Philippines leads investor relations and debt transparency

By Francis Allan L. Angelo

The Philippines has secured the top position among 50 countries in the “2024 Investor Relations (IR) and Debt Transparency Report” by the Institute of International Finance (IIF).

The Washington DC-based institute reported that the Philippines improved its ranking from third place in 2023, achieving a score of 48.88 out of 50 points in 2024, up from 47.8 the previous year.

Following the Philippines were Indonesia with a score of 48.75, Turkey with 48.38, Brazil with 47.50, and Hungary with 47.21.

Bangko Sentral ng Pilipinas (BSP) Governor Eli M. Remolona, Jr. expressed satisfaction with the recognition, saying, “The BSP welcomes the IIF’s recognition of the Philippines’ outstanding IR practices. We remain committed to working closely with the economic team in transparently communicating the country’s macroeconomic fundamentals and ongoing reforms.”

The report highlighted the Philippines’ exceptional efforts in investor engagement and transparency, particularly in providing access to macroeconomic and environmental, social, and governance (ESG) data and policy information.

The IR program involves discussions between economic agencies and credit rating agencies, communication and collaboration with global and local banks, and organizing investor briefings both domestically and internationally.

The IIF establishes standards for best practices in IR and data dissemination for emerging markets and developing countries, aligning with the Principles for Stable Capital Flows and Fair Debt Restructuring.

The assessment by the IIF combines desk research with a survey of countries that have active IR programs to determine the IR Country Score, Debt Transparency Score, and ESG Data and Policy Dissemination Score.

The IR Country Score is derived from 23 criteria. The Debt Transparency Score, a subset of the IR Country Score, evaluates sovereign borrowers’ data and policy dissemination practices.

Another subset, the ESG Data and Policy Dissemination Score, assesses sovereign borrowers’ practices in disseminating ESG data and policies.