73 approved projects to create nearly 13K jobs
THE total investments approved by the Board of Investments (BOI) increased by 13 percent to P61.94 billion in the first quarter of 2016 compared with P54.62 billion in the same three months a year earlier, the BOI said on Monday.
In a statement, the BOI said the investments are for 73 approved projects in various sectors, which are expected to create a total of 12,841 new jobs once fully operational.
The BOI, which is the investments promotion arm of the Department of Trade and Industry (DTI), said that the approved investments were mostly from major energy-related projects initiated in the first quarter, accounting for a 47 percent share, or P29.34 billion, of the total investment amount.
The power-related investments in the first quarter were more than double the P13.759-billion worth of energy-related investments in the same period in 2015.
Following the power-related investments, real estate projects accounted for 29 percent of the total BOI approved investments during the three-month period, amounting to P17.87 billion which is 96.56 percent higher than the P9.09 billion in real estate investments in the same period last year.
Among other sectors, transportation and storage claimed a 15 percent share of the investment total with P9.22 billion, manufacturing with P4.78 billion (8 percent); and accommodation and food services activities sector with P350.69 million (1 percent).
In terms of manufacturing, the sub sectors that received significant investments in the first quarter included food products (84 percent share or P3.99 billion); motor vehicles, trailers and semi-trailers (3 percent or P122.59 million); leather and other related products (1 percent or P62.01 million); and other manufactured products (12 percent or P593.77 million).
86 percent of the BOI approved investments were from local sources for a total of P53.49 billion, while the remaining 14 percent or P8.45 billion came from foreign investors.
The Netherlands took the lead as the country’s top source of foreign investment in the first three months of the year, accounting for 70 percent of the total foreign investments with P5.95 billion. The Netherlands was followed by the United States with P604.54 million worth of investments (7 percent share); the United Kingdom with P505.49 million (6 percent share); Singapore with P294.13 million (3 percent share); and China with P141.64 million (2 percent share).
In terms of local investment, approved projects in the National Capital Region accounted for 32 percent of the total, generating P19.87 billion worth of investments in the first quarter. Region 1 came in second with P14.73 billion worth of investments (24 percent), followed by Region 3 with P8.96 billion (14 percent), Region 6 with P5.8 billion (9 percent), Region 11 with P5.6 billion (9 percent), and Region 4-A with P2.62 billion (4 percent).