Monday, August 24, 2026

Gov’t eyes Mindanao as hub for AI-enabled industries, mineral processing

The Board of Investments (BOI) is positioning Mindanao as a potential hub for AI-enabled industries, semiconductor design, mineral processing, and other higher-value activities under the government’s 2026 Strategic Investment Priority Plan (SIPP).

At the final leg of the 2026 SIPP Roadshow in Davao City on Monday, Aug. 24, the BOI said Mindanao’s manufacturing, agribusiness, renewable energy, logistics, mineral resources, digital services, and halal industries could support the country’s push toward technology-driven industrialization.

The agency identified food security, integrated circuit (IC) design, and mineral processing as areas where Mindanao could play a larger role in domestic and global value chains.

The BOI cited investments in digital connectivity as among the infrastructure needed to support this shift, including registered projects by Converge ICT Solutions, InfiniVAN, and Philippine Fiber Optic Cable Network Ltd. Inc. (PFOCN).

It also stressed that infrastructure investment would need to be accompanied by workforce development, particularly as industries adopt AI, automation, and other advanced technologies.

“The industries that will drive the next phase of growth require more than investment and infrastructure. They also require a workforce equipped with the right skills. Enabling linkages between academia and industry is essential to ensuring that our educational institutions remain responsive and that Filipino talent is prepared to meet evolving industry needs,” BOI Industry Development Services executive director Ma. Corazon Halili-Dichosa said.

Through its Academe-Industry Matching initiative, the BOI has partnered with institutions including Mindanao State University-Iligan Institute of Technology and Mapúa Malayan Colleges Mindanao to align academic programs with industry requirements.

BOI governor Marjorie Ramos Samaniego also pointed to Mindanao’s mineral resources as an opportunity to move beyond extraction and into processing and manufacturing.

The region has deposits of nickel, copper, and gold, which the government sees as potential inputs for downstream industries. The issue has gained greater attention amid discussions surrounding Pax Silica, an international initiative focused on securing supply chains for semiconductors, AI infrastructure, critical minerals, and related technologies.

Samaniego said the government’s investment strategy should focus on keeping more value-adding activities in the region instead of limiting Mindanao’s role to supplying raw materials.

“Mindanao’s next chapter should not be defined only by what it produces or supplies. It should also be defined by how much more we can build here. The real opportunity is to move further along the value chain, turning resources into products and products into industries that create more economic activity here at home,” she said.

During the Davao event, officials from the Bangko Sentral ng Pilipinas, Department of Finance, Department of Budget and Management, and Department of Economy, Planning, and Development discussed financing, infrastructure, policies, and investment priorities for developing new industries in Mindanao.

Representatives from the BOI, Mindanao Development Authority, and Bangsamoro Board of Investments also discussed how projects identified under the SIPP could be translated into regional investments.

The BOI said the 2026 SIPP is intended to encourage economic diversification and higher-value industries while remaining open to investments from micro, small, and medium enterprises.

Finance secretary Frederick Go said implementing the investment priorities would require coordination between government, businesses, and development partners.

“The opportunities before Mindanao are immense and require our concerted efforts. Achieving our development goals calls for a whole-of-government approach and strong collaboration with the private sector and development partners. By working together, we can create the conditions for investments to flourish and ensure that the benefits of development reach more communities across the region,” Go said.

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