BOI extends perks to P603 million hospital in Tuguegarao City

MANILA, Philippines — The Board of Investments (BOI) has approved incentives for a P603 million hospital project that will cater to COVID-19 patients in the Cagayan Valley region.

In a statement yesterday, the BOI said it approved the application for registration of Cagayan United Doctors Medical Center of Tuguegarao City Inc. as a new operator of general hospital level 2.

As the project forms part of healthcare and disaster risk reduction management services, it is eligible for lower income taxes and other incentives under the Corporate Recovery and Tax Incentives for Enterprises Act and the current Investment Priorities Plan.

The five-story hospital is located in Tuguegarao City, which is included in the list of preferred locations for general hospitals from levels 1 to 3.

About 652 people are expected to be employed by the project.

For the first four years of commercial operation, the project is expected to generate about 514 jobs and infuse P75 million contribution to household income.

Through its laboratory and diagnostic services, the hospital will be offering specialized health care not just to patients in Cagayan province, but also to those from Isabela, Kalinga and Apayao.

The hospital has 18 critical care unit beds with a five-bed intermediate care unit.

In addition, it  has eight negative pressure isolation rooms, a laminar flow system operating room, and a healing garden.

Investments will also be made for the use of digital health and digital health technologies such as computing platforms, connectivity, healthcare software solutions or health information technology.

“Due to the stark concern on the spike of COVID-19 cases coupled with the limited hospital care capacity for patients, the project will augment the hospital capacity in Region 2 to cater for COVID-19 patients with critical symptoms,” Trade Undersecretary and BOI managing head Ceferino Rodolfo said.

With the approved project, there would be 100 beds added in the region adhering to the Department of Health (DOH) requirement for hospital licensing under level 2.

Citing data from the DOH, the BOI said Cagayan Valley region has recorded a 78.8 percent occupancy rate for COVID-19 patients.

In addition, Cagayan’s ratio of hospital beds to the population is at one bed for every 864 people, lower than the DOH target of one bed for every 800 people.

“Gains of such undertaking are doubling investments in the area of medical equipment and devices, manufacturing of medical supplies and pharmaceuticals, research and development, life sciences, and innovation,” Rodolfo said.