(From BusinessWorld (Philippines))
Byline: Norman P. Aquino
Domestic borrowers shifted away from foreign currency deposit units (FCDUs) in 2002, borrowing in pesos instead to minimize foreign exchange risks.
FCDU loans of commercial and thrift banks stood at $4.965 billion as of end-December 2002, a 10% decline from the year-ago level of $5.53 billion, the Bangko Sentral ng Pilipinas (BSP) said over the weekend.
In terms of economic activity, the manufacturing industry constituted the bulk of the FCDU loans, BSP deputy governor Alberto V. Reyes said.
Dollar funds deposited with local banks are recorded under their FCDUs, special …