US slams PH corruption barrier

The United States (US) has once again flagged the longstanding issue of corruption in the Philippines as one of the biggest hurdles to attracting American and other foreign investments.

- DEXTER BARRO II

In its annual investment climate statement published over the weekend, the US Department of State (DOS) listed corruption among several other barriers to foreign investment into the Philippines.

Prepared by the US Embassy in Manila, the report serves as an overall review of the investment climate in the country, enabling US companies to make informed business decisions.

It also serves as the US government's recommendations to the Philippine government on addressing these barriers to “ensure fair treatment” for American investors and companies.

According to the report, corruption has been a “pervasive and longstanding problem” in both the public and private sectors in the Philippines.

Specifically, it mentioned that the country ranked 114th out of 180 countries on Transparency International's Corruption Perceptions Index in the previous year. The report flagged that the Philippines has remained around that level since 2019.

“Various organizations, including the World Economic Forum, have cited corruption among the top problematic factors for doing business in the Philippines,” the report read.

The US DOS identified the Bureau of Customs (BOC), in particular, as “one of the most corrupt agencies” in the country.

To this extent, the foreign agency questioned the unnecessary complexity of the country's regulatory environment, reporting that some investors are finding it difficult to complete business registration, customs, and immigration processes.