MANILA - Foreign portfolio investments for the first 9 months of the year yielded a net inflow of $229 million, a reversal from the $889-million net outflow recorded in the same period last year.

Data from the Bangko Sentral ng Pilipinas (BSP) showed that gross net inflows reached $4.7 billion during the 9-month period, with the United States, United Kingdom, Japan, Singapore, and Luxembourg accounting for 81% of total funds received.

"Amid the global economic slowdown, investor sentiment in the Philippines remained relatively upbeat, owing to the better-than-expected economic performance during the first half of 2009, supported by robust remittances, easing inflation and interest rates, and sound macroeconomic policies," the BSP said in a statement on Thursday.

For the month of September alone, the Philippines had a net inflow of $47 million compared to an $83-million net ouflow in the same month last year.

"Net outflows were recorded during the first 3 weeks of the month due to lack of positive leads, but the trend shifted toward the end of the month as foreign investors became net buyers buoyed by the special block sale of shares in a local property firm," the BSP said.

Registered foreign portfolio investments in September reached $685 million, a 78% rise from the previous month. The BSP said about 82% of these investments were in shares listed in the Philippine Stock Exchange, while the remaining 12% pertained to peso-denominated government securities and peso time deposits.

Total outflows, which were largely in the form of withdrawals from interim peso deposits, rose 36% to $638 million.