MANILA – Proposals to liberalize the Philippine economy to attract foreign investments will be given focus by the coming Congress, Sen. Sherwin Gatchalian said.
In an emailed statement, Gatchalian, who chaired the Committee on Economic Affairs during the 17th Congress, cited the need to push for liberalization reforms which he said were long overdue.
Among these measures were amendments to the Foreign Investments Act of 1991, the Public Service Act, and the Retail Liberalization Act.
“Unfortunately, we did not have the luxury of time to pass these bills before Congress adjourned sine die,” Gatchalian added.
Administration economic managers have long been advocating for such reforms to improve foreign investments to the country.
“This coming 18th Congress, we will be putting greater focus on implementing legislative reforms that will help break down barriers that foreign investors face in the country,” said Gatchalian.
“These changes are long overdue – we need laws that are responsive to the needs of the domestic economy and accommodate the dynamics of the regional and global environment.”
Gatchalian’s promise came days after the Bangko Sentral ng Pilipinas (BSP) reported a double-digit drop in foreign direct investments (FDIs) in March.
Data released by the central bank showed FDI inflows fell by 13.9 percent to register a net inflow of $586 million in March from the $681-million net inflows in March 2018, compared to the $746-million inflow in February.
“The latest FDI report strengthens our case for the need to reform the country’s relatively restrictive and less competitive economic policies,” the senator said.
The central bank last week also said that the country’s current account balance – the balance between inflows and outflows of trade in goods – was expected to post a wider gap this year. (GMA News)
