The Philippines is expected to post narrower dollar deficits this year and in 2027 than previously forecast, as stronger exports fueled by the global artificial intelligence boom bolster foreign exchange inflows, the Bangko Sentral ng Pilipinas (BSP) said.

The central bank projected a balance of payments (BoP) deficit of $9.2 billion by year-end, equivalent to 1.8 percent of gross domestic product (GDP). That was down from its previous forecast of $10.7 billion, or 2.1 percent of GDP.