Total approved foreign investments (FI) in the fourth quarter of 2015 amounted to PhP 138.6 billion, higher by 45.6 percent from PhP 95.2 billion recorded in the same period in 2014. This represents total foreign investments approved by the seven investment promotion agencies (IPAs), namely: Board of Investments (BOI), Clark Development Corporation (CDC), Philippine Economic Zone Authority (PEZA), and Subic Bay Metropolitan Authority (SBMA) as well as the Authority of the Freeport Area of Bataan (AFAB), BOI-Autonomous Region of Muslim Mindanao (BOI-ARMM), and Cagayan Economic Zone Authority (CEZA). Meanwhile, total approved FI for the full year 2015 reached PhP 245.2 billion, an increase of 31.2 percent from PhP 187.0 billion in the previous year.
Sources of data: AFAB, BOI, BOI-ARMM, CDC, CEZA, PEZA, SBMA
The top three prospective investing countries in the fourth quarter of 2015 include Japan, the Netherlands, and the United States of America (USA). Japan’s investment pledges reached PhP 39.4 billion or 28.5 percent share. The Netherlands and the USA committed PhP 37.0 billion and PhP 16.5 billion, or 26.7 percent and 11.9 percent of the total approved FI, respectively.
Manufacturing received the largest amount for approved foreign investments during the quarter at PhP 95.8 billion or 69.1 percent. Electricity, Gas, Steam, and Air Conditioning Supply came in second with investment commitments valued at PhP 18.1 billion or 13.1 percent, followed by Administrative and Support Service Activities at PhP 14.3 billion or 10.3 percent.
In terms of location, bulk of the approved foreign investments would be intended to finance projects in Region IVA – CALABARZON, amounting to PhP 52.0 billion or 37.5 percent. Cordillera Administrative Region (CAR) stands to receive the second highest investments at PhP 26.3 billion or 19.0 percent, followed by the National Capital Region (NCR) at PhP 21.4 billion or 15.4 percent.
Approved investments of foreign and Filipino nationals reached PhP 332.3 billion in the fourth quarter of 2015, increasing by 43.7 percent from previous year’s PhP 231.2 billion. Share of Filipino nationals to total investment pledges is 58.3 percent valued at PhP 193.7 billion. Among the industries, Electricity, Gas, Steam and Air Conditioning Supply would receive the highest investments at PhP 152.3 billion or 45.8 percent.
Projects of foreign and Filipino investors approved by the seven IPAs in the fourth quarter of 2015 are expected to generate a total of 38,906 jobs, lower by 36.7 percent from previous year’s prospective employment of 61,424. Out of the total anticipated jobs, 79.1 percent would come from projects with foreign interest. Among the industries, Administrative and Support Service Activities is expected to have the most number of jobs to be generated at 14,588.
LISA GRACE S. BERSALES, Ph.D.
National Statistician and Civil Registrar General
Q4 2015 Foreign Investments Summary