The Philippines’ net international liability position improved to $55.2 billion at the end of June 2024, shrinking 6.5 percent from $59.1 billion in March, the Bangko Sentral ng Pilipinas (BSP) reported Thursday.
The reduction in net external liabilities came as total external financial liabilities decreased by 1.7 percent to $298.7 billion, outpacing the 0.5 percent decline in external financial assets which settled at $243.5 billion.
However, year-on-year figures showed the country’s net liability position widened by 19.5 percent from $46.2 billion in June 2023.
By institutional sector, the BSP maintained its position as a net creditor at $105.9 billion, while the national government remained the largest net debtor at $78.9 billion. The banking sector and other sectors registered net debtor positions of $5.7 billion and $76.6 billion, respectively.
The country’s external financial assets were predominantly composed of reserve assets at $103.2 billion (43.2%), followed by debt instruments at $41.9 billion (17.2%). For external liabilities, debt instruments constituted $65.4 billion (21.9%), while loans amounted to $75.2 billion (25.2%).
Other sectors, which include financial corporations, non-financial corporations, and households, accounted for a significant portion of the country’s international investment position.
