Philippines Sets ₱4.5 Trillion Investment Approval Target Through 2028

A Bigger Ambition

The Philippine government has set a ₱4.5 trillion investment approval target for 2026 through 2028, marking a third consecutive Strategic Investment Priority Plan cycle and a 33 percent increase over the ₱3.38 trillion secured between June 2022 and December 2024. The Board of Investments announced the figure last week, describing the goal as achievable now that complementary legislation is in place.

Trade Undersecretary and BOI managing head Ceferino Rodolfo confirmed the target encompasses pledges approved by all investment promotion agencies operating under the new SIPP framework. Last year alone, those agencies cleared ₱1.92 trillion in commitments.

The timing reflects Manila's confidence in the CREATE MORE Act, which President Marcos signed into law last month alongside the 2026-2028 SIPP. The act refines fiscal incentives and expands eligibility for exporters, renewable energy developers, and technology firms establishing operations in special economic zones.

What the Plan Prioritizes

The new SIPP identifies manufacturing, agriculture, services, infrastructure, logistics, health care, and energy as broad priority areas. A separate tier highlights strategic and future-oriented industries including critical minerals and green metals, renewable and emerging energy technologies, AI and data science, cybersecurity, and quantum technologies.

The dual-layer structure is designed to attract both established players and frontier ventures. Kenneth Peralta, vice president at the Bases Conversion and Development Authority, said the roadmap will support BCDA's push to draw renewable energy, AI, data center, and semiconductor manufacturing projects to New Clark City in Tarlac province. The agency plans joint roadshows with BCDA-led subsidiaries to pitch the site to foreign investors.

From January through June this year, the BOI approved ₱461.84 billion in investments, up 21 percent from ₱382.24 billion in the same period last year. Rodolfo expects that momentum to carry the agency to its ₱1 trillion target for 2026.

A Longer Horizon

Policymakers are also weighing a shift to a six-year SIPP cycle, aligning the investment roadmap with the Philippine Development Plan's implementation period. A member of the Fiscal Incentives Review Board floated the idea during recent consultations, and Rodolfo acknowledged potential benefits.

Extending the cycle would reduce administrative churn and give investors a longer planning window, but it would also lock in sectoral priorities for a full presidential term. The government has not yet decided whether to adopt the change for the next iteration.

Regional Context

The Philippines competes for capital with Vietnam, Thailand, and Indonesia, each of which has rolled out semiconductor and data center incentives over the past eighteen months. Vietnam approved $3.8 billion in foreign direct investment commitments in May alone, according to government data, while Thailand's Board of Investment cleared $4.1 billion in the first quarter.

Manila's advantage lies in its English-speaking workforce and proximity to Taiwan and South Korea, both major sources of electronics and semiconductor equipment investment. The CREATE MORE Act's performance-based incentive structure also appeals to firms wary of subsidy clawbacks, a recurring concern in neighboring markets.

The ₱4.5 trillion target implies annual approvals averaging ₱1.5 trillion, a pace the BOI has not sustained in any single year. Whether the new SIPP and legislative tailwinds can close that gap will become clear by mid-2027, when the first full-year results under the framework are due.