THE Board of Investments (BOI) remains optimistic that the country’s total approved investments will recover in the coming months given the number of projects in the pipeline.
In a statement, BOI data showed that total approved investments of both foreigners and Filipinos posted a 23-percent decline in the January-to-February period.
Approved total investments reached only P101.72 billion in the January-to-February period, lower than the P131.61 billion posted in the first two months last year.
“We have key projects in the pipeline, particular in the area of power, that are still undergoing BOI’s rigorous evaluation process on technical and financial aspects; and equally important, on their compliance with requirements for BOI registration. Given the projected investment costs, we are very optimistic of a renewed surge in total approvals in the next months,” Trade Undersecretary and BOI Managing Head Ceferino Rodolfo explained.
In terms of foreign investments, however, BOI data showed a 1,456- percent growth compared with the same period last year.
Approved foreign investments for the said period reached P10.926 billion, compared with the P702.28 million generated in the January to February 2018 period.
“We remain optimistic of meeting the P1-trillion target set by our Chairman, DTI Secretary Ramon Lopez, for BOI this year. It is a timing issue as we cannot and we do not rush project approvals. The BOI makes sure that every peso of approved investments is qualified and is deserving to be registered,” Rodolfo said.
The top performing sectors in the first two months of the year include power projects reaching P49.42 billion; information and communication, P33.14 billion; manufacturing, P12.93 billion; real estate, P2.15 billion; and human health/hospitals, P1.82 billion.
Region 4A or Calabarzon topped the list of investment destinations with total approvals worth P60.934 billion, followed by Region 7 with P2.008 billion; Region 8, P970 million; Region 3, P836.62 million; and Region 6, P824.82 million.
The BOI said the top 5 regions generated a total of P65.57 billion worth of approved investments or a 65-percent share to total while P36.15 billion, or 35 percent, were directed to the rest of the regions.
Based on data from the Philippine Statistics Authority (PSA), total foreign and Filipino investment pledges or approvals grew 19.3 percent in 2018 to P1.08 trillion from P908.74 billion in 2017.
Data showed that for 2018, foreign investment approvals reached P179 billion, an increase of 69.3 percent from P105.7 billion in 2017.
The PSA data was obtained from the approved foreign investments coursed through the country’s seven Investment Promotion Agencies, including the BOI.