Manila-based venture capital firm Foxmont Capital Partners (FCP) is planning to invest up to ₱4 billion in the local startup ecosystem over the next few years as it looks to capture the growth potential of emerging companies involved in the global supply chain.

Having invested more than ₱1 billion since 2018, FCP managing partner Franco Varona said on Monday, March 23, that the company is planning to ramp up its fund deployment into agriculture, health technology, and heavy manufacturing in the short term.

He said these sectors are ripe for growth, especially as the country’s participation in the global supply chain is limited to specific stages of the process, leaving opportunities to expand into higher-value activities.

This is particularly pronounced in semiconductors, the country’s top export commodity, where it plays a critical role in production through assembly, testing, and packaging (ATP), but much of the advanced manufacturing still happens elsewhere.

“Through continued investment and innovation, the Philippines can maintain its competitiveness and move up the value chain in the fast-evolving global semiconductor landscape,” FCP said in its 2026 Philippine Private Capital Report.

Apart from pushing for deeper integration into global supply chains, Varona said FCP will continue to invest in startups focused on providing solutions and accessible services for consumers.

He noted that the country’s growing middle class will present more opportunities for companies to offer products and services beyond traditional necessities, with rising disposable incomes fueling demand in areas such as cosmetics and fitness.

FCP, backed by both local and foreign limited partners, currently invests in a total of 44 companies spanning 14 industries.

The company’s push to invest up to ₱4 billion over the next few years comes as the country’s startup ecosystem raised a record $1.5 billion in private capital last year.

Based on the FCP report, total capital raised last year was 34 percent higher than the $1.12 billion recorded previously, fueled primarily by debt financing and moderate growth in equity activity.

While total deal volume fell to 72 from the previous year’s 88, the average deal size improved to $20.8 million from $12.7 million, signaling a shift toward larger transactions.

By sector, fintech startups continued to be the most active in terms of deal count last year. The healthtech sector, however, was seen as a bright spot, as it generated the highest investment activity.

Within the broader Southeast Asian context, Varona said the Philippines secured 19 percent of private capital deployment last year, compared to just five percent in 2020.

“So there’s actually more and more money being allocated toward the Philippines versus other countries,” he said.

Still, FCP said there is room to expand, as private capital funding represents only approximately 0.3 percent of the country’s gross domestic product (GDP).