Foreign investors seek assurance from GMA

Foreign investors are now seeking President Arroyo’s assurance that they are still welcome in the country after Sen. Juan Ponce Enrile insinuated in a Senate committee hearing that they should leave the country if they didn’t like the way business is being conducted here.

“Foreign businesses and the diplomatic community are asking for an assurance,” a source who asked not to be named said.

The source said foreigners were bothered with the way some senators treated members of the Joint Foreign Chambers (JFC) during a committee hearing two weeks ago.

Enrile, chairman of the Senate subcommittee reviewing amendments to the power reform law, earlier scored the foreign chambers for opposing changes in the Electric Power Industry Reform Act (EPIRA), saying the group was “meddling” with Congressional matters. The JFC wrote President Arroyo their position on the EPIRA amendments, warning of negative consequences and loss of investor confidence in the country.

The source said it was highly irregular for high-ranking government officials to scold foreign investors voicing their opinions.

But members of the JFC, specifically the American Chamber of Commerce in the Philippines and the European Chamber of Commerce in the Philippines, refused to give any statement regarding the incident.

Earlier, the German-Philippine Chamber of Commerce and Industry (GPCII) branded the Senate “strange” for not allowing the representatives of the JFC to speak during the committee hearing.

“It is strange that the Senate invited representatives of the JFC and then not give them the opportunity to present their case,” Roland Odenthal, president of the GPCII, told reporters.

Odenthal clarified, though, that he was not involved in the drafting of the letter. He is a member of both the JFC and the ECCP.

He said the GPCII has yet to discus the way the Senate treated members of the JFC but admitted that foreign businessmen have been discussing the issue informally.

Foreign chambers have been asking the government to consult them in matters that may affect the investment climate in the country.

Odenthal said GPCII, which is only two months old, is taking a similar position.

“Of course it makes sense to consult companies that are already here for possible reaction regarding changes in legislation,” Odenthal said.

He said it would help increase the country’s competitiveness as an investment destination if the inputs of businessmen are heard by the government. “It is like a business. You would get a lot more customers if they (customers) could work under the legislation.”

Respite of the conflict between some lawmakers and members of the foreign business community, Odenthal said investment decisions will not be affected.

“The Philippines will remain an attractive destination. This issue will have no effect on our decision making,” Odenthal said.