Vol. XXI, No. 218 [ Business World Online ]
Friday, June 6, 2008 | MANILA, PHILIPPINES
The Philippines’ attractiveness to foreign investors relies heavily on how competitive its key cities are, Trade Secretary Peter B. Favila told reporters yesterday.
Mr. Favila said Philippine cities and municipalities could attract more investments and generate more jobs if business processes are clear and stream-lined.
He cited Muntinlupa, Makati, Parañaque and Ormoc as model cities for their fast and efficient procedures. For instance, renewal of business permit in Muntinlupa was shortened to six from 14 steps. Muntinlupa and Makati, he noted, process permits in one hour, while Parañaque mandates a two-hour processing of permits. Ormoc City, for its part, increased revenues from business permits by 85% to P42.667 million in 2006 from P23.067 million in 2005 by stream-lining its processes.
Mr. Favila said National Government agencies and local government units (LGUs) should work closely to attract more business to the countryside.
He stressed ease in doing business, peace and order as well as infrastructure are vital for business to locate in a city or municipality.
For ease in doing business, Mr. Favila urged local government officials to reduce red tape and increase transparency with clients.
He also cited local government’s powers to legislate laws that will create a better environment for doing business.
Trade Undersecretary and Board of Investments Managing Head Elmer C. Hernandez, for his part, said his agency is now reorganizing to make it more promotional rather than regulatory by putting up more Investment Promotion Centers in LGUs. "As of May this year, 10 centers are now operational. To do this, we are building the capabilities of LGUs in handling investment promotion through training and we expect to conduct 20 of these in the next two years," he said.
A result of this training is the crafting of more effective local investment incentives codes, he said. — B. S. Sto. Domingo
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