Total investments approved by the Board of Investments (BOI) reached P609.04 billion by the end of August 2019, more than double (126.1 percent) the amount of P269.3 billion in the same period last year.
Data shows 98 percent of these investments are located outside of Metro Manila. Projected employment upon operations will reach 37,524 personnel, a 30.5-percent improvement from 28,743 recorded in January to August 2018.
Overall, domestic investments hit P404.5 billion, a 61.2-percent jump from P251 billion compared to last year. Approved foreign investments comprised a third of the total figure, surging to P204.5 billion which translates to a 1,016.3-percent increase compared to just P18.3 billion in the same period in 2018.
Singapore continues to dominate all foreign comers with P170 billion. Netherlands is runner-up with P9.2 billion. Thailand (P8.6 billion), Japan (P6 billion) and the United States (P2.4 billion) are among the biggest foreign investors.
Investment approvals in August alone reached P296.2 billion, a 1640.9-percent jump from just P17 billion in August 2018.
“The August figure of investment approvals nearly matches investments approved for the first seven months of 2019, amounting to P312.8 billion. This shows big-ticket projects have begun to roll in and proves that the Philippine economy remains resilient in attracting investors despite the global slowdown,” Department of Trade and Industry (DTI) secretary and BOI chairman Ramon M. Lopez said.
“With the August inflation rate decelerating further to 1.7 percent, the lowest in nearly three years, our country has greater stability and flexibility as our exports continue to grow in some markets. Even our manufacturing sector is expected to weather the downward trend that has affected most countries as BOI approvals among the manufacturing sector surged to P62.9 billion, a 189.2 percent increase from just P21.7 billion in January to August 2018,” Lopez said.
“To further increase the capacities of our manufacturing base, we will continue to aggressively promote increased bilateral business ties with our biggest trading partners despite their trade wars. But at the same time, we will also promote import substitutions by exporting more to other markets as we diversify,” he added.
With the ongoing digital transformation of the country, the information and communications technology (ICT) sector soared to the top with investment approvals reaching P308.8 billion, a meteoric increase from just P340 million last year.
Power projects remained among the biggest investments with P195.1 billion, a 50.5-percent increase from P129.6 billion in the same period last year. The tourism accommodation sector rolled to P9.2 billion, up 636 percent from P1.25 billion in 2018. The human health and social work activities (hospitals) segment registered a 69.7-percent jump from P1.3 billion in 2018 to P2.3 billion to date.
Among the notable projects given the green light in August were the infrastructure project of ISOC Holding Inc. that would build 25,000 cellular towers totaling P141.1 billion; the three-phase project of Philippines Fiber Optic Cable Network covering around 60,000 kilometers for an aggregate cost of P134.5 billion; and the P16.7 billion cement facility of Republic Cement and Building Materials in Rizal.
“We are still on track to meet our year-end targets. We still have pending big-ticket projects that need to be thoroughly studied and evaluated. With four months remaining, we have to ensure that those who got the nod are deserving of the tax incentives and translate to more job opportunities for our countrymen,” DTI undersecretary and BOI managing head Ceferino S. Rodolfo said.