Philippines is 'the smart investment choice' — Marcos

NEW YORK, United States — Now is the time to invest in the Philippines, President Ferdinand Marcos Jr. said, as he vowed to "swing the doors even wider" for high-value investments to create more jobs in the country, which he called "Asia's fastest rising economic star."

Marcos claimed the Philippines is on its way to a "strong" recovery from the COVID-19 pandemic and a robust broad-based growth in the next six years. The country's projected economic performance in the medium term is seen to surpass its regional neighbors, he added.

"As we slowly rebuild the Philippine economy for rapid growth, we have created an even wider space for mutually beneficial investments. The Philippines is a reliable host for international partnerships," he said during the Philippine Economic Briefing last Thursday here.  

Marcos said the country’s favorable business climate is shored up by sound macroeconomic fundamentals and a clear roadmap for economic recovery and sustained growth.

"To secure the Philippines’ bright economic future, my government will swing the doors even wider for high-value investments from both the domestic and international business communities with a sharp focus on broad-based job creation, the expansion of digital infrastructure, research and development," Marcos said.

"It is our belief that the Philippines is the smart investment choice and the best time to do business with us is now. We have grand opportunities, the timing, the window of opportunities for investment and especially in capital intensive investments in the Philippines which is what we need now. We believe the time is now," he added.

Marcos said the government has formulated a comprehensive eight-point socioeconomic agenda that seeks to dramatically cut poverty incidence and elevate the country to upper-middle-income status. The agenda consists of near-term goals namely protecting purchasing power and mitigating socio- economic scarring; reducing vulnerability to COVID-19; and ensuring sound macroeconomic fundamentals; and medium-term objectives namely creating more jobs: creating quality jobs; creating green jobs; upholding public order and safety, peace and security; and ensuring a level playing field.

Earlier this week, Marcos expressed confidence that the Philippines would achieve upper middle-income status - economies with a gross national income of $4,096 to $12,695 - by next year. At present, the Philippines is under the lower middle income category.

The president vowed to address the impact of growing inflationary pressures due to rising global commodity prices such as food and fuel, bolster job creation by intensifying investments in infrastructure and human capital development, and sustain investments in public infrastructure. Marcos said his administration would also focus on agriculture as a strong driver for growth and reinvigorate the tourism sector by investing in travel infrastructure and promoting the Filipino brand.
 
"We invite strategic investors from the United States to take part in this Philippines economic resurgence. Key structural reforms have been set into place to allow for wider participation in our industries," the president said, citing the Corporate Recovery and Tax Incentives for Enterprises Act and economic liberalization measures that opened some sectors to foreign investments.

As part of his effort to lure investments to the Philippines, Marcos met with various business groups and executives last Thursday. He held discussions with the chief executive officers of the digital infrastructure industry and members of the information technology and business process management sector. The president likewise attended meetings with executives of consumer goods firm Procter & Gamble and business process transformation company Sutherland Global Services.  

Investor interest

Trade Secretary Alfredo Pascual said some businesses have expressed interest to invest in the Philippines, including those that have existing operations in the country.

"Given the more favorable investment climate in the Philippines, they are now eager to expand their operations, so they’ll invest some more," Pascual said.

He cited tobacco firm Philip Morris, which he said would invest in a new factory with an amount of $160 million or about P8 billion to P9 billion. The trade chief said consumer goods company Procter & Gamble also has plans of putting up additional investments.

Pascual said officials also met with seven companies that are engaged in refining of mineral ores.

"No tag price yet but they are interested in taking a closer look at the situation in the Philippines and finding a suitable partner to do it," he said.

Officials likewise talked to executives of a company that is into the use of innovative stainless steel slabs to build houses, an outfit engaged in the importation of wearables and travel bags from the Philippines, an aerospace company, a company that is into the production of modular nuclear power plants, and companies that are interested in setting up waste to energy plants in the Philippines, Pascual added.

The trade chief said officials also met with two companies that are into nuclear reactors.

In the same briefing, Tourism Secretary Christina Garcia Frasco said the government would implement programs to enhance visitor experience like the ground breaking of ten tourist service areas, which will have clean restrooms for tourists, a lounge for them to rest in, complete information on tourist destinations, and centers where they can buy local products and delicacies.

She also announced plans to forge partnerships with the interior and defense departments to ensure the safety of tourists, establish wifi in tourism destinations, and to come up with an improved digital platform that will provide information to tourists and a tourist assistance call center.