By Beatriz Marie D. Cruz, Senior Journalist
DRIVING POEMS approven by Philippine Economic Zone Authority (PEZA) erupted in May, driven by the increase of the export-oriented manproductivity and knowledge technology-business process project management (IT-BPM).
The PEZA board approved 31 projects worth P15.41 billion, a jump of 446.89% from the P2.82-billion approved in May 2025.
The projects are expected to generate $364.73 million in exports.
Of all the projects, 16 projects were outsourcing businesses, seven were IT-BPM projects; two are domestic market businesses; two are the development of the economic area (ecozone); two are transport businesses; one is a service business; and the other is the tourism business.
Most of the projects will be located in the Calabarzon region (16 projects), followed by the National Capital Region (six projects), and Central Luzon (two projects).
PEZA said Cebu, Cagayan de Oro, Davao del Sur, and South Cotabato will each have three projects, while one project is in Iloilo.
In the first five months of the year, PEZA approved 135 new and expansion projects worth P124.84 billion, up 88% from the P66.34-billion approved last year.
As of the end of May, the agency’s investment approval has reached 41.61% of its P300 billion revenue by 2026.
Approval in the January-May period is expected to generate $2.97 billion in exports and 20,012 jobs, the agency said.
Fifty-eight of the approved projects during that period were in production, while other projects were related to the development of the environment (21), IT-BPM (19), institutions (13), transport (12), domestic market (six), tourism (four), and services (two).
In a period of five months, 110 projects were approved by PEZA in Luzon, 19 in Visayas, and six in Mindanao.
Investment pledges come from investors based mainly in the Netherlands, South Korea, Indonesia, Germany and Japan, the agency said.
In a statement on Sunday, PEZA Director General Tereso O. Panga noted that investors have confidence in the Philippines despite global economic uncertainty.
“Our strong growth in investment and the tripling of exports shows that investors continue to see the Philippines as a strategic location for business expansion,” he said.
Mr. Panga also noted that PEZA has received interest from Middle Eastern companies that are considering the Philippines as a potential oil distribution hub. On the other hand, we have received interest from the Middle East in making the Philippines their oil distribution center in ASEAN (Association of Southeast Asian Nations),” he said. BusinessWorld in a Viber message. “This is a de-risking strategy in the end, and one that may meet our goal of creating a national oil reserve.”
Mr. Panga said PEZA is “highly optimistic” of reaching its P300-billion target for investment proposals, citing risks such as political tensions in the Middle East and local political concerns.
“If these global issues are resolved as well as internal political issues, we will reach the goal by the end of the year,” he said.
At the same time, Mr. Panga noted that the recent approval of the 2026 Strategic Investment Priorities Plan (SIPP) is in line with PEZA’s objective to attract projects that support export growth and industrial development.
“The 2026 SIPP is an important step forward in positioning the Philippines as a high-value, technology-driven, and sustainable industrial hub,” he said.
“Its strong focus on advanced manufacturing, innovation, and Industrial 4.0 technology is closely aligned with PEZA’s investment promotion strategy and our efforts to attract projects that generate high value sales, strengthen domestic industries, and deepen the country’s participation in global value chains,” said Mr. Panga.
President Ferdinand R. Marcos, Jr. approved on May 21 the 2026 SIPP under Memorandum Order No. 47.
The SIPP identifies economic activities that may qualify for benefits under Republic Act No. 12066 or Corporate Recovery and Tax Incentives for Enterprises to Maximize Opportunities to Renew the Economic Law.
Tier I projects under the latest SIPP include modern agriculture, modern construction, mobile healthcare, natural environments, and climate-related initiatives such as air capture, waste-value, and circular economy projects, andest management of carbon credits.
Under Phase II, activities that may be promoted include defense services, desalination, electric vehicle infrastructure, sustainable jet fuel, and precious mineral processing.
Tier III activities under SIPP include artificial intelligence (AI), quantum computing, cybersecurity, hydrogen and nuclear energy, and advanced research and design.
Mr. Panga said the revised SIPP could help deepen the country’s trade relations with its ASEAN neighbors, especially in AI supply chains.
Looking ahead, PEZA aims to attract projects that seek to use advanced technologies, strengthen local industries, increase export potential, and help the Philippines move up global value chains, said Mr. Panga.
