Philippines posts 3.1 bln USD balance of payments surplus in January

The Philippines' overall balance of payments (BOP) posted a 3.1 billion U.S. dollars surplus in January 2023, a reversal from the 102 million dollars deficit recorded in January 2022, the Philippine central bank said on Tuesday.

The Bangko Sentral ng Pilipinas (BSP) said the BOP surplus in January 2023 reflected inflows arising mainly from the national government's net foreign currency deposits with the BSP, which include proceeds from the issuance of the Republic of the Philippines Global Bonds and net income from the BSP's investments abroad.

According to the BSP, the BOP position reflects an increase in the final gross international reserves (GIR) level to 100.7 billion dollars as of end-January 2023 from 96.1 billion dollars as of end-December 2022.

The BSP added that the latest GIR level represents a more than adequate external liquidity buffer equivalent to 7.6 months' worth of imports of goods and payments of services and primary income.

Moreover, the BSP said it is also about 6.2 times the country's short-term external debt based on original maturity and 4.1 times based on residual maturity.