PEZA investments jump 25% in 1st four months

MANILA, Philippines - Investments in the Philippine Economic Zone Authority’s (PEZA)economic zones grew 25 percent in the January to April period compared to a year ago as locator firms spent for expansion of operations and new players started projects.

Elmer San Pascual, manager of the PEZA’s promotions and publicrelations group, said in a text message investments approved by the agency amounted to P72.409 billion as of end-April, up from the P57.887 billion recorded in the same period last year.

He said the investments for the four-month period this year came from funds poured in for expansion and new projects in the manufacturing and electronics or semiconductor sectors.

“Also, investments in ecozone and IT (information technology) parks or building development were very significant for the period January to April 2014,” he added.

PEZA director general Lilia de Lima said earlier the presentadministration’s thrust on good governance, transparency and fighting corruption is leading to greater interest from foreign companies to invest here.

“Europe, especially Northern and Central Europe are now looking at Asia for their investment site, and when you think of investing in Asia, the Philippines is the site to beat,” she said.The PEZA aims to achieve a 10 percent increase in approvedinvestments in the country’s economic zones this year.

Last year, total investments approved by the PEZA reached P276.126 billion, down 11.48 percent from the P311.949 billion in 2012.

“We will work hard for it (increase in investments). I will invitemany investors,” De Lima said.

The PEZA, an attached agency of the Department of Trade and Industry, promotes investments by providing assistance and incentives to firms engaged in export-oriented manufacturing with operations in areas proclaimed as PEZA Special Economic Zones.Aside from export manufacturing, other activities which could qualify for PEZA registration and incentives are IT service export, tourism,medical tourism, agro-industrial export manufacturing, agro-industrial biofuel manufacturing, and logistics and warehousing services.The PEZA also gives incentives to firms which invest in thedevelopment and operation of economic zones.

For the January to February period, exports from the PEZA’s economic zones reached $6.750 billion, seven percent higher than the $6.306 billion in the same period in 2013.

As of end-February, a total of 1.059 million individuals were employed in the PEZA’s economic zones, a 17 percent increase from the 905,769 in the comparable period last year.