BOI said investment pledges for 2018 jumped by 47.1 percent from PHP616.8 billion in 2017, and even surpassed its targets of 10-percent growth and PHP680-billion approvals for this year.
“This new historic mark breezing past last year’s record figure not only reaffirms but further strengthens investor confidence under the Duterte administration. We were initially expecting to at least attain our target of PHP680 billion for the year, instead we were able to more than double the PHP442 billion investments level in 2016,” Trade Secretary and BOI Chairman Ramon Lopez said.
Lopez reported that bulk of the commitments this year were in manufacturing sector, with projects amounting to PHP409.3 billion, surging from PHP96 billion investment pledges last year.
“This will result in industrial empowerment, particularly with the upstream, heavy industrial projects that will allow us to expand our capability to manufacture finished goods currently not produced in the country,” he added.
“Together with the investments in key logistics, infrastructure and power projects including LNG (liquefied natural gas) terminals, these approved projects will strengthen the local industrial production base as it impacts on improving the general level of competitiveness of Philippine industries and pushing development to the regions,” the trade chief noted.
Strong growth in investment approvals were also recorded this year in sectors of transportation and storage, which rose 626 percent to PHP129.6 billion from just PHP17.8 billion in 201; water and sewerage, surging by 1,494 percent to PHP14.3 billion from PHP894.4 million a year ago; retail, with PHP8.1 billion from PHP2.7 billion; and accommodation sector with PHP39.9 billion from PHP11.3 billion.
Majority of the investment pledges in the BOI were from local sources, with total projects amounting to PHP803.2 billion.