As of 18 December 2023, the country’s premier industry development and investment promotion agency already recorded P1.16 trillion (T) in investment approvals—the highest-ever level in the Agency’s 56-year history.
This surpasses the previous record of P1.14T generated in 2019 and is already 59-percent higher than last year’s P729.1 billion (B) level. This also marks the third time in four (4) years the BOI has surpassed the trillion-peso mark in investment approvals.
Notably, the agency recorded P1.02T in 2020, overcoming the challenges posed by the COVID-19 pandemic. 2023’s P1.16T comes from a total of 303 projects that will generate 47,195 jobs.
“The BOI hitting P1.16T for 2023 reaffirms strong investor confidence in the Administration of President Ferdinand R. Marcos Jr. – their responsiveness to the Policy initiatives of the President and the effectiveness of the aggressive investment promotion activities under the Make It Happen in the Philippines campaign,” Trade Secretary and BOI Chairman Alfredo Pascual said.
“With this remarkable milestone, we are all-the-more optimistic about opportunities that lie ahead in 2024, with the BOI poised to further catalyze smart- and sustainability-driven investments in the country.”
Latest figures from BOI show that the agency has successfully surpassed its official P1.151T Program Expenditure Classification (PREXC) target in IPA-approved investments for FY 2023 (see this link: https://www.dbm.gov.ph/wp-content/uploads/NEP2024/DTI/B.pdf to check the BOI PREXC target under the National Expenditure Plan).
Germany emerged as the leading source of foreign investments, contributing a substantial P393.28B, followed closely by the Netherlands (Php333.61Bn), Singapore (P17.38 B), and the United States (P3.38B).
In terms of destination domestic regions, Western Visayas was the top recipient of investments at P316.89B, with CALABARZON taking up second place at P211.89B. Further, the Bicol Region (P162.92B), Eastern Visayas (Php128.62Bn), and Ilocos Region (P122.18B) rounded out the top five regions.
Overall, domestic investments approvals reached P398.76B, making up 34 percent of total approved investments. Foreign investments approvals surged to P763.22B, a 452-percent jump from P138.18B in 2022.
The Renewable Energy and Power sector continues to dominate the Philippine investment approvals landscape, boasting P968.14B in investments. This figure represents a remarkable 137 percent increase from last year’s P409.03B. Noteworthy projects approved for January to December were seven (7) offshore wind power projects located in Cavite, Laguna, Dagupan, San Miguel Bay, Negros, and Northern Samar amounting to a total of P759.84B.
Meanwhile, the Information and Communication sector also demonstrated strong growth, securing approvals totaling Php96.16Bn. Manufacturing also made a significant impact with Php22.03Bn in approved investments. Additionally, the Infrastructure (Toll Roads) sector featured projects valued at Php20Bn, and Real Estate Activities, specifically in Mass Housing received Php15.63Bn in investments.
“There are three more projects worth about Php350Bn that are currently being assessed and, if they are able to comply with both the substantive and transparency requirements, they may be able to make it to the BOI Board and Mancom deliberations on December 28th — our last for the year. While BOI is the private sector’s strongest partner in promoting Ease of Doing Business in the country, we remain a prudent administrator of fiscal incentives,” Trade Undersecretary and BOI Managing Head Ceferino Rodolfo said.