TOKYO: The Philippines and Japan are poised to enhance their economic partnership through the signing of several business agreements during President Ferdinand Marcos Jr.’s visit to Tokyo, according to Trade Secretary Alfred Pascual. These agreements will further bolster the investment pledges made during the President’s previous trip to Japan.
During a media interview with Filipino journalists, Pascual expressed that these agreements signify Japan’s confidence in the business industry in the Philippines. He emphasized that they reflect a serious intent and plans to proceed with investments in the country. Pascual also highlighted that Japan is already among the largest investors in the Philippines, with operations spanning various sectors.
While Pascual refrained from disclosing the specific sectors covered by the agreements, he mentioned that some of them would entail Memorandums of Understanding (MoUs) between Japanese and Philippine companies. He emphasized that the signing of these letters of intent and MoUs indicates a genuine commitment to proceed with the investments.
These trade agreements come at a time when President Marcos announced his consideration of reviewing the economic provisions under the 1987 Constitution. The objective is to attract more investors to the country by addressing any hindrances posed by the existing economic provisions.
In a media interview, President Marcos highlighted that certain economic provisions derived from the Constitution are impeding potential investors from operating in the Philippines. He emphasized that the study being conducted is not focused on constitutional reform but on identifying necessary changes to make the country more attractive to investors.
The President’s primary goal is to transform the Philippines into an investment-friendly destination. While asked about the possibility of discussing the amendment to the economic provisions with Japanese investors, Trade Secretary Pascual stated that it is an internal matter for the Philippines and not suitable for an international forum.
Pascual reiterated his support for a proposal in Congress to amend the Constitution and ease restrictions on economic sectors. He believes that such a move would enhance the country’s competitiveness in attracting foreign investments, leading to the creation of high-quality jobs for the Filipino people.
By loosening restrictions on foreign ownership, Pascual argues that the Philippines can become a more appealing destination for international investors. This, in turn, can result in an influx of capital that can be utilized for infrastructure development, technological advancements, and job creation.
Several bills have already been enacted to facilitate ease of doing business and lift restrictions, including the amendments to the Public Service Act, the Retail Trade Liberalization Act, and the Foreign Investments Act.
President Marcos’ visit to Tokyo coincides with the 50th Association of Southeast Asian Nations (ASEAN) Summit, where leaders from ASEAN member countries gather to discuss regional cooperation and partnerships.
The signing of multiple business agreements between the Philippines and Japan demonstrates the commitment of both nations to foster stronger economic ties. These agreements, along with potential amendments to the economic provisions, aim to create a more favorable investment climate in the Philippines, attracting foreign investors and driving economic growth.
Source: The Manila Times
