BOI-approved investments hit P192 billion in 9 months

MANILA, Philippines - The Board of Investments (BOI) is confident that it can overshoot its yearend target after posting P192.47 billion worth of investment approvals for the first nine months of the year.

Data from the BOI showed that investment approvals from January to Sept. 28 jumped by 326 percent when compared to the P45.179 billion recorded a year ago.

“We are projecting that we will overshoot our fighting target based on the checklist,” BOI executive director Lucita P. Reyes said in a press conference.

The revised yearend target of BOI was P287.27 billion. This was the investments recorded in 2008. “We will not only match the 2008 level but we will surpass it,” Reyes said.

Aside from the P192.47 billion already booked by the BOI, they have in their official checklist 131 projects worth P129 billion. The checklist projects are those that have not been approved by the BOI board. Combined, the checklist and approved investments are already worth P321.47 billion.

For the first nine months, the government has approved 131 projects versus the 108 projects approved during the same period a year ago. The increase in the number of projects was only 21 percent. Reyes said that this is because in 2009, the government approved more micro and small business enterprises.

In terms of employment generated, the data showed that there is only an eight percent increase to 18,922 from 17,621. This means that investments in 2009 were more labor intensive.

Earlier, Reyes disclosed that at least two companies located in China have agreed to transfer their operations here in the Philippines. She said that an American manufacturing firm in China said they will be moving here from China after the communist nation decided to impose additional taxes on the investors.

“They told us that since they are export oriented firms, it is not viable for them to locate in China anymore because of the additional taxes,” Reyes noted.

A European firm involved in the manufacture and export of food products is also expected to transfer operations here from China, she said. “Based on the applications, we will be able to hit our target,” Reyes said.

She noted that most of the investments came after the country was able to hold a peaceful and credible election. In fact, June investments was the highest for the first semester with P126 billion from P549 million June 2009.