The Board of Investments approved P290.6 billion worth of investment commitments in the first five months of the year, up 40 percent from P207.5 billion year-on-year.
Foreign investment pledges jumped to P67 billion in the five-month period from just P6.9 billion a year ago, while domestic commitments rose to P223.5 billion from P200.5 billion.
Singapore remained the biggest foreign investor to date with P35.4 billion. The Netherlands was second with P9.1 billion, while Thailand placed third with P8.5 billion. Japan with P5.5 billion and the United States’ P2.4 billion completed the five biggest foreign investors during the period.
“With the Philippine economy up 4 notches to 46th in the latest World Competitive Yearbook rankings, the vote of confidence of the administration affirmed in the May mid-term elections with the resounding victory of most of its candidates and allies is seen to sustain investor confidence for the Philippines,” said Trade Secretary and BoI chairman Ramon Lopez.
The recent trade mission to Japan also boosted the investment climate after the Philippine government attracted nearly P300 billion in trade deals, business expansion and letter of intents from Japanese companies. The deals are expected to create over 80,000 additional jobs in the Philippines.
Power projects comprised the bulk of the investment pledges with P185.4 billion, up 74 percent from P106.5 billion in the same month last year.
Investment commitments in May surged 130 percent with P44.6 billion from P19.4 billion a year ago.
Pledges in the information and communication sector jumped to P33.2 billion from P340 million in 2018 while those in tourism surged 733 percent to P8.4 billion from P1 billion.
“Power projects are essential as it fuels the Build, Build, Build program of the government and the demands of a growing population. There are big power projects that will complement the infrastructure projects in the coming months even as we exercise due diligence for projects that are deserving of incentives,” said Trade Undersecretary and BoI managing head Ceferino Rodolfo.