Foreign direct investments (FDI) grew by 182.7 percent to $674 million in June from $238 million for the same month in 2016, the central bank said Monday.

In part, the increase in FDI inflows during the month was due largely to the expansion in debt instruments (or inter-company borrowings from foreign direct investors by their subsidiaries/affiliates in the Philippines) to $674 million.

However, equity capital investments posted net withdrawals of $72 million during the period as placements ($113 million) were outpaced by withdrawals ($185 million).

Equity capital placements in June came mostly from the United States, Japan, Taiwan, Singapore, and India. These were channeled mainly to real estate; electricity, gas, steam and air conditioning supply; financial and insurance; manufacturing; and professional, scientific and technical activities.

Net withdrawals in equity capital negated the reinvestment of earnings of $72 million during the month.

On a cumulative basis, FDI registered net inflows of $3.6 billion in the first half of 2017. This was 14 percent lower than the $4.2 billion net inflows posted in the same period last year on account of the 90.3 percent decline in net equity capital to $141 million from US$1.4 billion a year ago.

Equity capital infusions during the first semester came mainly from the United States, Japan, Singapore, Hong Kong, and Taiwan. These were invested mainly in real estate; financial and insurance; manufacturing; electricity, gas, steam and air conditioning supply; and wholesale and retail trade activities.

Higher investments in debt instruments and reinvestment of earnings were registered in the first half of the year amounting to $3 billion and $416 million, respectively. DMS