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Business July 27, 2026

Encouraging the Philippines: Addressing Structural Issues to

Encouraging the Philippines: Addressing Structural Issues to

Philippine government must address structural issues to attract foreign direct investments, according to GlobalSource analyst Diwa C. Guinigundo.

The Philippines is recognized for its weakness in attracting foreign direct investments compared to other Southeast Asian nations, ranking sixth in the region, as per the United Nations Conference on Trade and Development's 2026 World Investment Report.

GlobalSource's Chief Economist Diwa C. Guinigundo emphasizes that investors seek policy predictability, efficient infrastructure, and robust manufacturing ecosystems.

To revive investor confidence and secure a strong position for foreign direct investments, Mr. Guinigundo recommends addressing the Philippines' institutional integrity, enhancing infrastructure, reducing business costs, and ensuring political stability.

If the Philippines effectively tackles these structural issues, investor confidence may rebound, and foreign direct investments could become a catalyst for inclusive and sustainable growth.

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