House inquiry into drop in foreign investments sought

The House of Representatives has been urged to look into the reported decline in foreign investments and come up with policies that would improve the country’s position in attracting foreign investments.

Citing a foreign direct investment data from the Bangko Sentral ng Pilipinas (BSP), Magdalo party-list Rep. Gary Alejano noted that there was a 90.3 percent decrease in foreign equity placements at just $141 million in the first half of the year, from $1.448 billion in the same period in 2016.

“It is imperative for the House of Representatives to look into the said decline in foreign investments as this will greatly affect our country’s economic growth,” said Alejano.

Expressing serious concern over the driop in foreign investments, Alejano filed House Resolution 1401 to urge the House to look into the situation.

“There is a need for members of this august chamber to look into the grounds of the said decline in order to propose measures to arrest the decline and regain investors’ interest and confidence in the country and attract foreign investments,” he said.

According to the 2018 ASEAN Business Outlook Survey published by the American Chamber of Commerce in Singapore and the US Chamber of Commerce, the Philippines ranked sixth among the ASEAN countries with only 22 percent of companies choosing the country as possible expansion location next to Vietnam (34 percent), Myanmar (29 percent), Indonesia (29 percent), Thailand (26 percent), and Cambodia (23 percent).

“The decline of foreign investments in the country as well as the result of the survey indicates the level of confidence of foreign businesses on our country,” he said.