Foreign Investment Pledges Down 39% in 2024

Foreign investment commitments approved by the government plunged by 39 percent in 2024 from the previous year as investors held back, amid global uncertainties including protectionist policies under the new US leadership and changes in the Philippines' incentives regime.

- By Louella Desiderio

Preliminary data from the Philippine Statistics Authority showed that approved foreign investment pledges fell to P543.62 billion in 2024 from P889.24 billion in 2023.

These investments, which were approved by investment promotion agencies, indicate investor interest in the country and have the potential to be realized in the future.

This figure is different from the data released by the Bangko Sentral ng Pilipinas, which tracks actual foreign direct investments that have already been deployed in the country.

The Board of Investments (BOI) approved the bulk or P384.44 billion of the total foreign investment commitments last year.

The Philippine Economic Zone Authority (PEZA) came in next with P101.77 billion, followed by Clark Development Corp. with P35.6 billion, Subic Bay Metropolitan Authority (SBMA) with P15.85 billion, Cagayan Economic Zone Authority with P3.24 billion, Bases Conversion and Development Authority with P2.48 billion, BOI - Bangsamoro Autonomous Region in Muslim Mindanao with P196.72 million and Zamboanga City Special Economic Zone Authority with P49.65 million.

Switzerland was the biggest source of foreign investment pledges last year amounting to P289.06 billion, followed by South Korea with P100.34 billion and the Netherlands with P50.22 billion.