MANILA -The Philippines is among the top-of-mind destinations for investors based in Singapore, according to DBS Bank, as the economic team touted investment opportunities particularly in infrastructure and other public-private partnership (PPP) ventures.
Piyush Gupta, chief executive of DBS Group, said at the Philippine economic briefing held in Singapore on June 15 that the Philippines is one of the 10 nations Singaporeans were most interested in.
“For several reasons, the remainder of this decade is the Philippines’ time,” Gupta said, citing the country’s sustainability agenda, digitalization agenda, and favorable geopolitics.
At the briefing, Budget Secretary Amenah Pangandaman reiterated her confidence in the budget and fiscal reforms being implemented to address the government’s limited fiscal space.
Pangandaman noted, in particular, such reforms as opening up the country’s economy to foreign investments, rightsizing the bureaucracy, digitalization, and the aggressive push for PPP to support other priority areas.
With the ongoing economic transformation, the budget chief expressed confidence that soon, the Philippines would once again be the “darling of Asia.” “As CEO Gupta said, the Philippines used to be the Darling of Southeast Asia,” she told the audience. “I am certain that with your investments and support, the Philippines will not only be the darling but also the Sweetheart of Asia.”
Private capital
Finance Secretary Benjamin Diokno said the Philippine government will harness private capital and expertise through the PPP mechanism.
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“This will be critical in upgrading our health, energy, logistics, agriculture, transportation, telecommunications, digital connectivity, and water infrastructure—key sectors identified in the recently published Infrastructure Flagship Projects (IFP) list approved by the Neda (National Economic and Development Authority) Board,” Diokno said.
He said Singapore was the Philippines’ top source of foreign direct investment inflows, with investments in key sectors including renewable energy, infrastructure, healthcare, manufacturing, and information and communications technology (ICT).
Singapore is also the Philippines’ seventh-largest trading partner, fifth-largest export market, and sixth-largest import supplier.
Secretary Arsenio Balisacan of Neda said that President Marcos instructed the economic managers to pursue PPPs as a means of financing the development of critical infrastructure in the country.
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“These include investments for transport and road projects, property development, health, water and sanitation, ICT, solid waste management, energy, and tourism,” said Balisacan.
Earlier this year, the Neda Board approved 194 IFPs worth about $148 billion or P8.3 trillion, most of which focus on enhancing physical and digital connectivity, as well as managing water resources.
Balisacan encouraged the business sector to finance these projects, saying that the Philippines’ consumer base of 110 million people and its demographic dividend are crucial factors to consider when investing.