Louella Desiderio – The Philippine Star
June 21, 2022 | 12:00am
Over P500 billion worth of investment leads in manufacturing, digital infrastructure and services will be turned over for the incoming administration to pursue, the Department of Trade and Industry (DTI) said.
“Total estimated value of investment leads equal to over P500 billion in the next 18 months,” outgoing Trade Secretary Ramon Lopez said in a Viber message to reporters.
These investment leads include manufacturing projects such as non-woven textiles for personal protective equipment, exports for international sports and apparel brands; electronics; printers; drones system; electric vehicle systems and infrastructure like charging stations; battery technologies; battery energy storage systems; automotive parts; modern cement plants; integrated iron and steel; and shipbuilding and ship repair.
He said these leads also include modern agribusiness projects, logistics projects and transshipment operations.
In addition, there are expected projects in digital infrastructure like infra-fiber optics; undersea broadband cables; telco towers; satellite services; data centers for hyperscalers, as well as corresponding renewable energy projects.
Lopez said there are leads in information technology (IT)- business process management services like non-voice back office support; health information management; as well as in animation and IT design and engineering.
“These are actual pledges already. (These are) in various stages of preparation, site identification, company registration, IPA (investment promotion agency) application,” he said.
He cited the country’s robust post-pandemic economic recovery and growth as among the main drivers for investors looking to locate in the country.
The Philippine economy grew by 8.3 percent in the first quarter, a reversal of the 3.8 percent contraction in the same period the previous year.
Lopez said investors are also interested in the country given its market size of 110 million and large pool of young and competent workforce.
Recent economic reforms were also cited by Lopez as drivers to investors in the country.
Among the key legislative measures approved during the current administration is the Corporate Recovery and Tax Incentives for Enterprises Act, which reduced the corporate income tax rate and brought in changes to the incentives system for investor projects.
Also passed were the amendments to the Public Service Act, Retail Trade Liberalization Act and Foreign Investments Act, which all seek to ease restrictions for foreign investments.
Lopez said the ease of doing business, free trade agreements and the Generalized Scheme of Preferences Plus benefits enjoyed by the Philippines, as well as the expected ratification of the Regional Comprehensive Economic Partnership Agreement would help attract more investors into the country.