Philippines opens land to foreigners for 99-year leases to boost FDI

Manila sees longer leases as a catalyst for foreign investment, job creation, and growth

- BY JAY HILOTIN

The Philippines has just dropped a bombshell move to snag mega foreign cash. How?

Amid the noise (and the haste) surrounding the multi-billion flood-control scam, a new legislation has been crafted to drive foreign investments in energy, transportation, infrastructure, manufacturing — and, more importantly, in agriculture — as part of ongoing reforms to raise the country’s status as an upper-middle income country (UMIC).

In a major step, President Ferdinand Marcos Jr inked Republic Act (RA) 12252 on September 3, 2025, supercharging private land lease rules for global investors.

The new law amends the decades-old Investors’ Lease Act (RA 7652) and extends allowable lease periods to as long as 99 years for projects in priority sectors, aligning the Philippines more closely with regional investment hubs in the

■ As per the new law, foreigners remain lessees, not landowners and the country can shorten lease terms over national security.

Association of Southeast Asian Nations (Asean).

What has changed

Under the revised framework, foreign investors with approved and registered projects may now lease private land for up to 99 years. This nearly doubles the previous limit of 50 years (renewable by 25). The reform introduces several investor-friendly provisions:

■Longer lease terms: Industrial, tourism, agriculture, agroforestry, and conservation projects now qualify for leases of up to 99 years.

■Transferable leasehold rights: