With Manila capturing just US$9 billion of the region’s US$244 billion capital influx last year, analysts urge reforms to close the FDI gap
3-MIN READ3-MIN ListenSam BeltranPublished: 12:00pm, 10 Jul 2026The Philippines still lags behind its neighbours in attracting foreign direct investments (FDI) after its inflows remained stagnant in 2025, even as a financing influx swept the region.This has cast the spotlight on a corruption scandal that has roiled the country and dented investor confidence to some extent, on top of long-standing systemic issues, analysts say.
Southeast Asia overtook East Asia as the largest recipient subregion in “Developing Asia”, the report said, after total FDI inflows grew by 10 per cent.
Investment in Southeast Asia centred on high-value sectors such as semiconductors, electronics, communications and renewable energy. The region’s total inflows grew to US$244.17 billion in 2025 from US$222.50 billion the previous year.
