JFC, business groups push bills to sustain growth

MANILA, Philippines - The Joint Foreign Chambers of the Philippines (JFC) and Philippine Business Groups (PBG) are calling on the government to immediately pass bills that would help sustain the country’s growth and promote competitiveness through encouraging investors and businesses.

In a statement yesterday, the groups noted that while the Congress has moved to pass measures seen to promote the country’s growth, there are still economic reforms have yet to be enacted by Congress such as the Bangko Sentral ng Pilipinas charter amendments; common carriers and gross Philippine billings taxes on airlines; creation of a Department of Information and Communications Technology; Design Council Act; direct remittance to local government units of their 40-percent share from national wealth taxes; excise taxes on alcohol, tobacco, and cigarettes; excise taxes on minerals; fair competition (anti-trust); freedom of access to information; Land Administration Reform Act; and reproductive health.

American Chamber of Commerce of the Philippines senior adviser John Forbes said that if there are difficulties maintaining momentum across legislative terms, the administration is at risk of not completing key reforms before the term of President Aquino ends in 2016.

“The country should continue to strive to move at least twice as fast to realize its full economic potential,” he said.

Philippine Chamber of Commerce and Industry (PCCI) president Miguel Varela said business groups are relying on the government’s commitment to pass the bills pushing for reforms to ensure that the country’s strong growth is sustainable and inclusive.

“Good laws attract investors and encourage businesses by creating a secure, predictable, and level playing field where firms can thrive and provide employment for the long term,” he said.

The JFC and PBG recently met with House leaders to discuss legislative recommendations seen to support the country’s growth and competitiveness.

The meeting came as the Philippines is experiencing strong growth as the economy expanded by 6.1 percent in the first-half, making it the fastest growing country in Asia and third in the world.

Despite the strong economic growth, the Philippines still lags behind its neighbors in Southeast Asia in terms of foreign direct investments (FDI).

A report from the United Nations Conference on Trade and Development showed that FDI flows to the Philippines reached $900 million in the first-half, below Singapore’s $27.4 billion, Indonesia’s $8.2 billion, Thailand’s $5.6 billion and Malaysia’s $4.4 billion. – With Paolo Romero