MANILA, Philippines—The Philippines’ net obligations to foreign parties were halved in the fourth quarter of 2020 due to a decline in loans by private non-bank corporations and an increase in investments by Filipino households with extra funds to spare during the pandemic.
According to the Bangko Sentral ng Pilipinas (BSP), the country’s net external liability position narrowed to P915 billion in the last four months of 2020 from P1.9 trillion in the same period of 2019.
The 53.1 percent improvement in the country’s net debtor position against the rest of the world was driven by these:
Surge in the BSP’s net foreign claims
Decline in the non-financial corporations’ ne…
Keep on reading: Fewer company loans, more household investments halved PH external debt in late 2020