Foreign direct investments plunge 83% in August

My Comments?

We in the Philippines need to urgently reform our anti-investor and quite xenophobic constitution, especially its antiquated economic provisions.

Marketing efforts and political reforms are not enough, we need to boldly push progressive and globally-competitive structural reforms in the Philippine economy to catch up with our Asean and Asian neighbors.

Wake up, our Philippine politicians and leaders! Even our historic strategic ally and former colonizer USA is pouring more foreign direct investments to their former war enemy and still officially Communist Vietnam than here to us in the most pro-American nation of the Philippines!

Here's the latest news report from Rappler.com:

(Photo of skyline of Makati financial center, Metro Manila, the Philippines)

by Rappler.com Posted on 11/12/2012 7:06 PM  | Updated 11/12/2012 7:06 PM

MANILA, Philippines - The global economic slowdown has dampened August foreign direct investments, an indicator of investor confidence and traditional sources of jobs.

Data from the Bangko Sentral ng Pilipinas showed that the net inflow of foreign direct investments (FDI) plunged 83% to $13 million in August from from $76 million a year ago.

"This reflected investors’ relatively cautious stance due to weak global economic prospects and financial strains in the advanced economies," the BSP said in a statement on Monday, November 12.

Key sources of FDI in August were the United States, Australia, Netherlands, United Kingdom, Japan and Bermuda.

This brought the cumulative FDI in the first 9 months of 2012 to $1.038 billion, 61% higher than $644 million a year ago.

FDI, hot money that go to the capital markets, and remittances from Filipinos working abroad have kept the Philippines' balance of payments in surplus. - Rappler.com