The Board of Investments' (BOI) project approvals climbed to an all-time high of P1.16 trillion in 2023, the highest level in the investment promotion agency's 56-year history.
The BOI, an attached agency of the Department of Trade and Industry (DTI), surpassed its previous record of P1.14 trillion generated in 2019. Meanwhile, the end-2023 level is 59 percent higher than last year’s P729.1 billion, based on the latest data.
The BOI said that this also marks the third time in four years it has surpassed the trillion-peso mark in investment approvals.
Notably, the agency recorded P1.02 trillion in 2020, overcoming the challenges posed by the Covic-19 pandemic.
This year’s P1.16 trillion comes from a total of 303 projects, which are estimated to generate 47,195 jobs once fully operational.
“The BOI hitting P1.16 trillion for 2023 reaffirms strong investor confidence in the Administration of President Ferdinand R. Marcos Jr. – their responsiveness to the Policy initiatives of the President and the effectiveness of the aggressive investment promotion activities under the Make It Happen in the Philippines campaign,” DTI Secretary and BOI Chairman Alfredo E. Pascual said.
“With this remarkable milestone, we are all-the-more optimistic about opportunities that lie ahead in 2024, with the BOI poised to further catalyze smart- and sustainability-driven investments in the country,” he added.
Latest figures from BOI, as of Dec. 18, showed that the agency has successfully surpassed its official P1.151 trillion Program Expenditure Classification (PREXC) target in Investment Promotion Agency (IPA)-approved investments for fiscal year 2023.
Germany emerged as the leading source of foreign investments, contributing a substantial P393.28 billion, followed closely by The Netherlands at P333.61 billion, Singapore at P17.38 billion, and the US at P3.38 billion.
In terms of location, Western Visayas was the top recipient of investments at P316.89 billion, with CALABARZON taking up second place at P211.89 billion. The Bicol Region got P162.92 billion, Eastern Visayas with P128.62 billion, and Ilocos Region with P122.18 billion rounded out the top favorite investment destinations.
Overall, domestic investment approvals reached P398.76 billion, making up 34 percent of total approved investments. Foreign investment approvals accounted for the bulk with P763.22 billion, a 452-percent jump from P138.18 billion in 2022.
Meanwhile, the renewable energy and power sector continued to dominate the Philippine investment approvals landscape, boasting P968.14 billion in investments. This figure represents a remarkable 137 percent increase from last year’s P409.03 billion.
Noteworthy projects approved for January to December were seven offshore wind power projects located in Cavite, Laguna, Dagupan, San Miguel Bay, Negros, and Northern Samar amounting to a total of P759.84 billion.
The Information and Communication sector also demonstrated strong growth, securing approvals totaling P96.16 billion. Manufacturing also made a significant impact with P22.03 billion in approved investments.
Additionally, the Infrastructure (Toll Roads) sector featured projects valued at P20 billion, and Real Estate Activities, specifically in Mass Housing, received P15.63 billion in investments.
DTI Undersecretary and BOI Managing Head Ceferino Rodolfo said that “there are three more projects worth about P350 billion that are currently being assessed and, if they are able to comply with both the substantive and transparency requirements, they may be able to make it to the BOI Board and Mancom deliberations on December 28th—our last for the year.”
“While BOI is the private sector’s strongest partner in promoting ease of doing business in the country, we remain a prudent administrator of fiscal incentives,” he added.