The Philippine Economic Zone Authority is pushing for significant changes, aiming to unlock a new wave of investment and propel economic growth. Central to this effort is a drive to modernize the laws governing economic zones and dramatically accelerate their establishment across the country.
Currently, the process of proclaiming new ecozones is proving to be a bottleneck, hindering the rapid influx of capital. Officials are actively seeking collaboration with the Executive Secretary to streamline procedures and remove obstacles, recognizing the urgent need to expedite investment entry.
Progress is already visible, with President Marcos Jr. having recently proclaimed two new ecozones: an expansion of an industrial township in Batangas and a cutting-edge information technology park in Iloilo City. These represent initial victories in a larger campaign.
Fifteen additional ecozone proclamations are currently awaiting presidential approval, poised to unlock further economic potential. The ambition is to reach a total of thirty new ecozones established this year, a target considered crucial for attracting substantial foreign and domestic investment.
Beyond simply creating more zones, PEZA is focused on reclaiming lost authority. Amendments to the existing PEZA law are being considered to restore powers previously held by the agency, including the ability to issue critical certifications like fire safety inspections and certificates of origin.
This push for greater autonomy also includes establishing a faster track for ecozone proclamations and expanding PEZA’s capacity to develop diverse types of economic zones. Strengthening the organization’s leadership through the addition of deputy directors-general is also a key priority.
The current PEZA law is three decades old, and officials believe a comprehensive overhaul is essential to align with global standards and foster a more competitive business environment. Modernization is seen as the key to attracting a greater volume of investors to the Philippines.
For the current year, PEZA has set an ambitious investment target of ₱300 billion, representing a 15% increase over the previous year’s approvals. While described as “conservative,” this figure reflects a commitment to sustained, positive growth.
Excitingly, PEZA anticipates the registration of key suppliers to technology giant NVIDIA, signaling a potential boost to the country’s tech sector. Furthermore, a significant ₱6-7 billion investment from UK pharmaceutical leader AstraZeneca is expected to materialize this year.
The AstraZeneca investment, initially anticipated last year, is now firmly in the pipeline, promising to further solidify the Philippines’ position as an attractive destination for pharmaceutical manufacturing and research. These developments underscore PEZA’s proactive approach to securing high-value investments.
