Filipino companies rescue Subic from FDI slump

SUBIC BAY Freeport: Despite the noticeable drop in foreign direct investments (FDI’s) investments in this Freeport, Filipino companies however continue to poor in and make up for the lost FDI’s.

According to Subic Bay Metropolitan Authority Administrator (SBMA) Armand Arreza, FDIs recorded in the Subic Bay Freeport fell by more than 67 percent in January-November this year compared to the total in the same period last year. The 2008 figure for the first 11 months was $224.82 million, while the 2009 tally was only $73.82 million.

On the other hand, 139 investment projects put up by Filipino companies contributed a total of $96.22 million in investment pledges, or 57.74 percent of the $166.64 million total for January-November.

Investments generated in this free port in the months of October and November have reached $44.42 million, putting the cumulative total in the last 11 months at $166.64 million.

“As far as we can tell, Subic is fast regaining its footing in terms of investment generation,” Arreza said.

“While there has been a noticeable drop in FDIs (foreign direct investments), Filipino companies like Ayala Land have more than made up for the slump,” Arreza added.

Among the top investors in the two-month period is real estate developer Ayala Land, Inc. , which pledged $21.4 million for the construction, development and operation of a retail and commercial center here.

Other investors with substantial project commitments included Aeroframe Composites, Inc., which pledged $465,000 for the processing of composite parts and materials; Hamomo Corp., with $385,274 for the operation of a real estate business; and Honey & Money Subic Corp., with $321,062 for the development, management, and operations of a condominium, hotel and commercial complex.