A recent survey revealed that more than half of Filipinos view complex business regulations and restrictive foreign ownership rules as major obstacles to foreign investments in the country. The survey, conducted by Pulse Asia in March 2024, found that 56% of respondents pinpointed issues such as red tape and changes in government policies as barriers to foreign investment, while 55% identified restrictive rules on foreign ownership as significant hindrances.
In response to these findings, the House of Representatives approved a proposed economic charter change aimed at lifting restrictive provisions in public utilities, education, and advertising to attract more foreign investments. However, the survey also highlighted other challenges, with 46% of respondents citing corruption in the public sector, followed by inadequate transportation infrastructure (40%) and high electricity costs (37%).
Despite these hurdles, 64% of Filipinos believe that removing restrictions on foreign investors could lead to the creation of high-quality jobs with better benefits. Additionally, 55% expect better services to stakeholders, while the same percentage expressed concerns about foreign capital dominating local investors and businesses if investment regulations are eased.
The push to amend the Constitution to loosen restrictions on foreign investments faced opposition from 88% of Filipinos, according to a survey released by Pulse Asia. Strong disapproval was also expressed towards foreign ownership of natural resources and residential/industrial lands. Critics warn that amending the Constitution in this regard could pose environmental risks and threaten local communities, particularly indigenous peoples.
President Ferdinand Marcos Jr., in support of liberalizing economic provisions in the 1987 Constitution, proposed holding a charter change plebiscite concurrently with the 2025 midterm elections. The current Constitution limits the stake of foreign nationals and corporations in businesses to 40%.
