NEWSFLASH

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FOREIGN FUNDS RETURN TO RP

Manila, Dec. 1, 1997 - Foreign funds have trickled back into the Philippines after a temporary scare due to the Asian currency crisis.

The Bangko Sentral ng Pilipinas (central bank) said in a statement that net foreign inflows hit $23.4 million in the first three weeks of November, from a net outflow of $95.7 in October.

BSP deputy governor Edgardo Zialcita said "the foreign inflows are still small, but it's a good sign. We hope this will continue."

The inflows were in the form of portfolio investments or those invested in bonds and the stock market, as opposed to direct investments in fixed capital. Portfolio flows comprised 85% of the total foreign investments that entered the country last year.