MANILA, Philippines – Foreign investors are not affected by the brewing tension between government forces and the Moro Islamic Liberation Front (MILF).
“There is no immediate effect,” Robert Sears, executive director of the American Chamber of Commerce in the Philippines (Amcham) said in an interview.
According to Sears, foreign businessmen will continue to infuse money in the country especially since the Board of Investments (BOI) are improving services they give to existing and potential investors.
“We are happy with what the government is doing and we are looking forward to a continuing partnership between the foreign chambers and the government,” Sears said.
“We are confident that the government can handle the situation,” he added.
BOI managing head Elmer Hernandez said the attack in Lanao del Norte and nearby provinces is “not a problem.”
“Investments will continue to pour in even if there is civil unrest in the south,” Hernandez told The STAR in an interview.
According to Hernandez, the tension will only have an effect if it continues for a long time.
“We are not alone in this, other countries are also dealing with similar situations,” Hernandez pointed out, citing Thailand and Malaysia as examples.
He said foreigners usually factor in these kinds of things when they invest in a particular country.
“I don’t think we should be concerned just yet,” Hernandez said. “Although of course we are all hoping for the quick resolution of the matter.”
In fact, Hernandez said a big investor in Mindanao Korean firm Hanjin Heavy Industries Corp. will push through with its expansion plans.
Hernandez confirmed that the investment would continue, “I was talking to them a month ago and they told me that the project was a go,” he said.
Disagreements over an environmental permit have delayed the construction of a $2-billion shipyard in the southern Philippines.
The shipyard is being built on a 442-ha lot inside the Phividec Industrial Estate and is expected to be completed in 2017. It will have a capacity of 830,000 tons per year when completed, generating 45,000 new jobs.
Business as usual for tourism
As for the tourism industry, it’s business as usual as it remains unhampered by the prevailing peace and order problem in the south, said Tourism Secretary Joseph Ace Durano yesterday.
Durano assured tourists that the conflict is isolated and has not affected the tourism industry.
“The country’s top destinations such as Manila, Boracay, Palawan, Davao, Bohol and Cebu remain safe for both international and local guests,” he stressed.
Durano noted that the military and police are on top of the Mindanao situation.
“Our regional offices keep in close coordination with foreign tourists in their areas and the private sectors have likewise informed us that there are no cancellations on their packaged tours.”
Durano also said commercial activities and public services even in areas surrounding the provinces of Lanao continue regular operations at this time.
“Operations of businesses including establishments in the tourism industry such as transportation services, hotels, resorts and restaurants continue to be normal,” he said.