Philippines Definitely On Asia's Investment Map

Philippines Definitely On Asia's Investment Map

Condensed from The Philippine Star article by Paolo Romero, 06/22/2005

The Philippines remains high on Asia's investment map, according to two top state officials.

The Philippines' Press Secretary, Ignacio Bunye, said this is the message being conveyed by President Arroyo during her meetings with foreign investors and business leaders in a bid to further promote the country's rapidly growing economy to the international business world.

He said the President aims to make short trips to neighboring countries to personally promote the Philippines as an investment haven through meetings with business leaders and media organizations.

"It is the aim of the President to inform the international community that our country is very much (present on) the (business) map of Asia, and is (definitely) ready to receive new investments," he said.

Mr. Bunye's statement was in reference to Mrs. Arroyo's meeting with business tycoons in Hong Kong last Monday, showcasing Manila's economic achievements.

Cora Guidote, presidential consultant on investor relations, said the Philippines was now turning its attention to countries other than its traditional trade partners.

She noted that for example, China has committed to invest at least $1 billion in the Philippines' mining and railways sector. The Philippines and China recently marked 30 years of diplomatic ties.

According to Guidote, the Philippines is ahead of its business forecast. "We are optimistic we will exceed our investment targets for this year," Guidote said in a telephone interview.

During the first quarter of 2005 alone, the country has already met 30 percent of foreign investment targets for the year, specifically the projects approved by the Board of Investments (BOI) and the Philippine Economic Zone Authority (PEZA).

So far, the approved projects have already amounted to almost $66 billion (BOI $52.6 B, PEZA $13 B) from January to March 2005. The major areas of investment opportunities include mining, energy, tourism, call centers, infrastructure and manufacturing.

In 2004, the Philippines recorded a 270 percent increase in the number of projects approved annually. Overall, the Philippines registered over $210 billion (BOI $164.5 B, PEZA $46.1 B) worth of investments and projects.

A major part of investments in the country was in the energy sector, with seven projects totaling more than $2 billion. More foreign investments into these areas are forthcoming, according to Guidote.