The economic team expects more British investments to come in and take advantage of the business-friendly reforms put in place by the Duterte administration thus far.
During a Philippine economic briefing held in London Tuesday, Finance Secretary Carlos G. Dominguez III said the government would lure in more investors in the coming years, especially if the foreign ownership caps on a number of sectors were lifted.
“A more liberal Foreign Investments Negative List has been forwarded to the President for his consideration. All these combine to transform our growth towards one that is investments-led,” Dominguez said. The release of the latest FINL has already been delayed by over a year.
The government issues the FINL every two years, listing down sectors where foreign investors have limited participation.
The 10th FINL was issued by former President Aquino in 2015 under EO No. 184, which practically kept intact the previous list of activities and sectors restricted to foreign equity and participation.
The 11th version, which remained a draft executive order after having been submitted to the Office of the President early this year, reportedly removed restrictions in the following sectors: private recruitment for local and overseas employment; practice of some professions; contracts for the construction and repair of locally funded public works projects; culture, production, milling, processing and trading (except retailing) of rice and corn and their byproducts; teaching in the higher education levels; and retail trade.
Still, Dominguez was confident the recent enactment of laws establishing a national ID system and ease of doing business and the implementation of a massive infrastructure program would “create more jobs, improve productivity in all sectors and remove roadblocks to clear the way for more rapid economic expansion.”
“These are exciting times for our economic development. We invite you to participate in building a strong and resilient economy,” Dominguez told British investors, noting the United Kingdom was among the Philippines’ 10 biggest sources of foreign direct investment.
In a statement, the government’s Investor Relations Office (IRO) said about 250 participants attended the briefing.
“Like the rest of the economies in the world, the Philippines is not exempt from challenges. But what differentiates our economy from many is the decisiveness, extent, and the pace by which we are implementing policy and infrastructure reforms,” Dominguez told the investors.
“The role played here by decisive leadership cannot be understated. The road toward inclusive and sustainable growth is now open,” he added.