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Foreign investors grow wary of committing to Philippines

Poor infrastructure and disruption to order turning off investors

A Philippine soldier stands guard in front of damaged buildings in Marawi City on Sept. 4.   © Reuters

MANILA -- Foreign investors are increasingly watchful over the investment climate in the Philippines, as the latest foreign direct investment figures announced this week showed inflows had reached a 13-month low. Some businessmen have flagged the country's decrepit infrastructure and its deteriorating peace and order as chief concerns that could dent sentiment toward the country.  

FDI reached $307 million in July, declining by 38% from the same month a year ago. In the first seven months of 2017, FDI inflows dropped by 17% on the year to $3.9 billion. Foreign investments reached a record $8 billion in 2016, including a $2.2 billion surge in April 2016, ahead of the presidential elections.

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