IMF sees shrinking PH forex reserves

The Philippines' foreign exchange buffers are projected to enter a multiyear decline after hitting a peak in 2025, according to the International Monetary Fund (IMF), a shift in the country's external liquidity position through the end of the decade.

- BY DERCO ROSAL

Based on the Washington-based multilateral lender IMF's forecast, the country's reserves in December 2025 would be the lowest in four months, since August 2025's $107.1 billion.

While last month's close would be the peak since 2021's $108.79 billion, the IMF expects this level to drop gradually to $106.5 billion in 2026, $105 billion in 2027, and $103.3 billion in 2028—a four-year falling streak.

Data from the Bangko Sentral ng Pilipinas (BSP) showed that the country's GIR expanded to $111.1 billion at end-November, surpassing the one-year high in October at $110.2 billion.