The SM Group threw its support for the proposed VAT refund program for tourists, seeing it as a key driver for tourism growth and increased foreign spending.
“The VAT refund is very positive and welcome for the Philippines. It will definitely encourage more tourists to come and spend more,” said SM Prime Holdings chairman Hans Sy in an interview late Wednesday.
The VAT refund is expected to further bolster SM’s already strong sales, with foot traffic surpassing pre-pandemic levels.
SM Investments Corp. vice chairperson Tessie Sy-Coson said stimulating spending directly translates into more tourists.
“We’re very positive about the prospects. I’m sure every retailer is excited about this holiday. It will be a very nice Christmas,” she said.
SM is experiencing a near double-digit growth in sales and revenue, with the first nine months of 2024 already outperforming 2020 figures.
While fully supportive of the VAT refund program, the SM Group stressed the need for a user-friendly and efficient system for tourists to claim their refunds.
Sy cited examples from other countries where the process is simple and hassle-free, underscoring the importance of customer convenience.
