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‘Philippines now top investment destination’
MANILA, Philippines — The Board of Investments (BOI) recently held a roadshow in Metro Manila to present the strategic investments priorities plan or SIPP as part of efforts to attract more investments into the Philippines.
In a statement yesterday, the BOI said it recently gathered business groups, industry associations and various concerned stakeholders in Metro Manila, Central Luzon and Southern Tagalog for a presentation on the SIPP.
“The Philippines is now open for business against the backdrop of the pandemic,” BOI executive director for investments assistance Bobby Fondevilla said during the roadshow.
“The recovery is underway to make the Philippines an investment destination of choice,” Fondevilla said, noting that the three regions contributed to the economic resiliency of the country as it confronts the repercussions of the lingering global health crisis.
Meanwhile, Fondevilla said that with the recent amendments to the three other liberalized laws – the Foreign Investments Act, the Retail Trade Liberalization Act and the Public Service Act – the Philippines now stands as a force to reckon with in attracting investments from different countries.
“More roadshows like this will happen to convey investment opportunities available to investors here in the Philippines,” Fondevilla said.
He encouraged prospective investors to seize the opportunity to invest in their regions, which were identified as among the top performing areas in the country last year.
“With these positive developments in growth figures, we enjoin everyone to take the opportunities that the SIPP can offer. Let us make valuable investments happen here in the Philippines,” he said.
The SIPP lists the priority industries, sectors and business projects that may qualify for investment incentives under the Corporate Recovery and Tax Incentives for Enterprises (CREATE) Act.
The BOI explained that the plan includes the scope and coverage of the priority activities and the industry tier categorization, influencing the period of availing of incentives – the higher the industry tier categorization, the longer the period of availment.
The SIPP was prepared by the BOI in coordination and consultation with the investment promotion agencies (IPAs), the Fiscal Incentives and Review Board, other government agencies administering tax incentives, and the private sector.
According to BOI director for investments policy Sandra Marie Recolizado, the grant of incentives under the SIPP will now be performance-based.
“Anything that you put in your application will be the basis of your performance in terms of investments and employment to be generated,” Recolizado told the participants.
She said the qualifications for incentives would be the same for all the IPAs in the country.
“All the IPAs will now follow the SIPP should projects undergo a formal evaluation process under the CREATE Act,” Recolizado said.
She said the SIPP formulation is aligned with the Philippines’ long-term aspirations and vision, pointing out that technology-driven projects will be prioritized.
Recolizado also highlighted the goals of the SIPP such as sustaining the momentum toward recovery, particularly in urgently creating and recovering jobs and attracting investments that promote innovation, research and development, and use of the latest technology.
She discussed the differences between the new incentives regime under the CREATE Act, and the incentives offered to the priority projects to improve competitiveness such as income tax holidays, duty-free importation, five percent special corporate income tax and enhanced deductions.
The BOI previously rolled out the SIPP roadshows in other parts of the country this year such as Cebu, Cagayan de Oro, Davao City, Butuan City and General Santos City.
Source: https://www.philstar.com/business/2022/09/14/2209485/philippines-now-top-investment-destination