MANILA – The National Economic and Development Authority (NEDA) welcomes the issuance of Executive Order (EO) No. 175 promulgating the 12th Regular Foreign Investment Negative List (RFINL).
On Monday, President Rodrigo R. Duterte issued the 12th RFINL, which provides details on foreign ownership limitations for key areas or activities, through EO No. 175.
“We welcome the issuance of the 12th RFINL. The revised list is aligned with the recently passed amendments to the Public Service Act (PSA), Retail Trade Liberalization Act (RTLA), and Foreign Investments Act (FIA). It is also consistent with the policy to ease restrictions on foreign participation,” Socioeconomic Planning Secretary Karl Kendrick Chua said in a statement Tuesday.
The 12th RFINL reflects the full foreign ownership liberalization for telecommunications, domestic shipping, railways and subways, and air transport as provided under the amendments to the PSA.
The revised list incorporates the amendments to the RTLA that provides for a uniform minimum paid-up capital of USD500,000 (PHP25 million) from as much as USD2.5 to 7.5 million for non-luxury foreign retailers.
It also takes into account the amendments to the FIA which allows for a lower minimum paid up capital of USD100,000 for non-Philippine nationals if the enterprise involves advanced technology as determined by the Department of Science and Technology, endorsed as a startup by the lead host agencies pursuant to the Innovative Startup Act, or employs no less than 15 Filipino employees.
“In the future, we also intend to liberalize more sectors like renewable and inexhaustible energy sources such as wind, tidal, solar to help address the looming power crisis and climate change concerns,” Chua added.
A copy of EO No. 175 can be accessed in the Official Gazette. (PR)