MANILA - Foreign portfolio investments for the first 10 months of 2009 yielded a net inflow of $358 million, a reversal from the $1.3-billion net outflow recorded in the same period last year.

In a statement, the Bangko Sentral ng Pilipinas (BSP) said gross investment inflows reached $5.4 billion during the 10-month period, with the United States, United Kingdom, Singapore, Japan, and Luxembourg accounting for 81% of total funds received.

For the month of October alone, the Philippines had a net inflow of $129 million, 175% higher than the $47-million net outflow recorded in the previous month.

"Foreign investors remained upbeat on the Philippine market on account of the sustained growth in overseas Filipino remittances and gross international reserves, as well as stable prices and interest rates, which overshadowed the impact of the deterioration in the country's fiscal position and drop in export receipts," the BSP said.

Foreign portfolio investments in October reached $732 million, a 7% rise from the previous month. The BSP said about 67% of these investments were in shares listed in the Philippine Stock Exchange, while the balance pertained to peso-denominated government securities.

Total outflows, which were largely in the form of withdrawals from interim peso deposits, fell 6% to $603 million.