Foreign investment pledges surge

Investment commitments from foreign firms approved by investment promotion agencies (IPAs) jumped by 434.4 percent in the third quarter from a year ago, with the bulk going into manufacturing activities.

- LOUELLA DESIDERIO

Data from the Philippine Statistics Authority (PSA) released yesterday showed that total foreign investments approved by IPAs rose to P146.75 billion from July to September, significantly higher than the P27.46 billion in the same period last year.

These foreign investment pledges were approved by the Board of Investments, BOI-Bangsamoro Autonomous Region in Muslim Mindanao, Clark Development Corp., Cagayan Economic Zone Authority, Philippine Economic Zone Authority (PEZA) and Subic Bay Metropolitan Authority.

Rizal Commercial Banking Corp. chief economist Michael Ricafort said in an email that the sharp increase in foreign investment pledges in the third quarter "may be partly encouraged by the approval of the CREATE MORE (Corporate Recovery and Tax Incentives for Enterprises to Maximize Opportunities for Reinvigorating the Economy) Bill by the bicam in early September (eventually signed into law on Nov. 11), thereby making foreign investors or locators more decisive to invest in the country."