Vol. XXI, No. 164 [ Business World Online ]
Monday, March 24, 2008 | MANILA, PHILIPPINES
THE PHILIPPINES will continue to scout for Chinese investments, particularly in infrastructure, mining and energy, despite a botched telecommunications deal with China’s ZTE Corp., the country’s top trade official said.
Trade Secretary Peter B. Favila said he plans to discuss investment opportunities with big Chinese companies during the Boao Forum for Asia in China next month. The event is the counterpart of the World Economic Forum in Davos, Switzerland.
"There are Chinese investors who are in constant communication with me. In fact, I was invited by former President Fidel V. Ramos to deliver a paper at the Boao forum. All the biggies will be there. I will take that opportunity [to invite investors here]," he told reporters.
Mr. Favila said he give a situationer on ongoing free trade negotiations in Asia and the Pacific.
The event will be attended by 3,000 to 5,000 business leaders from across Asia.
The Trade chief said he expects additional investments from China "depending on how we market ourselves."
"There’s always that opportunity to attract big investments like Cosco. I’m planning to talk to a number of Chinese companies, particularly in the infrastructure sector. We really need private sector participation in infrastructure...in mining and energy also," Mr. Favila said.
The government last year announced that shipping giant China Ocean Shipping Companies Group’s (COSCO) committed to spend $4 billion-$5 billion to convert Sangley Point in Cavite into a commercial port.
Mr. Favila said while there’s no word yet from Cosco if it would proceed with its project, other Chinese investors have consistently expressed interest to invest in the Philippines, citing good economic growth.
The Trade department has set a 12% growth target in investments this year to about P391 billion.
Investment commitments approved by the Board of Investments (BoI) and Philippine Economic Zone Authority totalled P349.08 billion in 2007, with overseas investors accounting more than half, government data showed.
The tally was a 28.67% jump from 2006’s P271.29 billion, and was a significant gain over the official 12% investment growth target.
BoI accounted for 61.7% at P215.34 billion, from P187.62 billion in 2006, while the PEZA’s share was P133.73 billion, up from P83.67 billion.
These investments involved 766 projects that are expected, in turn, to generate 144,714 jobs. — Bernardette S. Sto. Domingo
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