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PEZA investment pledges down 24.54%

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Investment pledges registered with the Philippine Economic Zone Authority (PEZA) dwindled, posting a negative 24.54 percent growth in the first four months as the pending Tax Reform for Attracting Better and High-Quality Opportunities (TRABAHO) Bill continued to spook foreign investors.

Charito B. Plaza, Director-General of the Philippine Economic Zone Authority , told reporters that as 20 MNCs skipped the Philippines due to the uncertainty brought about by the TRABAHO Bill, the agency’s approved investment pledges in January-April this year declined by 25.54 percent to P29.492 billion as against P39.085 billion in the same period last year as the number of project registration also decreased by 1.24 percent to 159 from 161 last year.

“We just could not convince yet a number of those PEZA export manufacturing and IT companies who have withheld their expansions to proceed,” he said. Plaza also said that they cannot also make promises to these investors regarding the outcome of the TRABAHO Bill, which seeks to overhaul the generous PEZA incentive packages.

PEZA administers the tax and fiscal incentives of export-oriented companies located in various economic zones in the country.

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