A total of P1.38 trillion in renewable energy projects were approved by the Philippines Board of Investments (BOI) in 2024, accounting for the bulk of the agency’s total P1.62 trillion in investment pledges for the year.
In its latest report, the BOI highlighted that the 2024 project approvals as of December 17 have set a 57-year record for the government’s premier investment-generating agency.
These approvals also exceeded the agency’s P1.5 trillion target for the year, representing a 28% increase from the P1.26 trillion in investment pledges approved in 2023. Notably, renewable energy project approvals saw a 40% growth compared to the previous year.
The capital-intensive renewables sector significantly outpaced other industries, such as:
– Air and Water Transport: P121.20 billion
– Real Estate Activities (Mass Housing): P37.26 billion
– Manufacturing: P31.67 billion
– Water Supply, Sewerage, Waste Management, and Remediation Activities: P16.28 billion
– Agriculture, Forestry, and Fishing: P11.02 billion
– Wholesale and Retail: P8.25 billion
– IT-BPM: P7.34 billion
Among these sectors, the Water Supply, Sewerage, Waste Management, and Remediation category recorded the most remarkable growth, soaring by 1,540% compared to last year’s P992 million.
Domestic and Foreign Investments
Of the total approved pledges, Filipino businesses contributed P1.23 trillion, a 150% increase from the previous year. Foreign investments accounted for P383.31 billion, with Switzerland as the top source, contributing P289.06 billion, a staggering 770,263 increase from just P38 million in 2023. Other leading foreign investors included:
– Netherlands: P44.50 billion
– Japan: P14.67 billion
– South Korea: P12.73 billion
– Singapore: P7.38 billion
– Thailand: P3.22 billion
– U.S.A.:P2.54 billion
Regional Investments
The CALABARZON region attracted the largest share of investments at P630.97 billion, followed by:
– Central Luzon: P277.80 billion
– Western Visayas:P252.88 billion
– Bicol Region: P144.97 billion
– National Capital Region:P129.17 billion
– Ilocos Region:*P88.32 billion
Government Perspective
Special Assistant to the President for Investment and Economic Affairs Frederick D. Go attributed the increase in approved investments to the whole-of-government effort to position the Philippines as a preferred investment destination. He expects more investment inflows with the passage of CREATE MORE, which enhances the country’s investment environment.
Trade and Industry Secretary and BOI Chairman Cristina Roque, meanwhile, commended the BOI for its remarkable achievement in terms of investment approvals this year.
“The P1.62 trillion in investment approvals for 2024 is a powerful vote of confidence from both local and international investors. This reflects the government’s commitment to creating a stable and attractive business environment in the Philippines, and attests to the effectiveness of our policies and reforms,” said Roque.
“These investments will fuel job creation, drive innovation, and foster dynamic economic progress. By focusing on international trade, we are laying the foundation for sustained and inclusive economic growth. This is in line with our goal is to transform the Philippines into Southeast Asia’s hub for smart and sustainable manufacturing and services,” the trade chief added.
Roque also underscored the success of the BOI’s Green Lane initiative, which has expedited the approval process for renewable energy projects and significantly contributed to the sector’s performance.
Furthermore, the trade chief emphasized the substantial opportunities presented by the Philippines’ robust and rapidly growing economy. These are particularly abundant in emerging sectors such as electric vehicles, smart manufacturing, semiconductors, renewable energy, high-tech agriculture, and data center infrastructure.
Looking ahead, Roque stated, “As we approach 2025, we are determined to build on this momentum. We will continue to refine and implement forward-looking policies that attract investments in these key industries, ensuring that the Philippines remains a prime destination for innovation and growth. Our commitment is to create an environment where businesses thrive, sustainability is prioritized, and economic opportunities benefit all Filipinos.”
