Most Filipinos say complicated rules hinder foreign investments —survey

The majority of Filipinos believe complicated rules and regulations hinder foreign investments in the Philippines, but removing foreign restrictions as provided by the 1987 Constitution is not seen as a solution.

A recent Pulse Asia survey showed three-fourths of Filipinos oppose charter change.

In the same survey, around five out of five or 81 percent of Filipinos also expressed opposition to proposals to allow foreign individuals or corporations to own residential and industrial lands, which is among the amendments eyed for the 1987 Constitution.

In addition to the questions from Pulse Asia, StratbaseAlbert del Rosario Institute (Stratbase-ADRI) included some other questions about proposals for charter change.

One of the questions asked respondents about what they believe are significant factors that hinder foreign investments in the Philippines, to which 56 percent said complicated rules and regulations, and restrictive rules on foreign ownership (55 percent).

A significant number of respondents also cited corruption in the public sector (46 percent), inadequate transport infrastructure (40 percent), and high cost of electricity (37 percent) as factors that hinder foreign investments in the country.

According to Dr. Ana Marie Tabunda, these answers show that Filipinos are aware of the difficulties foreign investors are facing in the country.

“Ito sinasabi lang nila what could be hindering foreign investments in the country,” she told Teleradyo Serbisyo.

“Mukhang hindi ho easy for the foreign investors kasi marami hong restrictive rules tayo eh on foreign ownership na nasa Constitution,” she added.

However, when asked about the possible outcomes of removing restrictions on foreign involvement in the economy, the respondents gave both positive and negative outcomes.

Sixty-four percent of respondents believe removing restrictions on foreign involvement in the economy can provide more high quality jobs with high salaries and better benefits, while 56 percent also said this may provide better services to stakeholders/ customers.

Fifty-five percent of respondents said foreign capital will dominate local investors and businesses, while 54 percent said the price of goods and services will decrease. Fortythree percent of respondents also said national security will be at risk.

“The above results indicate that the public is keenly aware of the factors that deter the entry of foreign capital, including those that have nothing to do with the lifting of the restrictive provisions in the Constitution,” Pulse Asia said.

“Further, it should also be noted that the public does see both negative and positive outcomes of removing the restrictions against foreign investors in our Constitution. Together, these results explain the unfavorable position of a significant majority of Filipinos to the moves to remove the provisions in the 1987 Constitution that limit foreign involvement in specific economic and social sectors,” it added. (ABS-CBN News)