Subic Bay file photo
Total investments approved by four major investment-promotion agencies hit P300.9 billion in the first half of the year on the back of increased investor confidence in the Philippines.
This was an increase of 39 percent from the P216.9 billion worth of investments registered in the same period last year by the Board of Investments (BOI), the Philippine Economic Zone Authority (Peza), the Subic Bay Metropolitan Authority (SBMA) and Clark Development Corp. (CDC), according to documents provided by the Department of Trade and Industry.
The investments registered with the four agencies in the first half of 2013 are expected to generate 77,892 more jobs.
Among the four agencies, the BOI posted the highest investment commitments with P201.9 billion, up 22 percent from last year, followed by Peza with a contribution of P83.69 billion, also increasing by 92 percent. Both are attached agencies of the DTI. The SBMA reported a 440-percent jump in approved investments to P13.95 billion this year, a big part of which came from the P21.3-billion resort complex, theme park and golf course projects of Resom Resorts Phils. Inc.
However, investment approvals by CDC fell 73 percent to P1.37 billion due to a repricing of its lease rates and re-evaluation of the optimal use of the remaining leasable Clark areas.
Local investors led the BOI and Peza investment approvals with P193.68 billion, 14-percent higher from P170.63 billion a year ago, while foreign investors committed P91.91 billion, up 139 percent from P38.49 billion last year.
The increase in BOI investment approvals came largely from the P41.23-billion, 600-megawatt (MW) power plant of GNPower Ltd. Co. in Bataan, the 300- MW coal-fired power project of SMC Consolidated Power Corp. in Malita, Davao del Sur (P25.84 billion), and SMC Consolidated’s 300-MW coal-fired power plant in Limay, Bataan (P25.51 billion).
Peza Director General Lilia B. de Lima underscored the Philippines’ growing importance to foreign investors as evidenced by the number of trade missions and visits from prospective firms wanting to locate in one of the country’s economic zones.
According to De Lima, her office received an average 16 missions in a month and numerous invitations from European firms. This was the reason Peza was also holding outbound trade missions.
The DTI is also holding its own trade missions, led by Trade Undersecretary Ponciano C. Manalo. According to Manalo, the DTI will focus on high impact countries in the Middle East as well as in Japan, Korea and Taiwan.