Senate firming up proposed investment liberalization measures

Bill aimed at boosting foreign investments

The Senate is fine-tuning tax incentives transparency and foreign investment liberalization measures to induce the flow of foreign investments into the Philippines which lags behind its Southeast Asian neighbors as choice investment havens.

Being debated on the Senate floor for possible approval before the Upper House goes into a six-week recess starting March 20 is Senate Bill 2669 ( Tax Incentives Management and Transparency Act or TIMTA) co- authored by Senate President Pro Tempore Ralph G. Recto and Sen. Juan Edgardo ‘’Sonny’’ Angara, chair chairman of the Senate ways and mean means committee

Al Also going through the technical working group (TWG) phase of legislation is Senate 2517 authored by Sen. Joseph Victor ‘’JV’’’ Ejercito.

Way behind in FDIs

In the field of foreign direct investment (FDI), the $3.9 billion FDI that flowed to the Philippines in 2013 pales in comparison with Thailand’s $ 13 billion, Malaysia’s $ 12.3 billion and Indonesia’s $18.5 billion, Recto said.

The Ejercito measure seeks to amend or amend investment re- strictions in specific laws governing adjustment companies, lending companies, and financing companies cited in the Foreign Investment Negative List, except those in the 1987 Constitution.

TIMTA, according to Angara, would give policymakers and revenue collecting agencies adequate information to determine and evaluate the impacts of tax incentives in the Philippine economy.

‘’We are reviewing our incentives policy and we need to have adequate information to make better decisions. Our measure which we believe would lead to better information is the TIMTA, ‘’ Angara said.