BOI investments reach P291 B
TOTAL approved investments recorded by the Board of Investments (BOI) in the first five months of 2019 reached P290.6 billion, a 40.1 percent increase from P207.5 billion in the same period in 2017.
Approved investments from foreign sources continued with its upward trend at P67 billion from P6.9 billion in January to May 2018.
Domestic investments, on the other hand, maintained its steady growth to P223.5 billion from P200.5 billion.
Singapore remains the biggest foreign investor to date with P35.4 billion, followed by Netherlands with P9.1 billion, Thailand with P8.5 billion, Japan with P5.5 billion and the United States with P2.4 billion.
“With the Philippine economy up by four notches to 46th in the latest World Competitive Yearbook rankings, the vote of confidence of the administration affirmed in the May mid-term elections with the resounding victory of most of its candidates and allies, is seen to sustain investor confidence for the Philippines,” said Trade Secretary and BOI Chairman Ramon Lopez.
Power projects make up the big chunk
He added that the recent visit of President Rodrigo Duterte in Japan will provide added boost to the investment climate as he was able to attract nearly P300 billion in investment deals, business expansion and letter of intents for Japanese firms to channel more capital into the country which are expected to create over 80,000 additional jobs for Filipinos.
Power projects make up the biggest chunk of the aggregate investment figure with P185.4 billion, up 74 percent from P106.5 billion. Manufacturing continues its resurgence with P44.6 billion worth of commitments, up 130.5 percent from P19.4 billion in 2018. The information and communication sector went up exponentially by 9,669 percent to P33.2 billion, from P340 million in 2018. The tourism accommodation facilities rocketed to P8.4 billion, up 733 percent from P1 billion in 2018.
Top investment destinations
For the month of May, several manufacturing and service facilities got the nod of the BOI.
Among these are the P700 million shipping project of Southwest Gallant Ferries Inc. which will service the Batangas, Romblon and Roxas City routes, the P400 million Cavendish banana facility of Tren2 Agri-Industries in Agusan del Sur which will be exported once operational and eight low-cost housing projects worth P2 billion spread across Calabarzon and Central Luzon regions.
Calabarzon remains the top investment destination with P200.9 billion, followed by Central Luzon with P27.1 billion and National Capital Region with P7.9 billion. Completing the top five are Central Visayas with P5.7 billion and Cagayan Valley with P4.4 billion.
“We will continue to spread economic development in the regions as records show barely three percent of investments are located in the National Capital Region with the rest (97 percent) going to the countryside,” said Trade Undersecretary and BOI Managing Ceferino Rodolfo.