INVEST CAPITAL

With strong macroeconomic fundamentals, an improved business environment, and favourable policy reforms, we offer a variety of opportunities to portfolio investors.

Steps have been taken to enhance the liquidity, depth and resilience of capital markets to support funding for sustainable and responsible growth-enhancing projects.

Our reforms have also integrated the Philippines into global capital markets and supported the adoption of international best practice. This has resulted in the healthy growth and expansion of the market for government securities, corporate bond issuances, equities and trust assets.

We put in place laws to improve access to investment products enabling capital market gains to be enjoyed more widely.

Key Statistics

6%

Average annual GDP growth

>40%

Debt/GDP ratio

$90bn+

International reserves

8+ months

Worth of reserves in imports of goods, payments of services and primary income

Favorable macroeconomic trends

The Philippines is one of the fastest growing emerging markets and is recognized internationally as among the most resilient. This has been supported by strong domestic demand, manageable inflation, and a young, productive, and tech-savvy workforce that attracts foreign investment.

The country is future proofing the economy through investments in human capital, infrastructure, technology and innovation.

High external resilience

We have sufficient buffers against external shocks, thanks to a healthy balance of payments and high gross international reserves that exceed the country’s low foreign debt.

Foreign exchange inflows are supported by remittances, business process outsourcing revenues, investments, exports and tourism receipts.

We have expanded our markets through trade agreements with our Southeast Asian neighbors and regional trading partners, such as China, Japan, South Korea, India, Japan, Australia, and New Zealand. We have also continued to strengthen our bilateral free-trade agreements with Japan and Europe and the United States.

Sound and stable financial system

Growing assets, ample capitalization, solid profits, and low exposure to bad debts characterize our financial system, which has helped fuel the growth of the domestic economy and is underpinned by a sound regulatory environment.

Effective risk-management and good corporate governance are demonstrated in the regulations of the Philippine Central Bank. We recognize the importance of accessibility to financial products and services to grow the economy, and actively promote financial inclusion through enabling regulations.

The Philippine Dealing Exchange operates the organized secondary market for the trading of fixed income securities, which includes government and corporate securities. The Philippine Stock Exchange, is one of the oldest and most established stock market exchanges in Asia. Both have experienced robust growth against a backdrop of strong economic expansion and solid economic foundations.

Strengthened government finances

We have a sustainable financial profile with a debt burden more manageable than most peer countries.

Our latest tax reforms maintain fiscal discipline, even as we pursue large development initiatives aimed at achieving a higher growth trajectory and inclusive economy for the country.

Competitive credit profile

Having secured investment grade credit ratings from all major international agencies, the Philippines has continued to improve its credit ratings thanks to solid fundamentals, commitment to fiscal discipline and strengthened governance and institutions.

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