Manila — The Board of Investments (BOI), the Philippines' primary investment promotion agency, has reported a substantial increase in approved investments from January to October, bolstered significantly by foreign investment commitments.
According to Philippines News Agency, foreign investment approvals experienced a surge, escalating to PHP757.33 billion in the first ten months of 2023, a considerable rise from PHP113.49 billion in the comparable timeframe the previous year. The month of October was notably marked by the approval of three offshore wind projects by the Danish firm Copenhagen Infrastructure New Markets Fund (CINMF), valued at PHP329.74 billion.
The Department of Energy (DOE) issued service contracts to CINMF on March 30 for their wind energy developments in the provinces of Camarines Norte, Camarines Sur, Northern Samar, and the combined regions of Pangasinan and La Union, summing up to a potential generation of 1,000 megawatts. The initiative is anticipated to generate 230 job opportunities.
Trade Undersecretary and BOI Managing Head Ceferino Rodolfo cited this endeavor as indicative of the growing interest from foreign investors in the Philippine market, particularly in environmentally sustainable ventures like renewable energy and green metals.
During a virtual press briefing on Thursday, BOI Executive Director Corazon Halili-Dichosa informed journalists that CINMF's project was among the first to be registered under full foreign ownership, following the government's policy change last year permitting 100 percent foreign ownership in renewable energy projects. A German company's solar power farm was the first such project registered.
With the Danish firm's substantial project, the BOI has recorded a total of PHP1.07 trillion in approved investments to date, edging closer to the year's target of PHP1.5 trillion in approvals. Investment pledges from Germany, the Netherlands, Singapore, the United States, France, and the United Kingdom dominated the foreign investment profile for the period.
Trade Secretary and BOI Chairman Alfredo Pascual asserted that the achievement of the trillion-peso milestone in investment approvals is a testament to the Philippines' emergence as a leading investment hub in Asia. The emphasis is on continuing to draw in investments to generate employment opportunities for Filipinos.
The report also indicated robust local investment commitments, which amounted to PHP316.22 billion this year. Sector-wise, renewable energy led the investment approvals with PHP899.79 billion, followed by sectors such as information and technology, transportation and storage, manufacturing, administrative and support services, and real estate.