MANILA, Philippines - Total investments approved by the Board of Investments (BOI) and the Philippine Economic Zone Authority (PEZA) recovered from 2014’s double-digit decline as these grew four percent last year on the back of sustained investor confidence in the country.
Separate reports released by both agencies yesterday showed total investments rose to P661.83 billion in 2015 from the P634.24 billion recorded the previous year.
Investments registered with the BOI reached P366.74 billion, up three percent from P354.76 billion in 2014.
Trade and Industry Secretary Adrian Cristobal Jr. said the combined investment approvals were generated from 358 projects, with some 58,252 new jobs expected to be produced when these investments became fully operational.
The increase in BOI-approved investments was attributed mainly to the approval of big power projects.
The BOI said energy-related investments P246.42 billion from 55 projects while manufacturing sector investments contributed P27.01 billion.
“The increase in power investment projects augurs well for the country’s goal to ensure energy security and independence. The continued growth of the manufacturing industry, meanwhile, is a clear indication of the efforts to boost the growth and further development of the sector through the Manufacturing Resurgence Program,” BOI managing head Ceferino Rodolfo said.
Investment commitments from domestic sources reached P307.24 billion or 84 percent of total investment approvals last year while the remaining 16 percent or P59.51 billion were generated from foreign sources.
Netherlands was the largest foreign country investment source last year, followed by Singapore.
Investment commitments from PEZA, meanwhile, grew 5.58 percent last year, to P295.09 billion from 2014’s P279.48 billion.
PEZA director general Lilia De Lima said the agency’s approved projects totaled 598.
As of end-October 2015, De Lima said direct employment generated by these investments is expected to reach 1.24 million.
For this year, De Lima said PEZA is targeting a five percent growth each for investments, employment and export value.
He said the BOI is also looking at a five percent growth for the agency’s approved investments this year.
Cristobal said the increase in investments would be driven by the country’s strong services and manufacturing sectors as well as improvement in the agriculture industry.