PEZA investment approvals plunge 38% in 10 months

By Richmond Mercurio
The Philippine Star
Updated November 22, 2016 – 12:00am
http://www.philstar.com/business/2016/11/22/1646027/peza-investment-approvals-plunge-38-10-months

Data provided by the office of new PEZA director general Charito Plaza yesterday showed investment pledges approved by the agency as of end-October this year reached P107.34 billion, lower than the P174.27 billion recorded by the agency in the same period last year.

Property consultants interviewed by The STAR agreed the slowdown may have been caused by President Duterte’s rhetoric.

Duterte early in his term had unleashed verbal assaults against long-time Philippine allies such as the US and the European Union which, in turn, caused concern from investors in these parts of the world.

Plaza, who assumed office only a little over a month ago, is confident investment pledges would pick up in the coming months, especially after Duterte’s successful state visits in countries like China, Japan, Malaysia and those in the Middle East.

Plaza said the investment approvals could also easily grow to P300 billion to P500 billion annually in the next two to three years following the agency’s new thrusts in ecozone development under her watch.

“Investors are really waiting to invest in the Philippines, an example of which is when I went to the Middle East. Almost all countries in the world want to invest outside,” she said.

Plaza said there are currently 29 zones that are due for presidential proclamation or those waiting to be signed by the President to be declared as special economic zones.

Last year, PEZA investments grew six percent year-on-year to P295.09 billion.

PEZA earlier cut its growth forecast of between five and eight percent this year for its approved investment pledges this year to three to five percent.

PEZA currently has 3,852 locator enterprises in its economic zones nationwide.