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Home»Economy»Investment development in the Philippines and recommendations

Investment development in the Philippines and recommendations

April 11, 2025

For foreign investment, restrictions concern the maximum size of the ownership stake allowed for a particular type of activity.

The inflow of foreign direct investment (FDI) into the Philippines is $6.8 billion (2020; $8.7 billion in 2019; $9.9 billion in 2018; $10.3 billion in 2017). The total stock of FDI in the country is $88 billion (2019; about $28 billion in 2010). Major investors (2019; %): Singapore (45.2), China (22.7), Republic of Korea (10.6), Japan (5.1), Netherlands (3.7), USA (3.0). Capital inflows are directed mainly to such industries as information technology and communications (56.2%), public utilities (18.6%), manufacturing (15.9%), administrative and support services (4.3%). While FDI stocks in Southeast Asia fell by 31% in 2020 compared to 2019, they grew by 29% in the Philippines over the same period.

The country offers many comparative advantages, including an English-speaking workforce, geographic proximity, and access to emerging markets.

Inflation rates have been relatively stable at around 6% since 2010: 2.4% in 2020 and 2019, 5.2% in 2018; 0.7% in 2015, 3.8% in 2010.

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