MANILA – To help the economy bounce back in a V-shape recovery, the Board of Investments (BOI) targets to attract more investments this year as it eyes PHP1.25-trillion investment approvals at end-2021.
The BOI originally targeted the PHP1.25 trillion worth of investment pledges last year, but was recalibrated due to impacts of coronavirus disease 2019 (Covid-19) pandemic.
“We are working hard for a V-shape Philippine economic recovery in 2021 and hence targeting the original 2020 pre-pandemic goal for investments,” DTI Secretary Ramon Lopez said in a statement.
Lopez, who is also the BOI chair, added the agency expects to see more investments in road, ports, and telecommunications infrastructure as well as investment commitments in water and power sectors.
He said investors anticipate the passage and enactment of the Corporate Recovery and Tax Reform (CREATE) bill, adding the legislation will be a game changer in the country’s investment environment.
“It will definitely remove uncertainties in the incentives regime and give a big boost in attracting investments for the country,” the trade chief said.
Last week, Senator Ralph Recto said the bicameral conference committee is expected to pass the CREATE bill in the next two weeks.
Meanwhile, the BOI still recorded in 2020 its second highest investment approvals for the past 53 years.
Approved projects in 2020 reached PHP1.02 trillion, however 11-percent lower than the pre-pandemic approvals amounting to PHP1.14 trillion in 2019.
The BOI said the investment promotion agency breached the PHP1-trillion target last year as the Department of Energy (DOE) endorsed two power projects, while a water supply and distribution project also got BOI’s nod towards the end of December 2020.
Overall, BOI approved 331 projects last year. These projects are expected to generate 55,124 jobs once they are fully operational.
Investments from local sources amounted to PHP968.45 billion, while foreign investors registered PHP47.7 billion worth of projects.
Recently, the United Nations Conference on Trade and Development (UNCTAD) reported the Philippines was able to buck the global trend of declining foreign direct investments (FDIs) amid the pandemic after FDI inflows rose 29 percent last year.
“BOI —working with other government agencies— is committed to extending support so existing businesses stay afloat and operating; and guiding new investors to facilitate their entry,” DTI Undersecretary and BOI managing head Ceferino Rodolfo said. (PNA)
