Foreign investment pledges in 1st quarter reach P172.7B

THE Philippines saw an increase in foreign investment (FI) pledges, which reached P172.7 billion in January to March of 2023, the Philippine Statistics Authority (PSA) reported on Wednesday, May 17, 2023.

This is higher than the P8.98 billion in investment pledges from foreign firms in the same quarter of 2022.

The total approved investments for both foreign and Filipino nationals reached P480.36 billion in the first quarter of 2023, showing an increase of 151.8 percent from the P190.77 billion in the same period in 2022.

The PSA said Filipino nationals contributed P307.66 billion or 64 percent of the amount.

These investments were pledges from the Investment Promotion Agencies, particularly the Board of Investments, Clark Development Corp., Philippine Economic Zone Authority and the Subic Bay Metropolitan Authority.

Approved investments of foreign and Filipino nationals were expected to generate a total of 25,453 jobs. Of the number, 76.3 percent would be absorbed for foreign investment projects.

Most of the total approved FI in the first quarter will be coming from Germany with 90.9 percent, followed by Japan with 2.2 percent and the Netherlands with 1.5 percent.

Germany has committed P156.96 billion in foreign investments, while Japan and the Netherlands pledged P3.82 billion and P2.65 billion, respectively.

Industries in electricity, gas, steam and air conditioning supply had the highest pledges received at P156.96 billion or 90.9 percent of the total FI.

Manufacturing came in second, bringing in P10.49 billion or a 6.1 percent share, followed by administrative and support service activities with P3.59 billion or a 2.1 percent contribution.

Western Visayas is among the regions that will benefit the most from these approved foreign investments, receiving P117.38 billion or 68 percent of the total FI, followed by Calabarzon Region with P47.47 billion or 27.5 percent.