RESEARCH & FORECAST REPORT PHILIPPINE REAL ESTATE MARKET … · of US$2.03 billion from foreign...

PHILIPPINE REAL ESTATE MARKETRESEARCH & FORECAST REPORT

www.colliers.com

1Q 2013 | MARKET OVERVIEW

Executive Summary

The Philippine economy is seeing momentous growth and could further expand following the achievement of its first investment grade to BBB- by Fitch. Last year, the country gained a total of US$2.03 billion from foreign direct inflows (FDIs), a growth of 9.8%, along with strong GDP growth of 6.6%. Among all industries, real estate was one of the main channels for investment. The recent credit rating upgrade suggests that activity in the property market will expand in the long term.

Close to 200,000 sq m of new office space was introduced in 1Q 2013. This includes Glorietta 1 BPO (21,700 sq m) and Glorietta 2 BPO (23,900 sq m) in the Makati CBD. However, supply is still seen to be muted in the business district with just a couple of buildings in the pipeline, namely Alphaland Makati Tower (38,000 sq m) along Ayala Avenue and V-Corporate Tower (28,900 sq) in Leviste Street, Salcedo Village. Both buildings are expected to complete in 2Q 2013 and 2Q 2014, respectively.

Across the five submarkets tracked by Colliers, 18 new residential condominiums will be introduced this year. Collectively, these condominiums consist of 7,181 new units, about 10% higher than the new supply delivered in 2012. Still, the majority of units fall into the smaller-sized categories of the studio and one-bedroom segments. Only about 21% are three- to four-bedrooms, which are required by many expatriates.

Overall, developers are highly confident with their expansion plans due to strong local demand backed by a robust economy. In Metro Manila alone, roughly over 800,000 sq m of retail space are currently in the pipeline and are targeted to be delivered within the next three years. Furthermore, retail developers are expected to introduce new formats and configurations, given the increasing competition and expanding market size.

ECONOMY

OFFICE

RESIDENTIAL

RETAIL

MARKET INDICATORS

OFFICE

RESIDENTIAL

RETAIL

ECONOMYThe Philippine economy is seeing momentous growth and could further expand following the achievement of its first investment grade to BBB- by Fitch. Last year, the country gained a total of US$2.03 billion from foreign direct inflows (FDIs), a growth of 9.8%, along with strong GDP growth of 6.6%. Among all industries, real estate was one of the main channels for investment. Investments in construction accelerated by 13.7% YoY in 2012, reversing 2011’s contraction.

This year, overall, investors’ confidence is seen to increase backed by the country’s robust macroeconomic fundamentals. The inflation rate remained manageable at 3.40% in 1Q 2013, leading to generally low mortgage lending rates of 5.6 to 7.9%. Meanwhile, OFW remittances continues to bolster domestic consumption. Total OFW remittances grew by 8% to US$1.68 billion in January of this year. A vital contributor to the economy, the BPO sector also grew by 18% to US$13 billion last year (IBPAP). It is projected to be a US$25-billion industry by 2016.

The recent credit rating upgrade suggests that activity in the property market will expand in the long term. This should translate to greater demand for commercial offices and luxury residential spaces; and stronger demand for industrial manufacturing facilities and hotel & gaming establishments.

a At constant 2000 pricesb Agriculture, Hunting, Forestry, Fishingc At constant 2006 prices

ECONOMIC INDICATORSa

2007 2008 2009 2010 2011 1Q 2012 2Q 2012 3Q 2012 4Q 2012

Gross National Product 6.10 6.00 6.50 8.40 3.20 5.80 5.60 6.60 5.40

Gross Domestic Product 6.60 4.20 1.10 7.60 3.90 6.40 5.90 7.10 6.80

Personal Consumption Expenditure 4.60 3.70 2.30 3.40 6.10 6.60 5.70 6.20 6.90

Gov’t Expenditure 6.90 0.30 10.90 4.00 1.00 24.00 5.90 12.00 9.10

Capital Formation -0.50 23.40 -8.70 31.60 8.10 -23.50 2.30 4.30 -1.40

Exports 6.70 -2.70 -7.80 21.00 -4.20 7.90 8.30 6.90 9.10

Imports 1.70 1.60 -8.10 22.50 0.20 -2.60 4.40 8.30 4.60

AHFFb 4.70 3.20 -0.70 -0.20 2.70 1.00 0.70 4.10 4.70

Industry 5.80 4.80 -1.90 11.60 2.30 4.90 4.60 8.10 7.50

Services 7.60 4.00 3.40 7.20 5.10 8.50 7.60 7.00 6.90

Average Inflationc 2.90 8.30 4.10 3.90 4.60 3.10 2.90 3.50 2.90

Budget Deficit (Billion Pesos) (P12.4) (P68.1) (P298.5) (P314.4) (P197.7) (P33.9) (P0.47) (P69.56) (P138.88)

PHP:US$ (Average) P46.1 P44.7 P47.6 P45.10 P43.31 P43.30 P42.80 P41.89 P41.20

Average 91-Day T-Bill Rates 3.40 5.20 4.00 3.70 1.37 1.88 2.33 1.45 0.34

P. 2 | COLLIERS INTERNATIONAL

PHILIPPINES | 1Q 2013 | THE KNOWLEDGE

OFW Remittances

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Source: Bangko Sentral ng Pilipinas* as of January 2013

LAND VALUESImplied land values in the Makati CBD appreciated by 2.2% in 1Q 2013 to average PHP300,000 per sq m. This translates to an accommodation value of PHP18,700 per sq m. In Ortigas, land values increased at a marginal rate of 1.5%, pegged at an average of PHP136,000 per sq m. Meanwhile, land values in BGC continually track with that of Makati CBD, as growth is seen at 7.7% to average at PHP260,000 per sq m by 1Q 2014.

Makati CBD, Ortigas & Fort Bonifacio Average Land Values

Source: Colliers International Philippines Research

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Makati CBD BGC Ortigas Ctr

LICENSES TO SELLOverall residential licenses issued by the HLURB from November 2012 to January 2013 increased significantly by 157%. The latest figures indicate that 70,566 units were licensed in this three-month period, up by around 43,112 units compared from year-ago level. The increase was mainly driven by the growth of licenses issued in the high-rise segment which reached 36,140 units (+370%). Moreover, with a growth of 104%, the number of socialized housing units has shown signs of sustainability against its double digit contraction in 2011. Meanwhile, the number of licenses in the middle-income housing segment has consecutively dropped for the last two years, registering a 9.7% decrease in 2012. Licenses in the same sector are expected to continually decrease in number as more middle-income developments are targeted to the high-rise residential segment.

HLURB Licenses

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units

Quarterly Approvals (LHS) Moving 12-Month Average (RHS)

Source: Housing and Land Use Regulatory Board

COMPARATIVE LAND VALUES

PHP / SQ M 1Q 2013 4Q 2012 % CHANGE (QoQ) 1Q 2014F % CHANGE (YoY)

MAKATI CBD 280,380-315,800 280,100-303,550 2.15% 284,035-358,880 7.84%

ORTIGAS CENTER 101,870-170,160 100,364-167,644 1.50% 113,540-177,070 6.80%

BGC 195,000- 290,000 195,000-278,000 2.00% 219,475-302,900 7.71%


HLURB LICENCES TO SELL

SEGMENT NOV’12 - JAN’13 NOV’11 - JAN’12 % CHANGE YoY

Socialized Housing 12,022 5,904 103.6%

Low Cost Housing 13,600 9,121 49.1%

Mid Income Housing 8,804 4,742 85.7%

High Rise Residential 36,140 7,687 370.1%

Commercial Condominium 862 164 425.6%Farmlot 786 - -

Memorial Park 31,104 36,514 -14.8%

Industrial Subdivision 0 0 0.0%

Commercial Subdivision 98 63 55.6%

Total (Philippines) 103,416 64,195 61.1%

Source: Housing and Land Use Regulatory Board



OFFICE SECTORSupply

Supply artificially grew in 2013 as some developers slipped their project completions from 4Q 2012. As a result, a total of 31 new office buildings will be introduced in Metro Manila this year translating to over 560,000 sq m of new office space, a new record high. Nearly half of the new inventory for this year will be in Fort Bonifacio, where the majority of developments will be mainly BPO facilities. While the demand from the O&O industry continues to be robust, developers are geared towards delivering an additional 1.3 million sq m in the span of three years.

Close to 200,000 sq m of new office space was introduced in 1Q 2013. This includes Glorietta 1 BPO (21,700 sq m) and Glorietta 2 BPO (23,900 sq m) in the Makati CBD. However, supply is still seen to be muted in the business district with just a couple of buildings in the pipeline, namely Alphaland Makati Tower (38,000 sq m) along Ayala Avenue and V-Corporate Tower (28,900 sq) in Leviste Street, Salcedo Village. Both buildings are expected to complete in 2Q 2013 and 2Q 2014, respectively. As supply grows in other areas, the Makati CBD’s share of the total office space in Metro Manila will decline to 40% this year, compared to around 70% over a decade ago.

Demand

In 1Q 2013, the premium vacancy rate in the Makati CBD dropped to 5.8% from the 7.3% registered in the previous quarter. The decrease was mainly due to the improved occupancy level in Zuellig Building, the only office development introduced in Makati last year. Similarly, vacancies across Grade A offices narrowed by 1.3%, but a slight increase was seen in Grade B offices to 3.25% from 2.69% QoQ. The overall vacancy rate in the CBD will remain at the sub-4% level, at least before the completion of Alphaland Makati Tower.

Rents

Premium rental rates grew by a substantial 5.1% QoQ backed by generally higher landlord confidence – a result of the recent higher take-up rate at premium buildings coupled with the absence of upcoming new supply. The average premium rental rate is currently pegged at PHP980 per sq m monthly and is expected to grow by 7.1% by 1Q 2014. Meanwhile, Grade A and Grade B rental rates slightly increased by less than 1.0% to average at PHP740 and Php515 per sq m monthly, respectively. Both grades are expected to grow by 6% in the next 12 months.

Makati CBD vs. Metro Manila Office Stock


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Metro Manila Stock (LHS) Makati CBD (Stock) (LHS) Total Stock YoY Change (RHS)


Makati CBD Office Supply and Demand

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New Supply During Year (LHS) Take-Up During Year (LHS) Vacancy at Year End (RHS)

MAKATI CBD COMPARATIVE OFFICE VACANCY RATES (%)

CLASSIFICATION 1Q 2013 4Q 2012 1Q 2014F

PREMIUM 5.83 7.37

GRADE A 2.13 3.49

GRADE B & BELOW 3.25 2.69

ALL GRADES 3.38 3.48 3.43Source: Colliers International Philippines Research

FORECAST OFFICE NEW SUPPLY (NET USEABLE AREA)

LOCATION END of 2012 2013F 2014F 2015F TOTAL

MAKATI CBD 2,771,784 74,130 24,248 - 2,870,162

ORTIGAS 1,175,350 66,999 39,773 - 1,282,122

FORT BONIFACIO 747,116 226,497 149,069 154,214 1,276,896

EASTWOOD 313,864 - - - 313,864

ALABANG 303,866 31,131 59,106 51,797 445,900

OTHER LOCATIONSa 872,983 161,407 132,507 274,284 1,441,181

TOTAL 6,184,963 560,164 404,703 480,295 7,630,125

Source: Colliers International Philippines ResearchaManila, Pasay, Mandaluyong and Quezon City


PHILIPPINES | 1Q 2013 | OFFICE

COMPARATIVE OFFICE RENTAL RATES (PESOS/SQ M/MONTH)

MAKATI CBD (BASED ON NET USEABLE AREA)

CLASSIFICATION 1Q 2013 4Q 2012 % CHANGE (QoQ) 1Q 2014F % CHANGE (YoY)

PREMIUM 860 - 1,100 860 - 970 5.1 880 - 1,220 7.1

GRADE A 575 - 900 570 - 900 0.3 620 - 950 6.7

GRADE B 450 - 575 450 - 565 0.9 470 - 620 6.3


Capital Values

As with rental rates, average capital values for premium buildings in the Makati CBD grew by 4.3% QoQ to PHP125,000 per sq m, and will reach PHP134,350 per sq m by 1Q 2014. Meanwhile, Grades A and B capital values are currently at an average of PHP85,310 and 58,400 per sq m, respectively. Both grades will increase at between 5 and 6% in the next 12 months.


Makati CBD Office Capital Values

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Premium Grade A Grade B/B-

COMPARATIVE OFFICE CAPITAL VALUES (PESOS / SQ M)MAKATI CBD (BASED ON NET USEABLE AREA)

CLASSIFICATION 1Q 2013 4Q 2012 % CHANGE (QoQ) 1Q 2014F % CHANGE (YoY)PREMIUM 120,000 - 131,600 118,500 - 130,100 4.3 124,870 - 143,830 6.8GRADE A 71,725 - 98,890 71,015 - 98,400 0.2 78,400 - 102,805 6.1GRADE B 49,500 - 67,300 49,500 - 67,205 0.7 52,000 - 70,725 5.1


RESIDENTIAL SECTOR

Supply

Across the five submarkets tracked by Colliers, 18 new residential condominiums will be introduced this year. Collectively, these condominiums consist of 7,181 new units, about 10% higher than the new supply delivered in 2012. Still, the majority of units fall into the smaller-sized categories of the studio and one-bedroom segments. Only about 21% are three- to four-bedrooms, which are required by many expatriates.

Furthermore, the availability of premium condominiums remains limited with only three new projects slated to be completed this year. These developments are Discovery Primea (90 units) in the Makati CBD and Beaufort East & West Towers (276 units) in Bonifacio Global City. Besides Discovery Primea, over 1,900 more units are targeted to be turned over in the Makati CBD. These are all classified as Grade A condominiums with most of the unit sizes relatively compressed to 21 to 55 sq m.

Makati CBD Residential Stock


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Residential Stock (LHS) YoY Change (RHS)


PHILIPPINES | 1Q 2013 | OFFICE

Demand

In 1Q 2013, residential vacancy in the Makati CBD slightly decreased by 0.24% QoQ to 9.7%. The vacancy has been on a downward trend since 3Q 2012. However, the substantial upcoming new supply in the second half suggests that vacancies may increase to the sub-11% level towards the end of the year. Despite the increase, demand for premium condominiums will remain the strongest with a vacancy rate of below 5% by 1Q 2014.

Besides the three-bedroom premium units, expatriate demand for larger unit sizes of one- to two bedroom units has also increased based on the latest Colliers inquiries. These requirements came mostly from the international schools and institutions, the gaming and hotel industry, and from among the BPO firms. While demand for leasable properties remains high in Rockwell, Makati and BGC, the Pasay-Manila area has also become a preferred destination for expatriates engaged particularly in the Pagcor Entertainment City.

FORECASTRESIDENTIAL NEW SUPPLY

LOCATION END-2012 2013 2014 2015 2016 TOTALMAKATI CBD 16,288 2,081 1,596 2,476 779 23,220ROCKWELL 3,718 - 441 - - 4,159FORT BONIFACIO 15,491 3,726 1,276 2,977 3,616 27,086ORTIGAS 10,987 934 792 1,560 405 14,678EASTWOOD 6,830 440 278 - 988 8,536TOTAL 53,314 7,181 4,383 7,013 5,788 77,679


Makati CBD Residential Vacancy

2%

4%

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MAKATI CBD

COMPARATIVE RESIDENTIAL VACANCY RATES (%)

CLASSIFICATION 1Q 2013 4Q 2012 1Q 2014F

LUXURY 4.7 4.8

OTHERS 10.4 10.7

ALL GRADES 9.8 10.0 10.0Source: Colliers International Philippines Research

Rents

Premium three-bedroom rental rates in the Makati CBD grew by 2.3% QoQ and are pegged at PHP737 per sq m on average. This translates to a monthly rate of PHP184,250 for a 250 sq m unit. Premium rates for both the Makati CBD and BGC remain at parity and will improve by 8 to 9% in the next 12 months. In Rockwell, where supply is limited, premium rental rates grew 2.0% QoQ and have started to exceed the PHP800 level. Annual rent growth in Rockwell is projected at 9%.

Makati CBD, Rockwell, Bonifacio Global CityPrime 3BR Units Residential Rents

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PHILIPPINES | 1Q 2013 | RESIDENTIAL

COMPARATIVE RESIDENTIAL LEASE RATES (EXCLUSIVE VILLAGES)

3BR - 4BR, UNFURNISHED TO SEMI-FURNISHEDVILLAGES LOW HIGH

FORBES PARK 260,000 550,000DASMARIÑAS VILLAGE 200,000 450,000URDANETA VILLAGE 200,000 450,000BEL-AIR VILLAGE 100,000 300,000AYALA ALABANG VILLAGE 85,000 300,000SAN LORENZO VILLAGE 90,000 280,000


Capital Values

Premium secondary capital values in BGC slightly edged out those of the Makati CBD in the last two consecutive quarters. Premium three-bedroom units in BGC were PHP121,500 per sq m in 1Q 2013, higher by over PHP1,100 than in the Makati CBD. Secondary prices in both districts will increase by over 7% in the next 12 months. Meanwhile, in Rockwell Center, the average capital value was PHP128,160 per sq m and is expected to grow by 8.7% in 1Q 2014.

Makati CBD Residential Capital Values


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METRO MANILA RESIDENTIAL CONDOMINIUMCOMPARATIVE LUXURY 3BR RENTAL RATES

LOCATION 1Q 2013 4Q 2012 % CHANGE (QoQ) 1Q 2014F % CHANGE (YoY)MAKATI CBD 540 - 930 525 - 915 2.3 550 - 1,040 7.9ROCKWELL 700 - 930 686 - 912 2.0 760 - 1,015 9.0BONIFACIO GLOBAL CITY 580 - 890 570 - 865 2.5 610 - 985 8.5



PHILIPPINES | 1Q 2013 | RESIDENTIAL

COMPARATIVE RESIDENTIAL LEASE RATESTHREE-BEDROOM, SEMI-FURNISHED TO FULLY FURNISHED

LOCATION MINIMUM AVERAGE MAXIMUMApartment Ridge / Roxas Triangle Rental Rangea 190,000 200,000 250,000 Average Sizeb 210 280 330

Salcedo Village

Rental Range 80,000 100,000 110,000 Average Size 170 190 330 Legaspi Village

Rental Range 80,000 190,000 250,000 Average Size 120 210 280 Rockwell

Rental Range 150,000 200,000 300,000 Average Size 200 260 330 Fort Bonifacio

Rental Range 85,000 200,000 300,000 Average Size 130 200 300

Source: Colliers International Philippines Research ain PHP per month bin square meters

RETAILSupply

Metro Manila retail stock is unchanged in 1Q 2013 at 5.3 million sq m. However, over the remainder of the year, 300,000 sq m will be completed, the highest level of new construction since 2006. Moving forward, retail developers are expected to introduce new formats and configurations, given the increasing competition and expanding market size.

SM Megamall and Venice Piazza are currently undergoing expansion with the aim of attracting heavier foot traffic. Both are set to open in the second half of the year. Meanwhile, BPO-retail integrated facilities continue to surface, such as Anonas LRT City Center in Quezon City which is slated for completion in 2Q 2013. Other major developments such as SM Aura (133,800 sq m GLA) and Century City Mall (17,000 sq m GLA) have been positioned to cater to broader profiles across residential and commercial communities. These retail formats have served as major components in integrated developments, a trend that will most likely continue.

Overall, developers are highly confident with their expansion plans due to strong local demand backed by a robust economy. In Metro Manila alone, roughly over 800,000 sq m of retail space are currently in the pipeline and are targeted to be delivered within the next three years.

Demand

Vacancy rates in both super-regional and regional malls decreased to 2.15% in 1Q 2013 with an occupancy rate of 97.8% from the 97.4% in the previous quarter. However, compared to 1Q 2012, occupancy rates have been slightly down by 1.14%, an outcome of the recent mall expansions.

With the delivery of over 300,000 sq m of new retail space this year, vacancy rates in all of Metro Manila will increase to over 10%. The increase however is seen to be temporary as these new retail shopping centers stabilize, backed by the expected strong consumer spending driving higher occupancy levels. Higher retail occupancy levels are also supported by the growing BPO and tourism industries, which drive the purchase of consumer goods.

Rates Rental rates in Ayala Center increased by a marginal rate of 0.6% to an average of PHP1,278 per sq m. Meanwhile, rental rates in Ortigas Center improved by 0.5% to average PHP1,100 per sq m. Rental rates in both districts are projected to grow between 5 and 6% in the next 12 months.

METRO MANILA

COMPARATIVE RETAIL VACANCY RATES (%)

CLASSIFICATION 1Q 2013 4Q 2012

SUPER-REGIONAL 2.06 2.54

REGIONAL 2.41 2.77


Ayala Center Retail Rent


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METRO MANILA RESIDENTIAL CONDOMINIUMSCOMPARATIVE LUXURY 3BR CAPITAL VALUES (PESOS / SQ M)

LOCATION 1Q 2013 4Q 2012 % CHANGE (QoQ) 1Q 2014F % CHANGE (YoY)MAKATI CBD 81,650 - 165,870 80,050 - 155,850 2.00 89,250 - 170,000 7.32ROCKWELL 103,020 -153,300 101,000 - 150,440 1.94 115,865 - 162,695 8.68BONIFACIO GLOBAL CITY 93,585 - 149,415 91,750 - 145,630 2.37 103,280 - 157,020 7.12



PHILIPPINES | 1Q 2013 | HOTEL & LEISURE

Spending Indicators

Owing to a robust economy and increase in purchasing capacity, Household Final Consumption Expenditure (HCFE) grew 6.1% in 2012 versus the previous year. Nearly half of the expenditures were allotted to food and non-alcoholic beverages. Major growth contributors were the spending used for Health (+11.7%); Recreation & Culture (+10.9%); and Restaurant & Hotels (+10.5%). With the sustained increase in the level of remittances backed by strong consumer confidence, spending will likewise expand moving forward. Based on the latest consumer expectations survey conducted by the Bangko Sentral ng Pilipinas, outlook on consumer index is to improve in the second quarter and the year ahead to 7.8% and 18.5%, respectively.

Consumer Spending Growth Rate (%)

Source: National Statistical Coordination Board

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2Q04

4Q04

2Q05

4Q05

2Q06

4Q06

2Q07

4Q07

2Q08

4Q08

2Q09

4Q09

2Q10

4Q10

2Q11

4Q11

2Q12

4Q12

RETAIL STOCKMETRO MANILA (SQ M)

CLASSIFICATION 1Q 2013 4Q 2012 % CHANGE (QoQ) 1Q 2014F % CHANGE (YoY) SUPER-REGIONAL 3,080,544 3,080,544 0.00 3,338,414 8.37REGIONAL 1,030,100 1,030,100 0.00 1,030,100 0.00DISTRICT / NEIGHBOURHOOD 1,188,289 1,188,289 0.00 1,230,984 3.59ALL LEVELS 5,298,933 5,298,933 0.00 5,599,498 5.67



PHILIPPINES | 1Q 2013 | RETAIL

www.colliers.com

482 offices in 62 countries on6 continentsUnited States: 140 officesCanada: 42 officesLatin America: 20 officesAsia Pacific: 195 officesEMEA: 85 offices

• $2 billion in annual revenue • 1,120 billion square feet under management • Over 13,500 professionals worldwide

COLLIERS INTERNATIONAL PHILIPPINES10F Tower 2 RCBC PlazaAyala Avenue, Makati CityPhilippinesTEL +632 888 9988FAX +632 845 2612

www.colliers.com

Karlo PobreResearch ManagerConsultancy & Valuation ServicesMain +632 888 9988 ext. 4030 Fax +632 845 2612Email [email protected]

Julius GuevaraAssociate DirectorAdvisory & ResearchMain +632 888 9988 ext. 4024Fax +632 845 2612Email [email protected]

David A. YoungManaging DirectorColliers International PhilippinesMain +632 888 9988Fax +632 845 2612Email [email protected]

Copyright © 2011 Colliers International.

The information contained herein has been obtained from sources deemed reliable. While every reasonable effort has been made to ensure its accuracy, we cannot guarantee it. No responsibility is assumed for any inaccuracies. Readers are encouraged to consult their professional advisors prior to acting on any of the material contained in this report.

COLLIERS INTERNATIONAL PHILIPPINES MANAGEMENT TEAM INVESTMENT SERVICES Ieyo De Guzman | Executive Director

REAL ESTATE MANAGEMENT SERVICES Jet Ilaga | Executive Director

VALUATION & ADVISORY SERVICES Marissa Benitez | Director

OFFICE SERVICES - Landlord & Tenant Representations Jie Espinosa | Director

RESIDENTIAL SERVICES Gigi Limguangco | Associate Director

RECENT RECOGNITIONS

PHILIPPINE EUROMONEYReal Estate Awards 2011 and 2012 - Winner* Best Overall Adviser & Consultant* Agency | Letting* Valuation* Reseach


RESEARCH & FORECAST REPORT PHILIPPINE REAL ESTATE MARKET … · of US$2.03 billion from foreign...

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