The Board of Investments (BOI) has served as a key architect of the country’s economic landscape for 58 years. The agency, established to promote and regulate investments, is now adapting its strategy to build a more robust, competitive and sustainable economy. Its focus has shifted to attracting strategic investments that will drive economic growth, create high-quality jobs, and empower Filipinos.
Growth driver
Investments are a vital driver of economic growth and stability. They channel money into productive assets such as new factories, technology, and infrastructure. Investments can be from domestic or foreign sources. Domestic investment is critical for building infrastructure, while foreign investment introduces new technologies, management expertise, and access to international markets. These combined investments stimulate innovation and help integrate the country into the global economy.
Priority investments
The BOI’s core mission is guided by its Strategic Investment Priorities Plan (SIPP), a comprehensive blueprint for local and foreign investors. The SIPP identifies and prioritizes sectors eligible for government incentives. It is divided into three tiers:
Tier I focuses on sectors that create jobs and address basic needs, such as agriculture, mass housing, and renewable energy.
Tier II targets industries that enhance the Philippines’ global competitiveness, including green ecosystems and high-tech manufacturing.
Tier III is dedicated to innovation, research, and development, aiming to attract projects that will position the Philippines at the forefront of the new economy.
By strategically guiding investments into these areas, the BOI ensures that the country’s growth is purposeful and deliberate.
Impact on Filipinos
The BOI’s strategic focus has a direct impact on Filipinos. BOI-approved projects create job opportunities, improve skills, and lead to more stable incomes. For example, the push for renewable energy investments is generating new jobs for engineers, technicians, and construction workers in solar farms and wind power plants.
The SIPP’s emphasis on healthcare and manufacturing has led to the development of new facilities that provide specialized employment and skills training. This focus on high-value industries helps transition Filipino workers from low-wage jobs to careers with higher pay and better prospects.
To address the skills gap, the BOI launched the Academe-Industry Matching (AIM!) Program, which links educational institutions with industries to ensure graduates are equipped with the skills companies need.
Benefits for consumers
A stronger, more diverse local industry provides consumers with a wider range of quality products and services, often at more competitive prices. When foreign companies invest in local manufacturing, it can reduce the need for imports, helping to stabilize prices and support local supply chains. This also benefits local small and medium enterprises (SMEs), which can become suppliers to larger, BOI-registered companies. Investments in cement manufacturing plants, for instance, not only meet the country’s infrastructure needs but also modernize the industry and lessen reliance on imported materials.
Looking ahead
The BOI recognizes that the global economy is highly competitive and that the Philippines faces challenges such as bureaucratic red tape and the need for more advanced infrastructure. To address these issues, the agency has established a “green lane” system for strategic investments.
Created by Executive Order No. 18, this policy designates the BOI as a single entry point for investors, streamlining the process of obtaining permits and licenses from various government agencies. This initiative cuts through complexities that often delay or discourage potential investors, signaling that the Philippines is a committed business partner.
As the BOI marks its 58th anniversary, it is focusing on ensuring investments are truly transformative. The agency is actively working to bring projects to the countryside to create opportunities outside major urban centers. It is also pushing to solidify the Philippines’ role as a leader in sectors like digital infrastructure and sustainable energy.
The BOI plans to leverage the upcoming ASEAN Chairmanship in 2026 to showcase the country’s potential to the world, continuing its mandate to be the primary engine of industry development and investment promotion.
