of 2026, we see GDP growing 2.5% with gentle gains in consumption and the bottoming of investment spending,” BofA China & Asia Economist Helen Qiao and Asia Economist Ting Him Ho said.

“Government spending may help mitigate the effects of the oil shock by aiming subsidies at consumer and transport groups most affected,” they added.

The Philippine economic growth slumped to a post-pandemic low of 2.3% in the second quarter, bringing first-half growth to 2.6%. Economic managers said that last year’s flood control corruption scandal continued to weigh on public construction and investments, while the Middle East war-driven energy shocks dampened household spending.

“Domestic demand grew only 0.9% in 2Q26 with net trade providing the lift to overall GDP,” the BofA economists also noted. “Within domestic demand, private consumption slowed, investments shrunk, and government spending was unable to fully cushion.”

Let me end this post by asking you readers: What is your reaction to this recent development? Do you think the Philippines will continue to be the economic weakling of ASEAN this year? Has the weak economic growth of the Philippines affected you in many ways?

You may answer in the comments below. If you prefer to answer privately, you may do so by sending me a direct message online.

+++++

Thank you for reading. If you find this article engaging, please click the like button below, share this article to others and also please consider making a donation to support my publishing. If you are looking for a copywriter to create content for your special project or business, check out my services and my portfolio. Feel free to contact me with a private message. Also please feel free to visit my Facebook page Author Carlo Carrasco and follow me on Twitter at @CarloCarrascoPH as well as on Tumblr at https://carlocarrasco.tumblr.com/ and on Instagram at https://www.instagram.com/authorcarlocarrasco

Philippines Economic Growth May Fall Behind Southeast Asian Neighbors

In the latest economic analysis of Bank of America (BofA), the Philippines may end up behind its Association of Southeast Asian Nations (ASEAN) neighbors in terms of economic growth, and it could also mark another year of failing to hits is growth target, according to a report by BusinessWorld.

This is not surprising as the Philippines did not benefit economically from hosting the ASEAN Summit while it endured high inflation, weak gross domestic product (GDP) growth and lower foreign direct investment (FDI) inflows this year.

To put things in perspective, posted below is an excerpt from the news report of BusinessWorld. Some parts in boldface…

THE PHILIPPINE ECONOMY may be among the slowest growing in Southeast Asia this year, as weak domestic demand keeps growth below its potential, Bank of America (BofA) said.

In a report dated Sept. 8, BofA Global Research kept its gross domestic product (GDP) forecasts for the Philippines at 2.5% in 2026 and 3.5% in 2027.

For 2026, this projection puts the Philippines on par with Thailand as the slowest-growing economies among the Association of Southeast Asian Nations (ASEAN) members included in the report.

The two countries are expected to trail Vietnam (8.2%), Indonesia (5.3%), Malaysia (5.2%), and Singapore (5.1%) this year. If BofA’s forecasts hold, the Philippines will miss its growth target for five straight years. Economic managers are targeting 3.5%-4.5% GDP growth this year and 5%-6% in 2027-2030.

“In second half of 2026, we see GDP growing 2.5% with gentle gains in consumption and the bottoming of investment spending,” BofA China & Asia Economist Helen Qiao and Asia Economist Ting Him Ho said.

“Government spending may help mitigate the effects of the oil shock by aiming subsidies at consumer and transport groups most affected,” they added.

The Philippine economic growth slumped to a post-pandemic low of 2.3% in the second quarter, bringing first-half growth to 2.6%. Economic managers said that last year’s flood control corruption scandal continued to weigh on public construction and investments, while the Middle East war-driven energy shocks dampened household spending.

“Domestic demand grew only 0.9% in 2Q26 with net trade providing the lift to overall GDP,” the BofA economists also noted. “Within domestic demand, private consumption slowed, investments shrunk, and government spending was unable to fully cushion.”

Let me end this post by asking you readers: What is your reaction to this recent development? Do you think the Philippines will continue to be the economic weakling of ASEAN this year? Has the weak economic growth of the Philippines affected you in many ways?

You may answer in the comments below. If you prefer to answer privately, you may do so by sending me a direct message online.

+++++

Thank you for reading. If you find this article engaging, please click the like button below, share this article to others and also please consider making a donation to support my publishing. If you are looking for a copywriter to create content for your special project or business, check out my services and my portfolio. Feel free to contact me with a private message. Also please feel free to visit my Facebook page Author Carlo Carrasco and follow me on Twitter at @CarloCarrascoPH as well as on Tumblr at https://carlocarrasco.tumblr.com/ and on Instagram at https://www.instagram.com/authorcarlocarrasco

🎂 CM Samrat Choudhary Leads Modi Birthday Tribute at Patna BJP HQ — Blood Donation Camp Marks 25 Years of Public Service.

https://aliyesha.com/sub/articles/news/display/bh_pm_modi_birthday_books_celebrations

#ModiBirthday #SevaSankalpAbhiyan #SamratChoudhary #BiharBJP #Patna #NarendraModi #BloodDonation #AtalSabhagar #IndianPolitics #PublicService #25YearsOfLeadership #WelfareSchemes #BookExhibition #BJP #BJPLeaders #Bihar #Patna #News

Enjoy tracker free reading with us. #privacy #privacymatters

American Funding Aims to Turn Subic Bay Port into Gateway for planned AI Industrial Hub

In a serious bid to encourage more investments into the Philippines, the United States of America will be providing financial support for feasibility studies on the proposed expansion of the facilities at the port of Subic Bay as well as the establishment of public WiFi access points in key locations, according to a Manila Bulletin news report. These developments point to turning the Subic Bay port into a key gateway for the planned artificial intelligence (AI) industrial hub while improving WiFi access with the nation in mind.

To put things in perspective, posted below is an excerpt from the Manila Bulletin report. Some parts in boldface…

The United States (US) is providing funding support for feasibility studies on the proposed expansion of port facilities at Subic Bay and the establishment of public WiFi access points in a bid to encourage more investments into the Philippines.

The US Trade and Development Agency (USTDA) said on Thursday, Sept. 10, that it will provide a grant to ship repair firm Subic Drydock Corp. (SDC) for a feasibility study to advance the expansion of a key port ship repair facility.

SDC will secure the services of a California-based engineering consulting firm to conduct the study, according to the USTDA.

The study is expected to support the technical and engineering design to expand SDC’s existing berth within the Subic Bay Freeport Zone to accommodate larger vessels.

The expanded capacity will help meet the growing demand for ship repair and maintenance services, reinforcing Subic Bay’s strategic role in the Luzon Economic Corridor (LEC).

Subic Bay is one of four major economic hubs within the LEC that is set to play a critical role in the corridor’s economic development.

Established by the Philippines, US, and Japan, the LEC intends to enhance connectivity between Subic Bay, Clark, Manila, and Batangas, which account for approximately 50 percent of the country’s gross domestic product (GDP).

Earlier, the Port of Subic Bay was designated as the “preferred maritime gateway” for the planned artificial intelligence (AI) industrial hub in New Clark City.

The port is expected to handle the import, export, handling, storage, and transport of the inputs necessary to support the advanced manufacturing operations in the industrial hub.

Meanwhile, the USTDA will also provide a funding grant to Uy-led ComClark Network and Technology Corp. for the proposed creation of a nationwide network of public WiFi access points.

ComClark has selected California-based advisory services firm Connectivity Capital LLC to conduct the feasibility study, the agency said.

The study covers the pilot implementation of AI-enhanced WiFi access points at six sites to determine market demand, technical requirements, commercial feasibility, and financial projections.

The USTDA said the findings of the study would help lay the groundwork for a potential deployment of the access points at nearly 8,000 locations by 2030, which is expected to widen access to reliable connectivity in the country.

USTDA Deputy Director Thomas Hardy said funding support for the two feasibility studies helps reinforce the US’ commitment to supporting the Philippine government’s and private sector’s infrastructure priorities.

Let me end this post by asking you readers: What is your reaction to this recent development? Do you welcome the American funding for the Subic Bay port facility improvements as well as the enhancement of public WiFi access? What is your opinion about the economic potential of the Luzon Economic Corridor?

You may answer in the comments below. If you prefer to answer privately, you may do so by sending me a direct message online.

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Thank you for reading. If you find this article engaging, please click the like button below, share this article to others and also please consider making a donation to support my publishing. If you are looking for a copywriter to create content for your special project or business, check out my services and my portfolio. Feel free to contact me with a private message. Also please feel free to visit my Facebook page Author Carlo Carrasco and follow me on Twitter at @CarloCarrascoPH as well as on Tumblr at https://carlocarrasco.tumblr.com/ and on Instagram at https://www.instagram.com/authorcarlocarrasco

American Funding Aims to Turn Subic Bay Port into Gateway for planned AI Industrial Hub

In a serious bid to encourage more investments into the Philippines, the United States of America will be providing financial support for feasibility studies on the proposed expansion of the facilities at the port of Subic Bay as well as the establishment of public WiFi access points in key locations, according to a Manila Bulletin news report. These developments point to turning the Subic Bay port into a key gateway for the planned artificial intelligence (AI) industrial hub while improving WiFi access with the nation in mind.

To put things in perspective, posted below is an excerpt from the Manila Bulletin report. Some parts in boldface…

The United States (US) is providing funding support for feasibility studies on the proposed expansion of port facilities at Subic Bay and the establishment of public WiFi access points in a bid to encourage more investments into the Philippines.

The US Trade and Development Agency (USTDA) said on Thursday, Sept. 10, that it will provide a grant to ship repair firm Subic Drydock Corp. (SDC) for a feasibility study to advance the expansion of a key port ship repair facility.

SDC will secure the services of a California-based engineering consulting firm to conduct the study, according to the USTDA.

The study is expected to support the technical and engineering design to expand SDC’s existing berth within the Subic Bay Freeport Zone to accommodate larger vessels.

The expanded capacity will help meet the growing demand for ship repair and maintenance services, reinforcing Subic Bay’s strategic role in the Luzon Economic Corridor (LEC).

Subic Bay is one of four major economic hubs within the LEC that is set to play a critical role in the corridor’s economic development.

Established by the Philippines, US, and Japan, the LEC intends to enhance connectivity between Subic Bay, Clark, Manila, and Batangas, which account for approximately 50 percent of the country’s gross domestic product (GDP).

Earlier, the Port of Subic Bay was designated as the “preferred maritime gateway” for the planned artificial intelligence (AI) industrial hub in New Clark City.

The port is expected to handle the import, export, handling, storage, and transport of the inputs necessary to support the advanced manufacturing operations in the industrial hub.

Meanwhile, the USTDA will also provide a funding grant to Uy-led ComClark Network and Technology Corp. for the proposed creation of a nationwide network of public WiFi access points.

ComClark has selected California-based advisory services firm Connectivity Capital LLC to conduct the feasibility study, the agency said.

The study covers the pilot implementation of AI-enhanced WiFi access points at six sites to determine market demand, technical requirements, commercial feasibility, and financial projections.

The USTDA said the findings of the study would help lay the groundwork for a potential deployment of the access points at nearly 8,000 locations by 2030, which is expected to widen access to reliable connectivity in the country.

USTDA Deputy Director Thomas Hardy said funding support for the two feasibility studies helps reinforce the US’ commitment to supporting the Philippine government’s and private sector’s infrastructure priorities.

Let me end this post by asking you readers: What is your reaction to this recent development? Do you welcome the American funding for the Subic Bay port facility improvements as well as the enhancement of public WiFi access? What is your opinion about the economic potential of the Luzon Economic Corridor?

You may answer in the comments below. If you prefer to answer privately, you may do so by sending me a direct message online.

+++++

Thank you for reading. If you find this article engaging, please click the like button below, share this article to others and also please consider making a donation to support my publishing. If you are looking for a copywriter to create content for your special project or business, check out my services and my portfolio. Feel free to contact me with a private message. Also please feel free to visit my Facebook page Author Carlo Carrasco and follow me on Twitter at @CarloCarrascoPH as well as on Tumblr at https://carlocarrasco.tumblr.com/ and on Instagram at https://www.instagram.com/authorcarlocarrasco

American Funding Aims to Turn Subic Bay Port into Gateway for planned AI Industrial Hub

In a serious bid to encourage more investments into the Philippines, the United States of America will be providing financial support for feasibility studies on the proposed expansion of the facilities at the port of Subic Bay as well as the establishment of public WiFi access points in key locations, according to a Manila Bulletin news report. These developments point to turning the Subic Bay port into a key gateway for the planned artificial intelligence (AI) industrial hub while improving WiFi access with the nation in mind.

To put things in perspective, posted below is an excerpt from the Manila Bulletin report. Some parts in boldface…

The United States (US) is providing funding support for feasibility studies on the proposed expansion of port facilities at Subic Bay and the establishment of public WiFi access points in a bid to encourage more investments into the Philippines.

The US Trade and Development Agency (USTDA) said on Thursday, Sept. 10, that it will provide a grant to ship repair firm Subic Drydock Corp. (SDC) for a feasibility study to advance the expansion of a key port ship repair facility.

SDC will secure the services of a California-based engineering consulting firm to conduct the study, according to the USTDA.

The study is expected to support the technical and engineering design to expand SDC’s existing berth within the Subic Bay Freeport Zone to accommodate larger vessels.

The expanded capacity will help meet the growing demand for ship repair and maintenance services, reinforcing Subic Bay’s strategic role in the Luzon Economic Corridor (LEC).

Subic Bay is one of four major economic hubs within the LEC that is set to play a critical role in the corridor’s economic development.

Established by the Philippines, US, and Japan, the LEC intends to enhance connectivity between Subic Bay, Clark, Manila, and Batangas, which account for approximately 50 percent of the country’s gross domestic product (GDP).

Earlier, the Port of Subic Bay was designated as the “preferred maritime gateway” for the planned artificial intelligence (AI) industrial hub in New Clark City.

The port is expected to handle the import, export, handling, storage, and transport of the inputs necessary to support the advanced manufacturing operations in the industrial hub.

Meanwhile, the USTDA will also provide a funding grant to Uy-led ComClark Network and Technology Corp. for the proposed creation of a nationwide network of public WiFi access points.

ComClark has selected California-based advisory services firm Connectivity Capital LLC to conduct the feasibility study, the agency said.

The study covers the pilot implementation of AI-enhanced WiFi access points at six sites to determine market demand, technical requirements, commercial feasibility, and financial projections.

The USTDA said the findings of the study would help lay the groundwork for a potential deployment of the access points at nearly 8,000 locations by 2030, which is expected to widen access to reliable connectivity in the country.

USTDA Deputy Director Thomas Hardy said funding support for the two feasibility studies helps reinforce the US’ commitment to supporting the Philippine government’s and private sector’s infrastructure priorities.

Let me end this post by asking you readers: What is your reaction to this recent development? Do you welcome the American funding for the Subic Bay port facility improvements as well as the enhancement of public WiFi access? What is your opinion about the economic potential of the Luzon Economic Corridor?

You may answer in the comments below. If you prefer to answer privately, you may do so by sending me a direct message online.

+++++

Thank you for reading. If you find this article engaging, please click the like button below, share this article to others and also please consider making a donation to support my publishing. If you are looking for a copywriter to create content for your special project or business, check out my services and my portfolio. Feel free to contact me with a private message. Also please feel free to visit my Facebook page Author Carlo Carrasco and follow me on Twitter at @CarloCarrascoPH as well as on Tumblr at https://carlocarrasco.tumblr.com/ and on Instagram at https://www.instagram.com/authorcarlocarrasco

Where Europe spends its money: A look at public spending across the continent.

European governments allocate the largest share of their spending to social protection, while the second-largest category varies across countries.

Euronews Business takes a closer look at how governments spend public money on services.

https://mediafaro.org/article/20260916-where-europe-spends-its-money-a-look-at-public-spending-across-the-continent?mf_channel=mastodon&action=forward

#Europe #Government #PublicSector #PublicService #Welfare #PublicSpending #Politics #Healthcare #Education #Pensions

The Hidden Divide That Shapes Our Politics

In my recent book, Crisis of the Common Good, I make the argument that our hyper-individualistic, market-obsessed culture…
#UnitedStates #US #USA #america #BigTech #corporatepower #democracy #geopolitics #HigherEducation #Politics #Publicservice #unitedstatesofamerica #UnitedStatesPolitics #USPolitics #usapolitics #youth
https://www.europesays.com/3254261/

Foreign Direct Investment (FDI) Net Inflows Fall 18% in First Half of 2026

In what is clearly another sign that the Philippines is the economic weakling among the members of the Association of Southeast Asian Nations (ASEAN), foreign direct investment (FDI) net inflows into the country fell by 18% during the first half of this year, according to a Manila Bulletin news report.

To put things in perspective, posted below is an excerpt from the news report of the Manila Bulletin. Some parts in boldface…

Foreign direct investment (FDI) net inflows into the Philippines contracted 18 percent in the first half of the year to ₱211.3 billion from ₱257.5 billion recorded in the same period last year, weighed down by higher borrowing costs and geopolitical friction.

Data released on Thursday, Sept. 10, by the Bangko Sentral ng Pilipinas (BSP) showed that the cumulative six-month decline was driven by reduced intercompany borrowings and lower retained earnings, which undercut gains in net equity capital investments.

The central bank noted that FDI pulled back on intercompany lending to their domestic subsidiaries while retaining fewer earnings for local reinvestment.

Among individual components, net investments in debt instruments—which include intercompany borrowing between foreign investors and local affiliates—fell 26 percent in the first half to ₱128.8 billion from ₱173.8 billion a year earlier.

Reinvestment of earnings slipped 19 percent over the same period to ₱51.8 billion, compared with ₱64.4 billion in the previous year.

Michael Ricafort, chief economist at Rizal Commercial Banking Corp., said the cumulative decline in foreign inflows largely stemmed from the fallout of war in the Middle East.

Ricafort said the conflict fueled slower economic activity, sustained inflation, and elevated borrowing costs globally, ultimately raising the cost of direct investment.

Despite the broader downward momentum, net equity capital investments excluding reinvested earnings posted a sharp rebound, surging 59.4 percent to ₱30.6 billion from ₱19.2 billion a year ago. Total equity capital placements climbed to ₱45.3 billion, easily outpacing ₱14.8 billion in withdrawals.

Inflows during the first half originated mostly from Japan, the United States (US), and Singapore, with capital primarily directed toward manufacturing, financial and insurance activities, alongside real estate development.

On a monthly basis, FDI rebounded in June, expanding 35 percent year-on-year to ₱27.9 billion. Even with the bounce, June marked the second-lowest monthly total of the first semester.

Let me end this post by asking you readers: What is your reaction to this recent development? What do you think the government’s economic managers should do to attract more FDI? Do you think the Philippines will fall into a recession in 2027 or in the first half of 2028? Are you convinced that hosting the ASEAN Summit will not lead the Philippines to any economic improvements?

You may answer in the comments below. If you prefer to answer privately, you may do so by sending me a direct message online.

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Thank you for reading. If you find this article engaging, please click the like button below, share this article to others and also please consider making a donation to support my publishing. If you are looking for a copywriter to create content for your special project or business, check out my services and my portfolio. Feel free to contact me with a private message. Also please feel free to visit my Facebook page Author Carlo Carrasco and follow me on Twitter at @CarloCarrascoPH as well as on Tumblr at https://carlocarrasco.tumblr.com/ and on Instagram at https://www.instagram.com/authorcarlocarrasco

Foreign Direct Investment (FDI) Net Inflows Fall 18% in First Half of 2026

In what is clearly another sign that the Philippines is the economic weakling among the members of the Association of Southeast Asian Nations (ASEAN), foreign direct investment (FDI) net inflows into the country fell by 18% during the first half of this year, according to a Manila Bulletin news report.

To put things in perspective, posted below is an excerpt from the news report of the Manila Bulletin. Some parts in boldface…

Foreign direct investment (FDI) net inflows into the Philippines contracted 18 percent in the first half of the year to ₱211.3 billion from ₱257.5 billion recorded in the same period last year, weighed down by higher borrowing costs and geopolitical friction.

Data released on Thursday, Sept. 10, by the Bangko Sentral ng Pilipinas (BSP) showed that the cumulative six-month decline was driven by reduced intercompany borrowings and lower retained earnings, which undercut gains in net equity capital investments.

The central bank noted that FDI pulled back on intercompany lending to their domestic subsidiaries while retaining fewer earnings for local reinvestment.

Among individual components, net investments in debt instruments—which include intercompany borrowing between foreign investors and local affiliates—fell 26 percent in the first half to ₱128.8 billion from ₱173.8 billion a year earlier.

Reinvestment of earnings slipped 19 percent over the same period to ₱51.8 billion, compared with ₱64.4 billion in the previous year.

Michael Ricafort, chief economist at Rizal Commercial Banking Corp., said the cumulative decline in foreign inflows largely stemmed from the fallout of war in the Middle East.

Ricafort said the conflict fueled slower economic activity, sustained inflation, and elevated borrowing costs globally, ultimately raising the cost of direct investment.

Despite the broader downward momentum, net equity capital investments excluding reinvested earnings posted a sharp rebound, surging 59.4 percent to ₱30.6 billion from ₱19.2 billion a year ago. Total equity capital placements climbed to ₱45.3 billion, easily outpacing ₱14.8 billion in withdrawals.

Inflows during the first half originated mostly from Japan, the United States (US), and Singapore, with capital primarily directed toward manufacturing, financial and insurance activities, alongside real estate development.

On a monthly basis, FDI rebounded in June, expanding 35 percent year-on-year to ₱27.9 billion. Even with the bounce, June marked the second-lowest monthly total of the first semester.

Let me end this post by asking you readers: What is your reaction to this recent development? What do you think the government’s economic managers should do to attract more FDI? Do you think the Philippines will fall into a recession in 2027 or in the first half of 2028? Are you convinced that hosting the ASEAN Summit will not lead the Philippines to any economic improvements?

You may answer in the comments below. If you prefer to answer privately, you may do so by sending me a direct message online.

+++++

Thank you for reading. If you find this article engaging, please click the like button below, share this article to others and also please consider making a donation to support my publishing. If you are looking for a copywriter to create content for your special project or business, check out my services and my portfolio. Feel free to contact me with a private message. Also please feel free to visit my Facebook page Author Carlo Carrasco and follow me on Twitter at @CarloCarrascoPH as well as on Tumblr at https://carlocarrasco.tumblr.com/ and on Instagram at https://www.instagram.com/authorcarlocarrasco

Foreign Direct Investment (FDI) Net Inflows Fall 18% in First Half of 2026

In what is clearly another sign that the Philippines is the economic weakling among the members of the Association of Southeast Asian Nations (ASEAN), foreign direct investment (FDI) net inflows into the country fell by 18% during the first half of this year, according to a Manila Bulletin news report.

To put things in perspective, posted below is an excerpt from the news report of the Manila Bulletin. Some parts in boldface…

Foreign direct investment (FDI) net inflows into the Philippines contracted 18 percent in the first half of the year to ₱211.3 billion from ₱257.5 billion recorded in the same period last year, weighed down by higher borrowing costs and geopolitical friction.

Data released on Thursday, Sept. 10, by the Bangko Sentral ng Pilipinas (BSP) showed that the cumulative six-month decline was driven by reduced intercompany borrowings and lower retained earnings, which undercut gains in net equity capital investments.

The central bank noted that FDI pulled back on intercompany lending to their domestic subsidiaries while retaining fewer earnings for local reinvestment.

Among individual components, net investments in debt instruments—which include intercompany borrowing between foreign investors and local affiliates—fell 26 percent in the first half to ₱128.8 billion from ₱173.8 billion a year earlier.

Reinvestment of earnings slipped 19 percent over the same period to ₱51.8 billion, compared with ₱64.4 billion in the previous year.

Michael Ricafort, chief economist at Rizal Commercial Banking Corp., said the cumulative decline in foreign inflows largely stemmed from the fallout of war in the Middle East.

Ricafort said the conflict fueled slower economic activity, sustained inflation, and elevated borrowing costs globally, ultimately raising the cost of direct investment.

Despite the broader downward momentum, net equity capital investments excluding reinvested earnings posted a sharp rebound, surging 59.4 percent to ₱30.6 billion from ₱19.2 billion a year ago. Total equity capital placements climbed to ₱45.3 billion, easily outpacing ₱14.8 billion in withdrawals.

Inflows during the first half originated mostly from Japan, the United States (US), and Singapore, with capital primarily directed toward manufacturing, financial and insurance activities, alongside real estate development.

On a monthly basis, FDI rebounded in June, expanding 35 percent year-on-year to ₱27.9 billion. Even with the bounce, June marked the second-lowest monthly total of the first semester.

Let me end this post by asking you readers: What is your reaction to this recent development? What do you think the government’s economic managers should do to attract more FDI? Do you think the Philippines will fall into a recession in 2027 or in the first half of 2028? Are you convinced that hosting the ASEAN Summit will not lead the Philippines to any economic improvements?

You may answer in the comments below. If you prefer to answer privately, you may do so by sending me a direct message online.

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