Projects approved by the Board of Investments surged 36 percent in the first half of 2024 to a record P950 billion from a year ago, the Department of Trade and Industry said Thursday.
Data show that of the total investments, 30 percent represented foreign projects amounting to P286 billion ($5 billion).
The DTI said that while the Bangko Sentral ng Pilipinas reported a 37-percent drop in net foreign direct investments in April, there is a buildup in the investment pipeline.
“The April decline in FDI is viewed as a temporary setback, primarily influenced by global economic headwinds,” said DTI Secretary Alfredo Pascual.
“Our confidence in the Philippine economy remains unshaken, supported by a 19-percent increase in FDI over the first four months of the year compared to last year. We are also banking on the investment pipeline built from the BOI’s high level of foreign investment approvals,” he said.
Renewable energy investments dominated the investment landscape, with the electricity, gas, steam and air-conditioning supply sector drawing 96.3 percent of the total approved investments. Among them was a P297 billion investment by Ahunan Power Inc. in CALABARZON.
Several large-scale BOI-approved projects in May 2024 energized the investment landscape. Solar Solutions Inc. led with a substantial P150-billion initiative in CALABARZON to expand solar energy capacity, while BlueWave Energy is investing P120 billion in Central Luzon, focusing on offshore wind energy development.
Region IVA (CALABARZON) captured the highest regional investment approval, totaling P592 billion ($10.4 billion), a 262-percent increase from the previous year. Other regions, including Western Visayas (Region VI) and Central Luzon (Region III), also saw vital investment approvals.
May 2024 also witnessed approvals for substantial foreign equity investments. Energy Global International from Germany made P85-billion investment in a new manufacturing facility in CALABARZON.
French firm Hydropower Ventures got approval for a P75-billion investment in hydroelectric power developments in Northern Mindanao.
“The investment pattern also reflects notable international confidence, particularly from Switzerland and the Netherlands. Switzerland is the leading foreign investor, with significant projects such as wind energy developments by Jet Stream Windkraft Corp. and Triconti Southwind Corp., each investing approximately P115 billion,” the DTI said.
“Our strategic initiatives are vital for ensuring that the Philippines attracts and retains global investments. We are committed to creating an enabling environment that supports business growth and development across various sectors,” said Pascual.
“As we navigate the global economic landscape, our strategic focus on enhancing the ease of doing business and providing robust support for high-potential sectors is more crucial than ever. These efforts are pivotal in ensuring the Philippines remains a top-tier investment hub in Asia,” he said.
Pascual said the DTI remains committed to upholding its mission to enable business and empower consumers, ensuring that the Philippines meets, if not exceeds, investment and economic expectations.
