04/28/2008 [ tribune.net.ph ]
New investments and tourist spendings in the Cagayan Special Economic Zone and Freeport (CSEZFP) helped boost the regional economy of Cagayan Valley in 2007.
In its annual regional economic situationer for Cagayan Valley (Region 2), the National Economic and Development Authority (Neda) noted the significant contribution of CSEZFP in the growth of new businesses and employment in the region.
Region 2 groups the northeastern Luzon provinces of Cagayan, Isabela, Nueva Vizcaya, Quirino and Batanes.
CSEZFP in Sta. Ana, Cagayan is the fastest growing industrial, logistics and tourism hub in the country. It was established in February 1995, by virtue of Republic Act 7922.
“The expansion and improvement of CSEZFP changed the investment climate in the region,” the annual Neda report said.
“More investments were recorded in inter-active gaming services and port operation. Total infused investments in the freeport is marked at P8.19 billion, with a total number of 70 locators to date,” it added.
The report noted that investments in the region were largely dominated by the expanding number of locators in the freeport, reflecting a 9.4-percent increase from P7.4 billion in 2006 to P8.1 billion in 2007.
Bulk of the investment growth came from interactive gaming support services, which increased from P1.7 billion in 2006 to P2.9 billion in 2007, or an increase of 70.5 percent.
“Without the CSEZFP gains, decreases in investments experienced in the other sectors could not be cushioned,” the report added.
The region’s total investment outside CSEZFP based on the data provided by the Business Name Registration of the Department of Trade and Industry fell 74 percent from P6.959 billion in 2006 to only P1.806 billion in 2007.
CSEZFP also boosted tourism in Cagayan Valley. In 2007, total tourist expenditures in the region hit P1.43 billion, of which about P185.12 million was spent by 26,236 foreign tourists and the rest by domestic tourists.
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