Investment pledges registered by the Board of Investments (BOI) amounted to nearly P313 billion as of July, a 24-percent increase from the level in the same period last year.
In a statement on Tuesday, the BOI said it had approved P312.8 billion worth of projects in the first seven months of the year, a jump from P252.32 billion registered in the comparative period in 2018.
Local pledges still accounted for the bulk of the commitments at P243.2 billion, a 2.7-percent improvement from year ago level.
Foreign investment pledges, on the other hand, grew by 348 percent to P69.6 billion.
The majority of the approved investments, or 96.25 percent, will be infused in areas outside of Metro Manila, said the BOI, the investment arm of the Department of Trade and Industry (DTI).
“Investors continue to signal their strong confidence in the Philippines and the Duterte administration despite the challenges generated by the global tensions among nations,” said Trade and Industry Secretary and BOI Chair Ramon Lopez.
“This growth was still resilient enough to withstand the global demand downturn brought about by the lingering trade dispute between the US and China, the trade spat between Japan and South Korea, and other geopolitical tensions,” he added.
Lopez said the Philippines had to diversify its export markets for more opportunities while ensuring that the domestic base remained strong and on the upswing to soften the impact of these trade disputes.
“The recent trade spat between Korea and Japan should urge us to escalate and complete the negotiation of a free trade agreement with South Korea and review or enhance the Philippines-Japan Economic Partnership Agreement to avail ourselves of more opportunities and exchanges with Japan,” he said.
He was referring to the existing free trade agreement (FTA) with Japan, as well as the ongoing FTA negotiations with South Korea. The Philippines and South Korea target to finalize their FTA in November.
The BOI targets to grow its investment pledges registration to P1 trillion at the end of the year, which would be a record high for the agency if reached.
In 2018, the investment promotion agency said it had registered P915 billion worth of investment commitments, the highest so far in the agency’s history.
“We still have a lot of pending projects that need thorough study and evaluation. I am confident that by the end of the year, we are going to attain our target despite the global uncertainties,” Trade Undersecretary and BOI managing head Ceferino S. Rodolfo said.