The Philippines is back on track as a destination for foreign investors.

Already more than USD70 billion in foreign investments have been secured by the Marcos administration for various high-value and job-generating projects since President Ferdinand Marcos Jr. embarked on a mission to lure investors to the country.

Not even 30 days into his term, the President told Congress in his first State of the Nation Address that his administration would work to make the Philippines an “investment destination” and “transform” the post-pandemic economy into one that is more robust and resilient than it was before the global health crisis.

So, in his first 100 days as Chief Executive, President Marcos played the “traveling salesman,” going on a series of foreign trips to encourage foreign investors to do business in the Philippines, emphasizing his administration’s commitment to fostering economic partnerships.

In his back-to-back visits to Indonesia, Singapore and the United States, President Marcos touted a “favorable” business climate in the Philippines, and vowed to “swing the doors even wider” for high-value investments to create more jobs in “Asia’s fastest rising economic star.”

Dollars pouring in

As of December 2023 alone, USD72.178 billion in foreign investments have been generated from the President’s foreign trips, according to the Department of Trade and Industry’s tally in early 2024.

The investments involved 148 projects in manufacturing, information technology and business process management, renewable energy, data centers, and telecommunications.

Of these, some USD19 billion covering 65 investment projects have cleared as of June 2024 and were in various stages of implementation. Of the 65 projects, 12 with total investments of USD327 million were already operating, 21 valued at USD1.6 billion have completed registration with the Board of Investments and Philippine Economic Zone Authority while 32 with total investments of USD17 billion were still being processed by the DTI.

“The investment flows into the country in phases over the implementation period, during which the project transitions into operational status and begins generating revenue,” the DTI said, adding that the length of the implementation depends on the sector where the investment goes.

The DTI noted that investment pledges in the IT-BPM sector and light manufacturing were the first to materialize.

“While the FDI values are modest, the early actualization of investment commitments in these sectors contributes to the decrease in the unemployment rate in the Philippines, given that IT-BPM and manufacturing are significant generators of direct employment,” DTI said.

More than 200,000 jobs created from investments

The government estimates that more than 220,000 jobs have been generated from these investments, demonstrating a direct impact on the lives of ordinary Filipinos.

Labor and Employment Secretary Bienvenido Laguesma said most of the jobs were in the power, renewable energy, and electronics manufacturing sectors.

Laguesma said it would take some time and some decisive action for all the investments to materialize, but it is going to happen.

“Nagtutuloy-tuloy po, hindi lamang siguro masasabi natin na instant, nandidiyan na dahil nga may proseso na dinadaan. Pero given the instruction na follow-through these commitments, we will be able to know what actually would make them really put in the promised investment para makalikha ng karagdagang trabaho,” Laguesma said.

The National Economic and Development Authority said the employment rate and job quality remain stable. The Philippine Statistics Authority reported a 3.1 percent unemployment rate in December 2024, unchanged from 2023. But underemployment rate decreased to 10.9 percent from 11.9 percent in December 2023, indicating improved job quality and fewer workers seeking additional jobs.

The DOLE continues to work closely with investors to facilitate training programs, ensuring that Filipino workers are equipped with the necessary skills to thrive in emerging industries.

Key trade and investment agreements

Among the landmark achievements of President Marcos’s foreign trips was the Presidential Trade and Investment Mission (PTIM) to the United States in 2023. This resulted in USD1.3 billion in investment commitments, primarily in solar-panel manufacturing, air logistics, digital infrastructure, cybersecurity training, and worker upskilling programs.

“The United States remains a key ally in our economic journey,” President Marcos noted. “Their commitment to investing in the Philippines is a testament to the confidence they have in our business environment and workforce.”

Another pivotal engagement was the Indo-Pacific Business Forum (IPBF) in 2024, co-hosted with the US Trade and Development Agency and the US Department of State. The forum identified investment opportunities in clean energy, smart cities, critical minerals, emerging technologies, and inclusive trade.

The Philippines also solidified partnerships with Japan, South Korea, the Middle East, and the European Union, securing multi-billion-dollar commitments in infrastructure development, energy transition, and technology-driven industries.

Creating a favorable investment climate

Under the Marcos administration, significant policy reforms have boosted investor confidence. The Ease of Doing Business Act streamlines government processes to make investment procedures faster and more efficient. The Corporate Recovery and Tax Incentives for Enterprises (CREATE) law rationalizes the incentives for investors while economic-liberalization laws such as the Public Service Act and the Foreign Investments Act have opened up new areas for foreign investments.

The administration has also expanded the Public-Private Partnerships Program to create more opportunities for private-sector participation in infrastructure projects; established tax breaks and subsidies for renewable-energy companies; and opened up areas for private sector involvement in the country’s digital transformation.

With these reforms in place, international investors continue to view the Philippines as a viable and competitive business hub in Southeast Asia. As the country moves forward, President Marcos remains committed to deepening economic diplomacy and sustaining the momentum of foreign investments.

“Our vision is clear – we are creating an economy that is robust, inclusive, and future-ready,” he said. “The future of the Philippines is bright. We will continue to work tirelessly to bring in investments, create jobs, and uplift the lives of our people. This is our commitment, and this is our promise.” (PNA)