Finance Secretary Ralph Recto has urged Singaporean investors to explore investment opportunities in the country’s infrastructure flagship projects.
In his speech during the 4th Philippine-Singapore Business and Investment Summit (PSBIS) held on Thursday at Shangri-La, Singapore, Recto also assured investors that the much-anticipated enactment of the Corporate Recovery and Tax Incentives for Enterprises to Maximize Opportunities for Reinvigorating the Economy (CREATE MORE) will make doing business in the Philippines smoother.
“The new amendments to the country’s fiscal incentives regime —known as CREATE MORE— are designed to attract even more Singaporean investors to lay down roots and flourish in the Philippines,” Recto said.
The CREATE MORE bill, which is expected to be passed within the year, aims to streamline business compliance by reducing documentary requirements and addresses investors’ concerns about value-added tax (VAT) by exempting export-oriented enterprises from paying it.
It also provides a more attractive incentive package for registered projects or activities with an investment capital exceeding about USD260 million or PHP15 billion.
Under the enhanced deductions regime, registered business enterprises (RBEs) will enjoy a 5 percent reduction in corporate income taxes, from 25 percent to 20 percent.
In terms of investments, Recto urged Singaporean investors to submit unsolicited proposals, respond to solicited ones, and explore more joint ventures with the Philippine government through the administration’s 186 flagship infrastructure projects (IFPs).
“As we aggressively enhance our logistics backbone and human capital through productivity-boosting investments, Singapore’s role has never been more crucial. We need more of Singapore’s cutting-edge expertise and technology for our 186 flagship infrastructure projects,” Recto said.
Recto added the Philippine government is looking for more participation from top-tier partners in Singapore like the Changi Airport Group, which has excelled in managing and operating the Clark International Airport.
“Given Singapore’s world-class expertise in aviation, both of us can lead ASEAN’s transformation into a global travel hub and drive the tourism boom across the region,” he said.
Recto said Singapore can help the government build more smart, modern, sustainable, and people-centered cities across the Philippines.
The Finance chief also assured that the government is streamlining processes for Singaporean investors’ seamless participation in high-priority sectors such as clean energy, critical minerals, retail, digital technologies, food production, financial services, and pharmaceuticals.
He said the country is also ready to become the hotspot for technology-driven businesses, from hyper-scale data centers to smart manufacturing and high-tech agriculture.
Recto said the government also developed an artificial intelligence roadmap and strategy to upskill and retool the Filipino workforce.
“We are eager to team up with Singapore’s start-up visionaries to unlock new frontiers in emerging technologies,” he said.
“These reforms are just a fraction of the transformative changes underway in the Philippines to make us stand out as the most hospitable economy for Singaporean enterprises.”
Recto said these reforms, and the country’s booming economy and the strategic complementarities of Singapore and the Philippines, make the latter the most strategic haven for Singaporean investors.
Aside from Recto, key Philippine government officials who participated in the Summit were Department of Budget and Management Secretary Amenah Pangandaman, National Economic and Development Authority Secretary Arsenio Balisacan, Department of Education Secretary Juan Edgardo Angara, Department of Science and Technology Secretary Renato Solidum Jr., and Philippine Ambassador to Singapore Medardo Antonio Macaraig.
Mindanao Development Authority Secretary Leo Tereso Magno, Bases Conversion and Development Authority President and CEO Joshua Bingcang, PEZA Director General Tereso Panga, and National Development Company General Manager Antonilo Mauricio also joined the summit. (PNA)
