Investments pledges to the country is at an all time high.
Barely a week has
passed from the news that the Asian Development Bank upgrading its growth
forecast for the Philippines, here we are faced with another great news.
The country’s Board of Investments (BOI) which is an attached agency under the Department of Trade and Industry (DTI), is the
lead government agency responsible for the promotion of investments in the Philippines-
whether for local or foreign investors, just announced a milestone in for this
year.
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| Investment approvals done by the Board of Investments (BOI) soared to an all-time high this year, surpassing by nearly a quarter the full year target of P500 billion.(photo credit to GMA network) |
Investment approvals done by the Board of Investments (BOI)
soared to an all-time high this year, surpassing by nearly a quarter the full
year target of P500 billion.
The BOI in a press statement
announced that investments approved this year hit P617 billion, the
highest in the agency’s 50-year history and 39.5 percent more than the P442
billion recorded in 2016.
The previous record was posted in 1997, at P570.1 billion,
which came mainly from investments due to the privatization and deregulation of
public utilities such as water supply and telecommunications under the
administration of President Fidel V. Ramos.
Under the administration of President Rodrigo Roa Duterte,
investment pledges for 2017, came from a total of 426 projects mainly in
infrastructure and power.
The agency said these projects would generate around 76,065 jobs upon
full operations.
“This validates business confidence in President Rodrigo Duterte’s
economic programs to ensure inclusive growth and shared prosperity for the
country. The influx of investments is definitely steamrolling, as we are
expecting sustained higher investments for the next five years,” Trade
Secretary Ramon Lopez said.
“The momentum of our 6.9 percent GDP (gross domestic product) growth in
the third quarter and 6.7 percent overall growth for the first nine months have
definitely carried over in the fourth quarter, investment-wise, and further
boosted with the frenzied economic activity given the holiday season,” Lopez
added. *
The BOI, celebrating it’s 50th founding anniversary has targeted an ambitious investment approval level of
P500 billion for 2017.
We were happy then to just reach our P500 billion target. But to blitz
past the P600 billion mark is something we are definitely ecstatic as this only
proves the continuing confidence of the investors in making their business grow
in the Philippines,” Lopez said
BOI managing head Ceferino Rodolfo cites the surge of
investments because of the focused strategic sectors under the 2017 Investments
Priorities Plan (IPP), as well as influx of infrastructure and power projects
and the strong growth of domestic demand.
Real estate sector and the mass housing projects reached P86
billion, while projects in the transportation sector and logistics sector were valued at P15.91
billion.
Power sector and energy
projects accounted for the biggest chunk of the approvals at P268.168 billion,
followed by infrastructure and public-private partnership (PPP) projects at
P127.66 billion.
The resurgence of the manufacturing industry likewise
continued as investments in the sector almost doubled to P96 billion this year
from P49.26 billion in 2016.
“The increase in infrastructure projects this year supports
the BOI’s push for the growth in economic activities outside Metro Manila and
the Build Build Build or the massive infrastructure program of the
administration,” Rodolfo said. *
report from Philstar
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