Gov’t reopens Metro Manila for new IT ecozones, expansions
Buildings in Metro Manila. Image by Nel from Pixabay
  • The National Capital Region is once again open to new information technology economic zones
  • Malacañang lifted the moratorium contained in Administrative Order 18
  • Trade secretary Ma. Cristina Roque called the move a major policy reform for the IT-Business Process Management sector and a step toward strengthening the Philippines’ position as a global digital services hub
  • The reform addresses long-standing investor demand and creates new real estate investment opportunities
  • A property market report showed Metro Manila office vacancy improved to 19% in the first quarter of 2026 amid steady leasing demand, including from IT-BPM firms

The National Capital Region (NCR) is once again open to new information technology (IT) economic zones and the expansion of existing facilities after Malacañang lifted the moratorium contained in Administrative Order (AO) 18.

Department of Trade and Industry (DTI) secretary Ma. Cristina Roque said the policy change addresses long-standing investor demand and opens new opportunities for both the IT-business process management (BPM) industry and the property sector.

“This major policy reform is a resounding victory for the IT-BPM sector and a decisive step forward in strengthening the Philippines’ position as a premier global destination for digital services,” Roque said in a statement on July 28.

“By reopening the NCR to new IT ecozones and targeted expansion, we are addressing long-standing investor demand, unlocking significant real estate opportunities, and revitalizing the ecosystem that drives our country’s digital economy,” the trade chief said.

The previous Duterte administration issued AO 18 in 2019 to prohibit the establishment of new IT economic zones in the NCR, also referred to as Metro Manila, aiming to encourage investment in areas outside the capital region.

READ: Ecozone applications in Metro Manila eased

However, the incumbent administration said the policy constrained investment as many companies continued to prefer locating in Metro Manila.

Roque said the lifting of AO 18 followed years of advocacy by the DTI, the Philippine Economic Zone Authority, and industry stakeholders.

“As we open new avenues for growth in Metro Manila alongside our continuous push to develop regional IT hubs, we are positioning the IT-BPM sector to generate thousands of high-quality jobs, attract foreign direct investments, and ensure economic growth nationwide,” she added.

READ: Marcos approves 2 ecozone expansions, Robinsons Dumaguete IT Park

“We invite our global partners and prospective investors to take full advantage of this renewed momentum and build their future here in the Philippines,” said Roque.

The policy shift comes as the Metro Manila office market shows signs of recovery.

According to the Colliers Property Market Report for the first quarter of 2026, office leasing remained steady despite global economic uncertainties, supported by traditional occupiers, government agencies, and continued demand from IT-BPM and shared-services firms.

Colliers said Metro Manila’s office vacancy rate improved to 19% in the first quarter as leasing activity remained stable, space surrenders declined, and no new office supply entered the market. Traditional firms accounted for 67% of office transactions during the period, highlighting their continued role in sustaining demand for office space.

 

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