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The Board of Investments approved P640.22 billion worth of investments in the first five months of the year, up 14% from P562.9 billion year-on-year
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Foreign investments amounted to P114.37 billion while local investors contributed P525.85 billion
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Renewable energy projects led investment inflows with P607.47 billion, followed by agriculture, forestry and fishing, real estate, transportation and storage, and manufacturing
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Switzerland emerged as the largest source of foreign investments with projects totaling P62.89 billion
The Board of Investments (BOI) approved P640.22 billion worth of investments in the first five months of the year, a 14% jump year-on-year from P562.9 billion.
Foreign investments amounted to P114.37 billion from January to May while local investors contributed P525.85 billion, the Department of Trade and Industry said in a statement on June 17. DTI is the mother agency of BOI.
The investments are expected to generate 13,871 jobs.
BOI is targeting at least P1.1 trillion in investments this year, mostly focused on the renewable energy sector.
The January to May total is the highest first five-month approval in BOI’s 57-year history.
“The upward trajectory in [foreign direct investment] net inflows and approved investments follows the pattern of commitments from various trade missions initiated by investment promotion agencies, including the goodwill fostered through the President’s business trips abroad,” Trade Secretary Alfredo Pascual said.
“This positive trend can be attributed to various factors, including the investment leads generated from the presidential visits of President Ferdinand R. Marcos, Jr. since 2022. These visits, along with the efforts of the BOI and other Investment Promotion Agencies (IPAs), have been instrumental in converting potential investment interests into actualized projects and foreign direct investments.”
In terms of sectors, renewable energy projects led the way, with investments totaling P607.47 billion. This was followed by agriculture, forestry, and fishing with P9.56 billion, real estate with P8.17 billion, transportation and storage with P4.61 billion, and manufacturing with P4.36 billion.
Switzerland emerged as the largest source of foreign investments, with projects totaling P62.89 billion. The Netherlands followed with P39.33 billion, Singapore with P6.07 billion, China with P1.53 billion, Taiwan with P1.28 billion, and the United States with P953 million.
The top five destinations for these investments were Calabarzon with P538.52 billion, followed by the Ilocos Region with P28.49 billion, Central Luzon with P24.42 billion, the Bicol Region with P13.28 billion, and Western Visayas with P8.54 billion.
BOI approved the registration of investments worth P1.26 trillion in 2023, P729 billion in 2022, P655 billion in 2021, P1.02 trillion in 2020, and P1.14 trillion in 2019.
Investments registered under the BOI are eligible for several government incentives, including income tax holidays, preferential tax rates on gross income, zero value-added tax rating, and tax and duty-free importation of capital equipment, raw materials, and supplies.
