MORE Singapore-based companies are keen on exploring investment opportunities in the Philippines, according to Singapore’s project facilitation office Infrastructure Asia (InfraAsia).
“International companies in Singapore have expressed interest to explore more investment opportunities in the Philippines,” Infrastructure Asia Executive Director Lavan Thiru said in an e-mail interview.
“Infrastructure Asia is continuously looking for a window to bring the demand and supply side together,” he added.
The regulatory environment in the Philippines attracts private sector participation, he noted.
The government has taken the lead in creating “a more conducive business environment” for private sector companies to invest in sustainable infrastructure growth, he said.
This includes lifting restrictions on foreign ownership public services and renewable energy assets.
“With the recent government spending on infrastructure projects and heightened interest in renewable energy projects, the Philippines is on track to develop more sustainable infrastructure to benefit the people it serves,” Mr. Thiru said.
The government’s expenditures for infrastructure and other capital outlays rose by 18.7% to P1.2 trillion in 2023, according to the Department of Budget and Management.
Mr. Thiru said that there is a need to ensure that the infrastructure being developed is “the right fit for the people it serves.”
“Sometimes the initial request for a project may be different from what is needed. Dialogue and research are key first steps because it doesn’t matter how much resilience is built into the project if the infrastructure isn’t impactful for the wider communities,” he said.
Citing a report from the Asian Development Bank Institute, over 70% of the infrastructure investments in Asia are still funded by public resources, “which remain a key challenge for many countries with limited budgets and fiscal constraints.”
“We can mitigate this by encouraging public-private partnerships, enhance the attractiveness of investments through blended finance or other innovative financing models like green bonds or other infrastructure impact bonds to promote investments to the project,” Mr. Thiru said.
InfraAsia is a project facilitation office set up by Enterprise Singapore and the Monetary Authority of Singapore “to support Asia’s social and economic growth through infrastructure development.”
It works with both private and public sector organizations in Singapore and the region.
InfraAsia will hold its flagship event called Asia Infrastructure Forum on June 4-5 in Singapore, where its partners, such as in the Philippines, will share more details about their upcoming projects.
Various officials from the government and private sectors, as well as experts across the infrastructure ecosystem in the region will convene to discuss the opportunities in infrastructure, financing and innovation for sustainable infrastructure development.—Sheldeen Joy Talavera