Cumulative investments recorded by the Board of Investments (BOI) reached PHP764.7 billion as of September 2019, up more than two-fold from PHP372.9 billion in the same period last year.
“The sustained high growth of investments is a proof of the business sector’s strong confidence in both the Philippines’ economic fundamentals as further shown by the acceleration of the third quarter gross domestic product (GDP) growth to 6.2 percent and the reform agenda of President Rodrigo Roa Duterte,” Trade Secretary and BOI Chairman Ramon Lopez said in a statement.
Approved investments from domestic sources topped PHP524.9 billion, a 54.7-percent increase from PHP339.3 billion in the same frame in 2018.
Those by foreign investors amounted to PHP239.9 billion, which is more than a seven-fold surge from just PHP33.6 billion a year ago.
Singapore continues to set the pace among all foreign entities with PHP170 billion in capital for the period.
South Korea is now second with PHP34.1 billion, followed by the Netherlands at PHP9.2 billion, Thailand -PHP8.6 billion, Japan -PHP6 billion, and the United States at PHP2.4 billion.
Overall, investments outside the National Capital Region accounted for 98.2 percent of the total of PHP750.9 billion.
Once operational, all projects will generate employment of 41,862, which is 38.5 percent higher than last year’s figure of 30,218.
For the month of September alone, PHP155.7 billion worth of projects were approved, a 50.3-percent jump from PHP103.6 billion in September 2018.
“We are particularly pleased to highlight that the share of foreign investments in BOI projects have increased from just 8 percent during January to September 2018, to already 31.4 percent this year,” Lopez added.
“Investments from the information and communications technology (ICT) and power sectors accounted for 85 percent of the total figure or PHP652.9 billion. This massive infrastructure buildup for more power and connectivity across the archipelago is critical towards addressing binding constraints to the Philippines’ competitiveness. The development also complements the consistent growth of the manufacturing sector with PHP63.5 billion in approvals or a massive 190 percent growth from just PHP21.9 billion last year,” Trade Undersecretary and BOI Managing Head Ceferino Rodolfo said.
Among the regions, CALABARZON (Region IVA) is still on top with PHP354 billion in investment approvals.
Region III – Central Luzon is runner-up with PHP42.4 billion. National Capital Region placed third (PHP13.8 billion), or just 1.8 percent of the total investments.
Region VII – Central Visayas (PHP10.1 billion) and Region II – Cagayan Valley (PHP10.05 billion) are also among the top regional performers. (PR)