REGISTRATION OF FOREIGN INVESTMENTS WITH THE BSP

The Foreign Investments Act of 1991 (FIA) defines the term ai???foreignAi??investmentai??i?? as ai???an equity investment made by a non-Philippine national inAi??the form of foreign exchange and/or other assets actually transferred to theAi??Philippines xxx.ai??? Section 3.c. of the FIA).

If the foreign exchange requirement needed to service the repatriationAi??of capital and remittance of cash dividends/profits/earnings accruing on foreignAi??investments will be sourced from authorized agent banks (AABs) or their affiliate/Ai??subsidiary foreign exchange corporations (AAB-forex corps), registration of theAi??foreign investment with the Bangko Sentral ng Pilipinas (BSP) is required.

InvestmentsAi??mayAi??beAi??inAi??theAi??formAi??of:

a. ForeignAi??directAi??investmentsAi??(FDIs)Ai??inAi??PhilippineAi??firmsAi??orAi??enterprises

b. ForeignAi??portfolioAi??investments

 

  1. InvestmentsAi??inAi??peso-denominatedAi??securitiesAi??issuedAi??byAi??theAi??NationalAi??GovernmentAi??andAi??otherAi??publicAi??sectorAi??entities;
  2. InvestmentsAi??inAi??securitiesAi??ofAi??residentAi??enterprisesAi??listedAi??atAi??theAi??PhilippineAi??StockAi??ExchangeAi??(PSE);
  3. Ai??InvestmentsAi??inAi??peso-timeAi??depositsAi??withAi??AABsAi??withAi??aAi??maturityAi??ofAi??atAi??least
    90Ai??days;Ai??and
  4. OtherAi??peso-denominatedAi??debtAi??instrumentsAi??issuedAi??onshoreAi??byAi??private>Ai??residentAi??firmsAi??

    notAi??coveredAi??byAi??SectionAi??23Ai??ofAi??theAi??ManualAi??ofAi??RegulationsAi??onAi??ForeignAi??ExchangeAi??Transactions

c.Ai??OtherAi??investmentsAi??(investmentsAi??byAi??non-residentsAi??inAi??PSE-listedAi??equityAi??securitiesAi??issuedAi??byAi??non-residents).

ai???ApplicationsAi??forAi??registrationAi??ofAi??investmentsAi??shouldAi??beAi??filedAi??withAi??theAi??BSP,Ai??throughAi??theAi??International
Ai??OperationsAi??DepartmentAi??(IOD),Ai??forAi??itemsAi??2.aAi??andAi??2.b(iv),Ai??whileAi??itemsAi??2.b(i),Ai??2.b(ii),Ai??2.b(iii)Ai??andAi??
2.cAi??shouldAi??beAi??filedAi??withAi??custodianAi??banks.Ai??Ai??ApplicationsAi??forAi??registrationAi??ofAi??FDIsAi??(itemAi??2.a)Ai??shouldAi??
beAi??filedAi??withAi??theAi??BSPAi??- IODAi??withinAi??oneAi??(1)Ai??yearAi??fromAi??theAi??dateAi??ofAi??inwardAi??remittanceAi??ofAi??
foreignAi??exchange/actualAi??transferAi??ofAi??assetsAi??toAi??theAi??Philippines.ai???

For more information about BSP, you can visit this link.
(e.g.,Ai??relevantAi??policiesAi??includingAi??documentaryAi??requirements,Ai??forms,Ai??amongAi??others)Ai??
regardingAi??registrationAi??ofAi??foreignAi??directAi??investments,Ai??foreignAi??portfolioAi??
investmentsAi??andAi??otherAi??investments.Ai??