December 15th, 2021
I welcome the figures, as they demonstrate that we are on our way to recovery. However, I would like to emphasize that we can certainly do better by doing the following:
First, I strongly requested the Board of Investments to issue the Strategic Investment Priorities Plan under the CREATE Law already so that investors in new priority sectors can already look into the Philippines as an investment destination.
Second, the amendments to the Foreign Investment Act and the Retail Trade Liberalization Act are already with President Duterte. He will almost certainly sign them. We have to be sure that the implementation of these laws will be simple and clear to all investors.
Third, the amendments to the Public Service Act have been approved on 2nd reading in the Senate. Hopefully, it will be passed today. Once enacted, we will open up key sectors to full foreign ownership, such as the telecommunications sector. This will boost FDIs and also improve competition in key sectors.
Fourth, we must invest heavily on training our workforce. One key problem for investors in service-based industries such as the BPO sector is the lack of an adequate pool of qualified recruits.
Fifth, we must make our tax and administrative procedures simple, fair, and certain. Administrative discretion tends to turn off investors, since it exposes them to corruption and administrative delays.
Our aim should be to reach USD 20 billion in annual net FDI by 2025. This is very achievable, but the country must have the gumption and alacrity to compete with the world and make meaningful improvements on the business environment. (end)