- LIMA
- WCIP
- MEZ 2
- Investing In The PH
- Tax Incentives
the ph economy at a glance
Overview of the PH Market
Investing in the Philippines offers a strategic gateway to a world of opportunities. The Philippine economy, recognized as one of the fastest-growing in the region, combines a rapidly expanding economy with a skilled, English-proficient workforce, making it a prime destination for foreign businesses. Its youthful population brings a wealth of talent and creativity, ready to drive your business forward. The government actively supports foreign investments with incentives, tax advantages, and pro-business policies, streamlining operations and simplifying processes.
Strategically positioned in Southeast Asia, the Philippines offers direct access to flourishing Asian markets and boasts state-of-the-art infrastructure for international trade. The presence of a growing middle class and a strong consumer market amplifies profitability, while diverse sectors ranging from technology to manufacturing provide tailored investment opportunities.
A CASE FOR PH INVESTMENTS
The Philippines:
A stable all-rounder
Over the years, the Philippines has demonstrated remarkable resilience, with its GDP growth rate poised to reach a stable 6.5%. This impressive outlook shines a spotlight on the wealth of investment opportunities awaiting those who act promptly. By taking early steps in the business landscape, you can position yourself to not only weather challenges but also excel and flourish in this thriving environment.
GDP Per Capita
2022GDP Growth Rate
2022GDP Growth Rate Forecast
2023Foreign direct investment
in USD millions (2022)Note:
a. The 25% CIT is based on the recently passed CREATE Law. However, its Implementing Rules and Regulations are still yet to be finalized
b. CIT of 20% is applicable for micro, small and medium enterprises with net taxable income below below PHP 5 million and total assets below PHP 100 million
Source: World Bank Organization, Asian Development Bank, Deloitte, Asian Briefing, Philippine Statistics Authority, Centre for Strategic and Policy Studies (CSPS), Economist Intelligence Unit, International Monetary Fund, United Nations Conference on Trade and Development, PRIME Philippines Research & Advisory 2021
A top-notch labor force
The Philippines offers international investors a smooth experience with their workforce thanks to the great amounts of young, English-speaking workers. Filled with the energy of youth and able to quickly complete training to fit global standards, they’re sure to fit any need.
Discover more about the PhilippinesEnglish Proficiency Index
Labor force size (2023)
Median age
More reasons to invest
Investment Incentives
The Philippines offers fair and reasonable taxation rates comparable to the rest of the region. While the maximum percentage of foreign ownership is only 40%, the frequent tax holidays and tax rates after such holidays offer much potential for profit.
Corporate Income Tax
(CIT)Income Tax Holiday
(ITH)Foreign Ownership
Note:
a. The 25% CIT is based on the recently passed CREATE Law. However, its Implementing Rules and Regulations are still yet to be finalized
b. CIT of 20% is applicable for micro, small and medium enterprises with net taxable income below below PHP 5 million and total assets below PHP 100 million
Source: World Bank Organization, Asian Development Bank, Deloitte, Asian Briefing, Philippine Statistics Authority, Centre for Strategic and Policy Studies (CSPS), Economist Intelligence Unit, International Monetary Fund, United Nations Conference on Trade and Development, PRIME Philippines Research & Advisory 2021
Infrastructure Support
Strong Foundations for Our Partners
The Philippine government is dedicated to enhancing infrastructure support for foreign businesses through its Build-Better-More program and approval of 194 Infrastructure Flagship Projects (IFPs) totaling USD 158 Billion (9 Trillion in Philippine Peso). These projects, aligned with the 8-Point Socioeconomic Agenda and the Philippine Development Plan 2023-2028, cover essential sectors such as physical connectivity, water resources, agriculture, health, digital connectivity, and power and energy.
Additionally, the Public Investment Program (PIP) 2023-2028 reflects the government's commitment to sustainable growth. These initiatives create a robust framework, ensuring a well-connected, technologically advanced, and resource-efficient environment for foreign businesses. With these strategic measures, the Philippines offers an attractive platform for international investments.
Cost of Doing Business
Affordable and
competitive
The Philippines offers competitive rates compared to other countries in the SEA region regarding the overall average cost of setting up a business. This makes it a worthwhile place to consider setting up businesses in, especially due to all the continuous development.
Electricity
(KWH)Minimum Wage
/ monthAverage Industrial Land Price
/ sqmNote:
a. The 25% CIT is based on the recently passed CREATE Law. However, its Implementing Rules and Regulations are still yet to be finalized
b. CIT of 20% is applicable for micro, small and medium enterprises with net taxable income below below PHP 5 million and total assets below PHP 100 million
Source: World Bank Organization, Asian Development Bank, Deloitte, Asian Briefing, Philippine Statistics Authority, Centre for Strategic and Policy Studies (CSPS), Economist Intelligence Unit, International Monetary Fund, United Nations Conference on Trade and Development, PRIME Philippines Research & Advisory 2021
Quality of Life in the Philippines
From all the modern conveniences and entertainment options in the metropolitan cities to gorgeous natural attractions, the Philippines has it all. The beaches in particular rank among the most popular vacation destinations in the world.
Due to its status as a former colony, its proximity to the surrounding nations, and its spread-out geography, the Philippines offers a unique blend of international influences while keeping true to the Filipino trademark trait of hospitality.
Modern technologies, internet access, and vast infrastructure developments are all easily accessible, especially within the major metropolitan areas. Additionally, new developments are always in progress, spreading these technologies to new locations.
Mostly patterned after the educational system of the USA, the Philippines offers educational centers and universities that rank among the top 200 in the world. English usage is also prevalent, making most citizens functionally fluent in the language.
