BOI to hike investment target to P320 billion

MANILA, Philippines -  The Board of Investments (BOI) may raise its investment target for 2011 to P320 billion after exceeding its full year target in July.

In an interview with reporters, Board of Investments (BOI) managing head Cristino L. Panlilio said it is possible for them to attain a total investment figure of P320 billion this year.

The administration had a successful state visit to Japan wherein the government brought home $1.3 billion worth of investment although not all will be registered under BOI. Another investment mission is set this year, this time to Japan.

“We (BOI) have already exceeded our annual target of P250 billion. That’s remarkable. We will readjust our target,” Panlilio told reporters.

“We believe we can hit our P304 billion all time record at the latest by third quarter based on pending applications,” Panlilio said.

Panlilio said that based on the applications they are currently reviewing, they will be able to hit last year’s figure by the end of September at the latest.

For January to July this year, BOI-registered investments went up 61 percent to P276.69 from P171.805 billion during the same period last year. The number of projects likewise went up by 82 percent to 180 projects from 99 recorded during the same period last year. Jobs generated for the period grew 177 percent to 40,712 from 14,715.

The biggest recipient was the energy sector because of Petron Corp.’s P74.783 billion modernization project of its plant in Limay Bataan.  The project will convert Petron’s output to white products and will start commercial operations December 2014.

BOI has recorded four wind power projects three of which are located along the coast line of Ilocos Norte. The investment of the Energy Development Corp. (EDC) for wind energy in Burgos is worth P14.447 billion, Northern Luzon UPC Corp invested P11.214 billion while Trans Asia invested P6.453 billion.

The second biggest sector is mass housing but the BOI refused to give details on the sector. This was followed by mining which accounted for 19 percent of the total approved projects. Citinickel Mines has invested P51.464 billion. There were also sizeable investments in manufactured products worth P16.898 billion.