ECCP says clear poll victory for next President to improve investor confidence  

THE European Chamber of Commerce of the Philippines (ECCP) said a landslide victory for the next President will help improve investor confidence by avoiding disputes over the incoming chief executive’s mandate.

ECCP President Lars Wittig said at a virtual forum Friday that European investors will consider a clear mandate a positive for the Philippines, citing the large plurality victory of President Rodrigo R. Duterte in 2016.

“From a business point of view, what was really good about Mr. Duterte being elected was (that) he won by a landslide. That gives certainty and predictability and that is something that gives us businesspeople (a good) feeling where we are willing to invest more money,” Mr. Wittig said.

Mr. Duterte won in 2016 after receiving 16.60 million votes. The second-place candidate was Manuel A. Roxas II with 9.98 million votes.

“It is a big help for us businesspeople that whoever wins, it doesn’t matter necessarily who it is, but that the person wins by a landslide,” Mr. Wittig said.

ECCP Executive Director Florian Gottein said that the next administration should focus on infrastructure and increasing investment.

“We want the next administration to continue improving infrastructure. We definitely want to see also a more ambitious fight against corruption, as well as opening further some areas such as foreign investments in renewable energy,” Mr. Gottein said.

Maurizio Cellini, First Counsellor and Head of Trade and Economic Affairs of the Delegation of the European Union (EU) to the Philippines, said Philippine utilization of its Generalized Scheme of Preferences Plus (GSP+) trade privilege in 2021 might be close to 2020 levels.

The Department of Trade and Industry (DTI) has said that the Philippines’ GSP+ utilization rate was 75% in 2020.

“We suppose that the (utilization rate) should be close to (the) 2020 level. We will have the data about the utilization rate for the GSP+ (in 2021) by the end of February or the beginning of March,” Mr. Cellini said.

GSP+ offers zero-tariff entry to 6,274 Philippine products on condition that the country complies with a number of international conventions.

Mr. Cellini said the GSP+ privilege, which is set to expire by the end of 2023, is subject to some adjustment.

“What we can say at this stage is that the spirit of the system will remain the same. I don’t think that there will be huge changes compared to the current one. But definitely, there will be some adjustments,” Mr. Cellini said.

“For instance, the GSP+ system is connected to the list of international conventions. So probably, there will be some update in the number or type of conventions that will be necessary to be eligible for the GSP+,” he added.

At the same forum, the ECCP also launched a Doing Business in the Philippines guide in partnership with KPMG Philippines.

“This comprehensive booklet aims to arm potential investors with knowledge on the Philippine business environment, as well as relevant laws and procedures in the country,” the ECCP said.

“As a guide for those interested in exploring various economic opportunities in the country, this booklet seeks to empower businesses to make informed investment decisions,” it added. — Revin Mikhael D. Ochave