1 month ago
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The Board of Investments (BOI) has set Friday, Feb. 14, as the deadline for businesses and other stakeholders to submit their inputs for the 2025-2028 Strategic Investment Priority Plan (SIPP).
The SIPP, a three-year framework that lists economic activities that can qualify for fiscal incentives, is set for launch during the first half of the year.
BOI Executive Director Bobby Fondevilla was quoted by the Philippine Exporters Confederation as saying that submissions of activities and projects that may be included in the SIPP should be supported by qualifying data and analysis.
He specifically cited the need for revealed comparative advantage, labor intensity ratio, capital intensity ratio, and other similar metrics.
Fondevilla noted that the BOI’s criteria for priority determination of proposals into the SIPP include substantial amount of investments, considerable generation of employment, considerable amount of exports, the use of modern, new and advanced technology, and processes and innovation towards the attainment of Sustainable Development Goals.
He said this shall also cover the promotion of market competitiveness, the enhancement of capabilities to produce sophisticated products and services, addressing links and gaps in the supply/value chain, activities that contribute to Philippine food security, and activities that promote regional and global operations in the country.
The BOI official said these factors are aligned with the Corporate Recovery and Tax Incentives for Enterprises (CREATE) Law and CREATE to Maximize Opportunities for Reinvigorating the Economy (CREATE MORE).
The recently enacted CREATE MORE, in particular, expanded the scope and coverage of eligible businesses for the SIPP.
“It provides under Section 300 that the SIPP may include areas of investments that are specific to an area of region, taking into consideration the project or activity that an IPA (investment promotion agency) in those areas or regions deemed fit to promote,” Fondevilla said.
Fondevilla noted that the CREATE MORE amended Section 293 of the CREATE Act, which now mandates an evaluation process for all sectors or industries that may be included in the SIPP.
This is to determine the suitability and potential of the industry in promoting long-term growth, sustainable development, and national interest, he said.
“In no case shall a sector or industry be included in the strategic investment priority plan unless it is supported by a formal evaluation process or report,” the official explained.
Fondevilla noted that the Tatak Pinoy Act, embodied in Republic Act (RA) No. 11981, also provides for the inclusion of investment activities and projects identified under the Tatak Pinoy Strategy.
This shall be limited for the first three years from its enactment in 2024, which is under the new SIPP.
