Foreign investment pledges climb threefold to P189.5B

FOREIGN investment pledges in the second quarter increased threefold to P189.5 billion, the Philippine Statistics Authority (PSA) reported on Thursday.

The latest figures were 220.7 percent higher than the P59.09 billion in 2023.

Switzerland accounted for the largest commitment of P172.04 billion or 90.8 percent of total foreign investment approvals. Japan followed with P7.68 billion (4.1 percent) and Malaysia with P4.53 billion (2.4 percent).

The bulk, P172.74 billion or 91.2 percent of the pledges, were for electricity, gas, steam and air-conditioning supply ventures.

Manufacturing was next at P12.39 billion (6.5 percent), while administrative and support service activities secured P2.8 billion (1.5 percent).

Total approved investments from foreign and Filipino citizens, meanwhile, amounted to P715.01 billion in the second quarter. This was 125.4 percent higher compared to the year-earlier P317.23 billion.

Majority or 73.4 percent of the investment pledges amounting P525.51 billion were from Filipino citizens.

The PSA said approved investments during the period are expected to create a total of 26,915 jobs, a decline of 13.8 percent compared to 31,218 in 2023.

Most of the jobs (18,135) will be generated from foreign investment projects, should these materialize, the PSA noted.

By geographical area, the Negros Island Region had the highest share of committed investments at P86.46 billion or 45.6 percent of the total for the quarter.

Next was Calabarzon (Cavite, Laguna, Batangas, Rizal and Quezon) at P6.93 billion (3.7 percent) and Central Visayas at P4.35 billion (2.3 percent).

Among the investment promotion agencies in the country, the PSA said six have recorded foreign investment pledges during the period, including the Board of Investments (BoI), BoI-Bangsamoro Autonomous Region in Muslim Mindanao, Clark Development Corp., Philippine Economic Zone Authority, Subic Bay Metropolitan Authority and Zamboanga City Special Economic Zone Authority.

On the other hand, no foreign investment approvals were recorded during the period from the Bases Conversion and Development Authority, Cagayan Economic Zone Authority, Clark International Airport Corp., John Hay Management Corp., Poro Point Management Corp., Tourism Infrastructure and Enterprise Zone Authority, and the Zamboanga City Special Economic Zone Authority.