The country’s balance of payments posted a lower deficit of $57 million in August 2023, compared to the $572-million shortfall a year ago, the Bangko Sentral ng Pilipinas said Wednesday.
This brought the BOP position in the first eight months to a surplus of $2.1 billion, a reversal from the $5.5-billion deficit in the same period last year.
“The BOP deficit in August 2023 reflected net outflows arising mainly from the national government’s payments of its foreign currency debt obligations,” the BSP said.
This development reflected mainly the improvement in the balance of trade and the sustained net inflows from personal remittances, trade in services and foreign borrowings by the national government, according to the BSP.
Meanwhile, the gross international reserves decreased to $99.6 billion as of end-August 2023 $100 billion as of end-July 2023. The latest GIR level represented a more than adequate external liquidity buffer equivalent to 7.4 months’ worth of imports of goods and payments of services and primary income.