(File photo)
MANILA – Foreign businesses can now plan out their strategic investment programs in the Philippines after President Rodrigo Duterte signed the Republic Act (RA) 11647, amending the Foreign Investments Act.
In a statement Monday, the German-Philippine Chamber of Commerce and Industry (GPCCI) has lauded the enactment of RA 11647 into law, which will help to facilitate more foreign investment in the country by allowing more equity for foreign investors.
“The passage of this act is very timely as we are now opening up the economy. The restrictions lifted under the said amendments also address difficulties of foreign-owned SMEs (small and medium enterprises) and further introduce strategic investment programs that shall further promote the country as an attractive investment market,” GPCCI executive director Christopher Zimmer said.
GPCCI president Stefan Schmitz added that reducing investment areas reserved for Filipinos and allowing foreign businesses up to 100 percent ownership when setting up their operations here is a win-win move for both Filipino and foreign investors.
“With these amendments, more foreign professionals can now share their skills with Filipinos to enhance local and international competitiveness in various sectors. At the same time, it would also help generate more employment in the country as the law enables more foreign investments that would expand the Philippine job market,” Schmitz said.
Meanwhile, senatorial bet Gilbert “Gibo” Teodoro also lauded the administration for relaxing foreign restrictions, but this law should be partnered with an “anti-bureaucratic mindset” in all government agencies.
“Promoting the Philippines as a destination for foreign investments does not end with relaxing the foreign ownership, but foreign investors should feel that they can start their business in the country with ease,” Teodoro said in a statement.
He said public offices should ensure smooth flow of transactions and avoid redundancy of requirements and adhere to the 3-7-20 rule, or complete simple transactions in three days, complex transactions in seven days, and highly technical transactions in 20 days.
“The government should establish a business-friendly environment for both foreign and domestic enterprises. This could be done if the government shifts away from a bureaucratic mindset,” he said. (PNA)
