Two Chinese firms, a renewable energy (RE) firm and one that has an existing presence in the Philippines which is into “highly specialized” consumer electronics, are looking at investing and expanding in the Philippines, according to an official of the Board of Investments (BOI).
At a recent virtual media briefing, BOI Managing Head Ceferino S. Rodolfo told reporters that a state-owned company in China has “dedicated funds” for Southeast Asia (SEA) projects.
“It’s a fund that is appropriated supposedly for SEA projects. So depending on saan sila makahanap agad ng proyekto,” Rodolfo said.
While the Chinese state-owned firm is planning to allot a maximum of $15 billion for the region, Rodolfo said, “They can allot $1 billion to $5 billion for the Philippines and all of it they would like to put into renewable energy projects and [the amount] could be for equity, for financing.”
Rodolfo, who is also the Undersecretary for the Department of Trade and Industry’s Industry Development and Trade Policy Group (IDTPG), did not identify the company. He said, however, that it is involved in solar, wind energy and hydropower.
Another Chinese firm is looking at expanding its presence in the Philippines, particularly in the area of “highly specialized” consumer electronics, Rodolfo said.
According to the Trade official, this firm, which he also did not identify, “plans to make the Philippines as their hub for research and development for their software.”
Rodolfo recently traveled to China for the China-Asean Expo in Nanning wherein 15 Philippine exhibitors initially generated $8.68 million in sales or some P495 million.
Two weeks ago, Marjorie Ramos-Samaniego, governor of BOI, revealed at a forum that as of August 2023, the BOI approved P720 billion worth of investment projects.
The amount is within striking distance of the P729-billion investment approvals recorded in 2022.
In January, the BOI adjusted its 2023 investment approvals target for 2023 to P1.5 trillion from P1 trillion.
With this, the P720 billion worth of investment approvals recorded as of August is now equivalent to 48 percent of the revised P1.5-trillion investments target for 2023.
In June, Trade and Industry Secretary Alfredo E. Pascual, who also chairs the BOI, said RE projects could account for a third of the BOI’s P1.5-trillion investment approval target for 2023.