BOARD OF INVESTMENTS
2011 Annual Report
We, the BOI family, are committed to generate local and foreign investments
and develop globally-competitive industries, thus, increasing employment through the
responsible use of the country’s resources, guided by the principles of private initiative
and government cooperation.
In pursuit of these commitments, we bind ourselves to render competent and efficient
service with utmost integrity and professionalism.
Ours is a challenging task, yet with discipline and the guidance of an enlightened and
strong leadership, we shall move forward.
To meet investors’ diverse requirements, BOI offers specialized services that include:
• Supplying knowledge-based market information
• Analyzing your business feasibility
• Linking you to the services chain
• Matching you with foreign and local businesses
• Nurturing your expansion and diversification
• Profiling industries
01 Message from the President
02 Message from the Chairman
04 Message from the Managing Head
08 Investment Commitments
15 Top Investor Projects
16 Philippine Development Plan 2011-2016
17 Investment Priorities Plan 2011
18 Investment Promotion Agencies
19 Board of Governors
20 Independent Auditor’s Report
Vision | ConfidenCe | PerformanCe
Our report this year reflects BOI’s performance as it rose to the challenge of
restoring exemplary performance. Our vision is to be a preferred investment
destination as we partner with the best to achieve the most impressive
results. This optimism has brought about a confidence in the way we work,
in the decisions we make, and in the manner we intend to achieve our
goals. This is a manifestation of our unwavering commitment to excellence.
The stylized ripples effect symbolizes the thirteen representative sectors that
form part of the key investment areas. These areas are deemed enablers
and triggers of more employment and business opportunities around the
county – creating positive ripple effects towards inclusive growth through
expanding spheres of development action, inspiring more confidence for a
A MESSAGE FROM
y warmest greetings to the Board of Investments on the publication of your 2011
I congratulate the Board for registering an impressive year. Through your sustained efforts to
promote and generate investments and our steadfast campaign to restore transparency and
accountability in government, our country is now experiencing increased investor confidence,
evidenced by a significant boost in investments, from Php302.10 billion in 2010 to
Php368.93 billion in 2011, an impressive 22% growth.
The year has seen the BOI make strides in each of its three key functions: industry development,
investment promotion, and investment servicing. Chief among these accomplishments are the
agency’s contributions in the preparation of the Philippine Development Plan and the 2011
Investment Priorities Plan, both of which serve as our roadmap for making the Philippines
more competitive in the global economy. The Board has also identified key investments areas
that are considered enablers of job creation, organized both outbound and domestic missions
to stimulate investments, and gathered resources to develop a comprehensive research and
assistance facility for our foreign partners.
As you welcome another fiscal year, I ask that you take to heart our people’s desire for greater
transparency and good governance. May you demonstrate the same commitment as you
continue to fulfill your mandate and chart new directions. With your cooperation, I am confident
that we will be able to bring about equitable progress and lasting stability for our people.
Benigno S. Aquino iii
Republic of the Philippines
he Board of Investments (BOI) capped another year in 2011 on a bright note with
committed investments of Php369 billion, up 22% from Php302 billion in 2010. It was
able to sustain the momentum from the previous year with investors committing a
sizeable amount of capital infusion into critical sectors that serve as the country’s engines of
The manufacturing and power sectors surged to Php192.5 billion – cornering more than half
of the total investments pie. Domestic investors served as prime movers as they contributed
the bulk of investments amounting to Php345.70 billion, a 94% share, affirming their solid
confidence in the economy. Meanwhile, investments from foreign sources continued to gain
ground with Php23.2 billion, up 4% from Php22.3 billion in 2010.
The agency played a pivotal role in the preparation of the 5-year medium term Philippine
Development Plan 2011-2016, specifically on the Competitive Industry and Services Sectors.
The Plan seeks to pursue a more deliberate, focused approach with emphasis on addressing
the fundamental challenges facing the country’s business environment.
The BOI has evolved from being a regulator of foreign investments to a proactive and
responsive service-oriented agency. Its services include assisting potential investors in the
Philippines by providing them with a range of information on investment opportunities,
The Board of Investments (BOI) capped another year in 2011 on
a bright note with committed investments of Php369 billion,
up 22% from Php302 billion in 2010.
costing estimates and available supporting industries. The agency’s frontline and after-
sales services have continued to engage and persuade investors to locate and retain their
investments in the country. Its National Economic Research & Business Assistance Center
(NERBAC) directly fosters the initial phase of investments facilitation from walk- in to
phone-in counseling sessions including briefings outside of the agency’s premises. On the
other hand, its Strategic Investors Assistance Program (SIAP) – a centerpiece program for
investment promotion – was energized and strengthened towards ensuring higher quality,
trust-based working relationship between the agency and its existing investors.
Towards the end of 2011, the BOI re-engineered its organization to step up to the plate
of giving focus to industry development as a strategic approach for generating jobs and
achieving inclusive economic growth. It embarked on the task of preparing Industry
Roadmaps that sought to foster globally competitive and innovative industries. Industrial
policies were fine-tuned to make them more responsive to emerging global business needs.
In pursuit of the thrusts of the Aquino administration, the BOI registered projects aimed at
realizing inclusive growth – in which everybody – including the poorest of the poor – not
only participates in generating growth but also partakes of its benefits.
GREGORY L. DOMINGO
Chairman, Board of Investments
Secretary, Department of Trade & Industry
MESSAGE FROM THE
he BOI is re-engineering itself to ably address the demands of a highly competitive
In 2012, the BOI initiated flagship programs: modernization of the BOI to further enhance
the agency’s efficiency and responsiveness to its stakeholders and the public; the
formulation of Industry Development Roadmaps, and a focused investment promotions
Feedback and fresh perspectives from trade and investments experts and practitioners
during high level talks ranging from macroeconomics to sectoral issues have become regular
feature events for continuing education of officers and staff of the BOI.
Under the BOI Modernization Program, we continue to explore innovative ways to
accomplish tasks more effectively and efficiently. We have reviewed the application process
for investors and have simplified procedures and cut the turnaround time for registration.
Initial results of the streamlined process, applied to agribusiness, mass housing, and tourism
projects, have been very encouraging for both the agency and its clients. Also, we have
engaged our executives and staff in continuing education and capacity building activities
to help us craft and implement the industry roadmaps for optimum results. In addition, we
are also working on improving the BOI IT System to enhance the collection, monitoring, and
submission of investment projects.
We will continue to focus on investment areas that are con-
sidered “enablers”or “triggers” to provide opportunities for
balanced and equitable economic development, contribute to
modernization, foster transfer of technology, and encourage
formation of durable capital.
The formulation of Industry Development Roadmaps with government, as catalyst, and
the private sector taking the lead, is reinvigorating partnerships to chart clear paths
in growing agriculture, industry and services. The results of these partnerships will be
individual industry roadmaps and a comprehensive industry development strategy to guide
With a team willing to work harder and smarter to improve the agency’s services
collaborating constructively with our partner industry organizations, corporations and
agencies, we build the case for a more competitive Philippines.
We will continue to focus on investment areas that are considered “enabler” or “trigger”
to provide opportunities for balanced and equitable economic development, contribute to
modernization, foster transfer of technology, and encourage formation of durable capital.
For 2012, the Philippine projects economic growth at 5 to 6%, and we are confident that
we will achieve our target of sustained 7 to 8 percent per annum in the next several years.
These prospects will result from the ongoing implementation of strategies for inclusive
growth in the Philippine Development Plan 2011-2016.
Our country is on a very different footing now. With the transformational leadership of
the Aquino administration and appurtenant painstaking policy reforms, the country has
survived powerful external shocks. Critical initiatives in improving governance are now
invigorated by a political will imposed from a highly trusted and credible political leadership.
The Philippine foresees high and continuous economic growth in the years to come.
ADRiAn S. CRiSToBAL JR.
Managing Head (October - December 2011)
Board of Investments
Department of Trade & Industry
MESSAGE FROM THE
ullish investors’ sentiments on the Philippines resulted to the country’s favorable
investment performance in 2011 with the Board of Investments (BOI) posting an
unprecedented Php369 billion in investment approvals, a 22% improvement from the
Php302 billion level recorded in 2010. Buoyed by stable macroeconomic fundamentals, the
country has become a very attractive location for business. The government ensured that it
has become an enabler of business especially in attracting more capital into the country and
the continued streamlining of government transactions.
With international rating agencies and financial institutions giving satisfactory approval
and stable marks to the country especially on our financial capability to withstand external
shocks, the confidence of domestic investors alone remain very high as they continue to
infuse additional capital at an accelerated pace. Foreign investors have taken the cue from
local businessmen to bridge the disparity to more manageable levels as they have vowed to
invest more what with the expansion of existing projects, joint ventures and diversification
to other fields.
In line with promoting the development of key sectors, the BOI continues to spearhead
the annual listing of the Investment Priorities Plan (IPP). The IPP is a list of promoted areas
of investments eligible for government incentives. It is the result of various consultations
with government agencies, foreign chambers, NGOs and the private sector. The 2011 IPP
list focused on investment areas that are considered “enablers” or “triggers” for more job
creation without sacrificing the fiscal consolidation efforts of the government.
As these investments generate more opportunities and jobs, purchasing power are likewise
stepped up resulting in greater consumer demand among the populace. With government’s
all out support for industries to craft strategies and master plans to make them more
competitive with the rest of the globe, our job of making the Philippines as an investment
destination of choice continues to make headway and the entire country is bound to reap
the dividends in the years to come.
Php369 billion approval
Php23.23 billion capital share
As the country’s lead investment promotion agency, the BOI conducted outbound missions
and participated in Presidential Visits. Through these missions and, as a strategic initiative,
target companies were identified and called on for possible investment leads generation
which are expected to contribute considerably towards achieving the investment
commitment targets within the 2011-2016 period.
The agency aggressively pursued conduct of inbound missions as these provided investors
with the first-hand experience of seeing the country and knowing the vast investment
opportunities it offers. The inbound missions were from China, Japan, Korea, Spain,
United Kingdom, Finland, Germany, Singapore and Thailand and are expected to enhance
participation of foreign investors in the areas of PPP, agribusiness, renewable energy and
tourism sectors, among others.
Acknowledged as one of the crucial partners in investment promotion and generation, the
BOI conducted a series of Investment Promotion Modules designed for LGUs. With their
enthusiastic responses, we foresee the smooth establishment of Investment Promotion
Centers around the country and the expected passage of each locality’s Local Investment
The agency remains a very active member of the inter-agency committee which steers the
implementation of the Philippine Investments Promotion Plan (PIPP). The PIPP comprises the
various Investment Promotion Agencies (IPAs) of the government. This organizational structure
addresses the country’s need for an effective coordination mechanism to synchronize the
government’s investment promotion efforts. For 2011, the IPAs were able to participate in
Presidential Visits to China, US and Japan as well as other national investment fora and events.
To ramp up the competitiveness of our economy and more than hold its own amidst the
specter of external shocks, an investment promotion strategy, the Global Marketing and
Intelligence System (GMIS), was put in place not only to increase export sales but also to
spur more investment capital into the country. The marketing arm of BOI is an essential part
of the GMIS System which is a collective effort among the agencies under the newly formed
Trade and Investment Promotion Group (TIPG) to better address and synchronize trade and
investment promotion activities.
As we look forward to 2012, I am confident that the best is yet to come and there will be no
looking back because the way is to move up ahead and flourish.
CRiSTino L. PAnLiLio
Managing Head (January - September 2011)
Board of Investments
Department of Trade & Industry
2003 - 2011 (by value)
(in million Php) 0
2003 2004 2005 2006 2007 2008 2009 2010 2011
LoCAL/FoReign 2003 2004 2005 2006 2007 2008 2009 2010 2011
Grand Total 28,340 164,522 163,878 187,616 215,354 288,350 124,171 302,099 368,930
The Board of Investments (BOI) registered Php368.9 billion investments for 2011, a significant 35% increase in terms of
number of projects approved and 22% increase in growth value compared to last year’s Php302 billion.
2004 - 2011 (by number of projects)
These figures represent a renewed confidence in the reforms
instituted by the present administration and in our country’s strong
macroeconomic fundamentals. We are committed to sustaining and
increasing investments in the next few years with sharper focus on
developing industry roadmaps.
2004 2005 2006 2007 2008 2009 2010 2011
number of 2004 2005 2006 2007 2008 2009 2010 2011
Approved Projects 153 219 233 339 381 248 246 332
Investment commitments breached the year’s target with a total of 332 projects compared to 246
in 2010. These projects are expected to boost employment opportunities by 67,211 jobs once
operational, almost double last year’s 36,751 jobs.
2003 - 2011
Remarkable growth in investments came from local businesses,
generated by a larger demand from the domestic market.
Their increased stake in the economy reinforces overall investor
confidence which will attract more local and foreign infusions.
(in million Php) 0
2003 2004 2005 2006 2007 2008 2009 2010 2011
FoReign/DoMeSTiC 2003 2004 2005 2006 2007 2008 2009 2010 2011
Foreign 8,348 127,913 43,796 36,499 102,316 93,401 10,396 22,328 23,234
Domestic 19,992 36,609 120,081 151,117 113,038 194,948 113,774 279,771 345,695
2004 - 2011
We want to balance this portfolio by
attracting more investments in agriculture
and tourism in line with the Philippine
investment Priorities Plan.
(Industry Commitments in million Php)
Agriculture, Hunting and Forestry - 26,684.152 Other Community, Social
Electricity, Gas and Water Supply - 710,697.773 and Personal Service Activities - 12,575.982
Fishing - 314.698 Real Estate, Renting and Business Activities - 205,440.705
Health and Social Work - 20.500 Regional Headquarters (Book III) - 1,050.224
Hotels and Restaurant - 16,220.193 Retail Trade - 157.223
Information Technology Services - 46,901.249 SIRV Remittances -100.003
Infrastructure/Industrial Service Facilities - 159,314.915 Transport, Storage and Communication - 89,096.080
Manufacturing - 386,293.098 Wholesale and Retail Trade - 52,909.720
Mining and Quarrying - 107, 147.388
Top performing sectors that generated majority of the investments in 2011 were low cost mass housing, Php72.688 billion
with net value added 85% including raw materials such as bathroom and kitchen fixtures as well as elevators and generators.
Other high performing sectors in terms of investments were energy, with total approved investments of Php87.785 billion;
and mining, Php63.286 billion.
Other key investment commitments for the period were tourism projects, Php10.832 billion and agriculture, Php1.917 billion.
(in million Php)
Region 4 49,705.620
Region 3 82,850.864
Region 1 31,312.792
Region 7 11,874.375
Region 6 14,544.149
Region 11 38,481.517
Region 13 49,648.383
Region 2 9,332.225
Region 5 145.876
Region 10 2,688.006
Region 12 65.000
Region 8 2,355.538
Region 9 546.366
The biggest chunk of investments for the year went to Central Luzon at 22% generating Php82.851 billion.
The others were in the National Capital Region, 20%; Region 4 (Southern Luzon), 13%; Region 13 (CARAGA), 13%;
and Region 11 (Southern Mindanao), 10%.
2004 - 2011
The manufacturing sector is a proven catalyst in employment
generation. We will maximize this sector’s opportunities with a
comprehensive roadmap and milestones to market their progress
and development, along with other key sectors of the iPP.
in five thousand
Projected 2004 2005 2006 2007 2008 2009 2010 2011 grand Total
Employment 38,738 46,649 49,266 59,922 94,079 95,372 36,751 67,211 487,988
INVESTMENTS BY COUNTRY
2007-2011 (In Million Php)
Country 2007 2008 2009 2010 2011 ToTAL
SINGAPORE 42,155.055 9,906.206 3,111.461 175.498 590.767 55,938.986
NETHERLANDS 8,202.522 36,832.322 149.189 4,445.955 4,699.555 54,329.543
UNITED KINGDOM 8,524.703 23,403.563 1,924.505 260.790 203.456 34,317.017
KOREA (SOUTH), REPUBLIC OF 2,594.580 12,717.658 467.974 19.959 2,257.111 18,057.283
JAPAN 4,834.018 1,680.384 1,190.126 55.889 6,059.201 13,819.618
NORWAY 11,172.218 9.103 40.595 236.854 - 11,458.770
TAIWAN 9,701.978 301.798 - 20.756 59.303 10,083.834
MALAYSIA 7,384.340 497.676 - 431.829 - 8,313.844
U.S.A. 1,823.225 1,668.759 147.551 2,837.175 1,706.381 8,183.091
BRITISH VIRGIN ISLANDS 9.729 - 28.834 6,201.376 26.169 6,266.109
CHINA (PROC) 1,523.894 2,069.541 151.667 470.171 758.993 4,974.266
SWITZERLAND - - - 4,358.781 377.823 4,736.604
THAILAND 169.998 - 2,482.061 1,042.527 - 3,694.586
INDIA 1.366 1.031 0.795 1,475.547 292.652 1,771.391
AUSTRALIA 614.093 385.148 165.796 62.580 35.217 1,262.834
HONGKONG 929.685 162.790 58.529 33.988 21.688 1,206.680
MAURITIUS 490.560 110.400 - - - 600.960
CANADA 21.914 400.841 13.440 - 71.764 507.958
GERMANY 129.365 67.943 29.495 50.000 5.199 282.003
SPAIN - 29.316 - 43.128 - 72.444
FRANCE 14.693 17.130 3.392 6.520 6.809 48.544
CAYMAN ISLANDS 18.424 2.077 - - 17.139 37.640
COSTA RICA - - - 32.000 - 32.000
BELGIUM - - - - 27.099 27.099
ITALY 21.117 - 0.101 - 5.243 26.462
DENMARK - - 10.019 9.040 - 19.059
UNITED ARAB EMIRATES 12.968 - - - - 12.968
TURKEY 2.243 - - 8.680 - 10.923
IRELAND - 10.722 - - - 10.722
SWEDEN 3.052 - 3.793 0.400 - 7.245
QATAR - 3.518 - 2.318 - 5.836
BELARUS - - - 4.000 4.000
RUSSIA - 3.670 - - - 3.670
SAUDI ARABIA - - 2.325 - 2.325
WESTERN SAMOA - 2.220 - - - 2.220
AUSTRIA - 1.040 - - - 1.040
SLOVAKIA - 1.000 - - - 1.000
ISRAEL 0.006 - - - - 0.006
OTHERS 1,960.336 3,115.687 417.566 44.460 6,009.282 11,547.331
grand Total 102,316.084 93,401.543 10,396.890 22,328.543 23,234.852 251,677.912
In 2011, foreign investment projects approved came mostly from Japan, Php6.059 billion followed by the
Netherlands, South Korea, United States, and China.
Petron Corporation, a majority technology (IT) systems.It is hoped Oceanagold (Philippines), Inc.,
Filipino - owned company, embarks that over the next five years, the a wholly-owned Dutch company,
on a Php74.8 billion modernization project is estimated to provide gets BOI perks with their production
and conversion program that 49 percent net value added for the of dore bars and copper concentrate.
will transform the Bataan oil services they will provide and boost This Php9 billion project is expected
refinery into a full conversion the country’s cargo capacity as the to create 725 jobs.
plant. It aims to produce white operator will allow foreign and
products compliant with the Euro domestic loading and unloading of
international standards for clean goods and passengers. Commercial
fuels. The expansion project is operation of the North Harbor
expected to create 1,165 jobs. project has begun and is estimated
to initially create 1,448 jobs. Trans-Asia Renewable Energy
Corporation, sets up its 54-MW
wind power plant in San Lorenzo,
Guimaras - the first wind energy
project in Visayas. The Filipino
ATN Philippines Solar Energy owned company allocates
Group, Inc., a wholly-owned Filipino Energy Development Corporation, Php6.5 billion capital for this
firm, invests Php5.676 billion as embarks on their first 86-megawatt project that is expected to generate
a renewable energy developer of wind energy project in Burgos town, employment for 75 locals.
30MW solar energy resources. Ilocos Norte. This Php14.4 billion
project (100% Filipino owned
company) is expected supply power
output to the national grid.
Silangan Mindanao Mining Co., Inc.,
a wholly-owned subsidiary of Philex
Mining Corporation, enters into
Therma South, Inc., an Aboitiz production of copper concentrate
company, develops a 300-megawatt Alternergy Philippines Holdings, with gold and silver by-products. The
(MW) coal-fired power plant in invests Php18 billion in two (2) wind Php49.2 billion Silangan project will
Davao City. The Php24.9 billion power projects. Earmarking generate considerable employment
project would create 121 jobs, Php11.7 billion for a 90-megawatt of 2,592 during the development
and more importantly, provide the wind project in Pililla, Rizal and period and throughout the life of
much-needed additional power Php6.47 billion into a 50-MW wind the mine. In addition, roads, schools,
supply to the Mindanao grid. venture in Cavinti, Laguna. hospitals and other infrastructure
associated with the project aims
to directly benefit the residents of
Surigao del Norte.
New Carcar Manufacturing, Inc.,
Manila North Harbour Port, Inc., a 100% Filipino-owned company,
a 100% Filipino-owned company, sets aside Php10.57 billion for
redevelops Manila North Harbor in steel billet manufacturing in three
Tondo, Manila. The Php14.89 billion strategic locations-La Union, Cebu
project includes equipping the port and Davao del Norte. The project is
with new cargo-handling machinery expected to create 513 jobs.
and upgrading its information
PHILIPPINE DEVELOPMENT PLAN
The Philippine Development Plan 2011-2016 was formulated in accordance with the Constitutional provision
of Section 9, Article VII, directing the Government’s economic and planning agency to “implement a continuing
integrated and coordinated programs and policies for national development.”
Upon the assumption of President Benigno S. Aquino III of the country’s leadership, he embarked on his program of
government that is based on his “Social Contract with the Filipino People” wherein he articulated a commitment to
transformational leadership, institutional reform, economic stability and inclusive growth.
On September 2, 2010, the President issued Memorandum Circular No. 3 directing the National Economic and
Development Authority (NEDA) to coordinate the formulation of the Philippine Development Plan for 2011-2016.
In the formulation of the Plan, NEDA coordinated with all the country’s development stakeholders in giving substance
and directions to the document, based on the program of government of the Aquino administration. Exhaustive
consultations were conducted throughout the country with the participation of various government agencies, the
regional development councils, local government units, the business sector, non-government organizations, academe,
and groups of well-known experts in economic and social development.
The Social Contract envisions “a country with an organized and shared rapid expansion of our economy through a
government dedicated in honing and mobilizing our people’s skills and energies as well as the responsible harnessing
of our natural resources.” With good governance and anti-corruption as an overarching theme, the Philippine
Development Plan will effectively address poverty and create massive employment opportunities and achieve its
vision of inclusive growth. It has emerged into a comprehensive set of strategies, policies and programs and activities
within a framework of inclusive growth that will translate the administration’s development agenda for the
next six years.
The Plan centers on five key strategies. First is to boost competitiveness in the productive sectors to generate massive
employment. Second is to improve access to financing to address the evolving needs of a diverse public. Third is to
invest massively in infrastructure. Fourth is to promote transparent and responsive governance, which is emphasized
in all the chapters. And fifth, is to develop human resources through improved social services and protection.
These strategies will be supported by complementary action programs that focuses on achieving a stable
macroeconomic environment, ensuring ecological integrity, and advancing the peace process and guaranteeing
national security. To achieve growth that is inclusive and sustained, we want to ensure that the production sectors are
able to provide the needed employment and livelihood opportunities.
The Plan shall be accompanied by a Results Matrix which lists the specific programs and projects against which the
performance of the implementing agencies shall be graded. A Public Investment Program (PIP) which identifies the
budgetary requirements and their sources for these programs and projects is being finalized. The PIP will also link
the Plan particularly the Results Matrix to ensure effective implementation and monitoring of the development
initiatives therein. Consequently, the various Regional Development Offices will also roll out their individual Regional
Development Plans and Investment Programs for their respective areas.
The Philippine Development Plan provides a substantive translation of the Administration’s Social Contract. The support
of all sectors of society will be crucial in turning our aspirations for a better quality of life for all Filipinos into reality.
Source: Philippine Development Plan 2011-2016 (NEDA)
INVESTMENT PRIORITIES PLAN
It is A new Day for investments: Coherent, Consistent and Creative. The 2011 Investment Priorities Plan (IPP) was
formulated to support President Aquino’s commitment to pursue economic growth while ensuring that the poor and
the marginalized will enjoy the benefits of development as contained in his Social Contract with the Filipino People.
A key feature of the 2011 IPP is the inclusion of public-private partnership (PPP) projects to tap the private sector
in the improvement of the country’s infrastructure system. This year’s IPP is shorter, focusing on activities that will
create more jobs, enhance the delivery of basic social services, boost the country’s international competitiveness,
and address the challenges of climate change. To ensure that the investments generated will indeed contribute to
the development goals of the country, entitlement to incentives will now be dependent on net value-added, job
generation, multiplier effect and measured capacity. The 2011 IPP contains the following priority investment areas:
The Regular List, which includes thirteen (13) priority investment areas that were identified to support the current
priority programs of the government.
The export Activities, which covers manufacture of export products, services exports and activities in support of
The Mandatory List covers areas/activities where the inclusion in the IPP and/or the grant of incentives under
E.O. No. 226 is mandated by law.
The ARMM List, which covers priority investment areas that have been determined by the Regional Board of
Investments of the Autonomous Region of Muslim Mindanao (RBOI-ARMM) in accordance with E.O. No. 458.
The 2011 IPP was formulated through the concerted efforts of the IPP Inter-Agency Working Group spearheaded by
the Board of Investments, in coordination with the Regional Board of Investments - Autonomous Region of Muslim
Mindanao (RBOI-ARMM), the Office of the President – Presidential Management Staff, NEDA, and the Departments
of Finance, Agriculture, Energy, Environment and Natural Resources, Public Works and Highways, Social Welfare and
Development, Science and Technology, Tourism, and Transportation and Communications.
Other participating agencies were the Bureau of Export Trade and Promotion (BETP), Bureau of Micro, Small and
Medium Enterprise Development (BMSMED), Civil Aeronautics Board (CAB), Civil Aviation Authority of the Philippines
(CAAP), Commission on Higher Education (CHED VII-Regional Office), Construction Industry Authority of the
Philippines (CIAP), Department of Health (DOH XI-Regional Office), Department of Labor and Employment (DOLE
VII-Regional Office), Environmental Management Bureau (EMB), Film Development Council of the Philippines (FDCP),
Fiber Industry Development Authority (FIDA), Housing and Land Use Regulatory Board (HLURB), Maritime Industry
Authority (MARINA), Manila Water Sewerage System (MWSS), Mines and Geosciences Bureau (MGB), National
Commission on Culture and Arts (NCCA), National Housing Authority (NHA), National Power Corporation (NPC),
National Telecommunications Commission (NTC), National Water Resources Board (NWRB), Philippine Economic
Zone Authority (PEZA), Philippine Information Agency (PIA XI-Regional Office), Philippine Ports Authority (PPA), Power
Sector Assets and Liabilities Management (PSALM) Corporation, Philippine Retirement Authority (PRA), Public-Private
Partnership (PPP) Center, Small Business Guarantee and Finance Corporation (SBGFC), Technical Education and
Skills Development Authority (TESDA), DTI-Regional Operations and Development Group (DTI-RODG) and the Local
Government Units (LGUs).
Source: Investment Priorities Plan 2011
In 2009, the BOI, together with the country’s network of Investment Promotion Agencies (IPAs), formed an alliance
to achieve a unified platform that will help prospective investors achieve the best return on capital and ascertain the
diversification of industries in the countryside.
The alliance proved significant in the realization of a broader economic strategy, maximizing the advantages inherent
to a given location while contributing to the overall development objectives of the country. These IPAs help ensure that
investors are appropriately protected and their investments secure wherever they are located.
The IPAs share and utilize best practices in simplifying business procedures, streamlining rules and enhancing
The IPAs were created by laws enacted by the Philippine Congress and signed by the President of the Philippines. Each
IPA is a government office which registers and grants incentives to investments in their respective areas of jurisdiction
and guided by the Philippine Investment Promotion Plan (PIPP), the country’s blueprint to synchronize strategies and
achieve success in investment promotions.
List of investment Promotion Agencies
1. Board of Investments (BOI) - Industry and Investments Bldg 385 Sen. Gil Puyat Ave Makati City
Tel No. 897-6682 • Fax No. 895-3512 • Website: boi.gov.ph
2. Philippine Economic Zone Authority (PEZA) - Roxas Boulevard corner San Luis Street, Pasay City
Tel No. 551-3454 • Fax No. 891-6380 • Website: peza.gov.ph
3. Bases Conversion Development Authority (BCDA) - BCDA Corporate Center 2nd Floor, Bonifacio Technology
Center 31st St., Crescent Park West, Bonifacio Global City, Taguig 1634
Tel No. 816-6666 loc 111 • Fax No. 816-0917 • Website: bcda.gov.ph
4. Subic Bay Metropolitan Authority (SBMA) - Administration Building, Bldg. 229 Waterfront Road, Subic Bay
Freeport Zone • Tel No. (047) 252-4888 • Fax No. (047) 252-4427 • Website: sbma.com
5. Clark Development Corporation (CDC) - Bldg 2122, C.P. Garcia St., Clark Freeport Zone, Pampanga
Tel No. (045) 599-2092 / 599-4902 • Fax No. (045) 599-2507 • Website: clark.com.ph
6. Philippine Retirement Authority (PRA) - 4th floor, Citibank Center, 8741 Paseo de Roxas Makati City, Philippines
Tel. No. 848-1412 loc 101 • Fax no. 848-7106 • Website: pra.gov.ph
7. Phividec Industrial Authority (PIA) - Mindanao Container Terminal, Tagoloan, 9000 Misamis Oriental
Tel No. (088) 567-0260; 567-0135 • Website: phividecauthority.com.ph
8. Aurora Pacific Economic Zone and Freeport Authority (APECO) - Room 303/304 Languages Internationale Building,
926 A. Arnaiz Avenue (formerly Pasay Road) San Lorenzo, Makati City
Tel No. 813-4381 • Fax No. 813-3674 • Website: aurorapacific.com.ph
9. Cagayan Economic Zone Authority (CEZA) - 7th Floor, Westar Building Shaw Boulevard, Pasig City 1603
Tel No. 636-5776 • Fax No. 631-3997 • Website: ceza.gov.ph
10. Zamboanga City Special Economic Zone Authority (ZCEZA) - San Ramon, Zamboanga City 7000
Tel No. (062) 992-2012 • Fax No. 992-2012 • Website: zambofreeport.com.ph
11. Freeport Area of Bataan (FAB) - 2/F AFAB Administration Bldg., Freeport Area of Bataan,
Mariveles, Bataan 2106 • Tel No. (047) 935-4009 / (047) 935-4004 • Website: freeportareaofbataan.com
12. Tourism Infrastructure and Enterprise Zone Authority (TIEZA) - DOT Building, T.M. Kalaw Street,
Teodoro F. Valencia Circle, Ermita, Manila • Tel 524-71-41 • Fax 521-8113 • Website: tieza.com.ph
13. Regional Board of Investments of the Autonomous Region in Muslim Mindanao (RBOI-ARMM) - ORG Compound,
Cotabato City, 9600 • Tel No. (064) 421-9202 • Fax No. (064) 421-1591 • Website: rboiarmm.org
From left to right : Governor Geronimo D. Sta. Ana, Governor Oliver B. Butalid, Undersecretary Cristino L. Panlilio,
Secretary Gregory L. Domingo, Undersecretary Adrian S. Cristobal Jr., Undersecretary Merly M. Cruz, and Governor Pelagio T. Ricalde
Republic of the Philippines
CoMMiSSion on AuDiT
Commonwealth Avenue, quezon City
The Managing Head
Board of Investments
385 Sen. Gil Puyat Avenue
Pursuant to Section 2, Article IX-D of the Philippine Constitution and Section 43 of Presidential Decree No. 1445, otherwise
known as the Government Auditing Code of the Philippines, we have audited the accompanying Balance Sheet of the Board of
Investments as of December 31, 2011, and the related Statements of Income and Expenses and Cash Flows for the year then
ended. These financial statements are the responsibility of the auditee. Our responsibility is to express an opinion on these
financial statements based on our audit.
We conducted our audit in accordance with generally accepted state auditing standards. Those standards require that we
plan and perform the audit to obtain reasonable assurance that the financial statements are free of material misstatements.
Our audit included examining, on a test basis, evidences supporting the amounts and disclosures in the financial statements.
It also included assessing the accounting principles used and the significant estimates made by the Auditee, as well as
evaluating the overall financial statement presentation. We believe that our audit provides reasonable basis for our opinion.
Our audit disclosed the following:
1. The balances of the inventory accounts are doubtful/unreliable due to the unreconciled difference of
Php11,331,144.00 between the accounting records and the year-end reported inventory counts and errors
omissions in the recording of inventories caused by (a) non-recording of the issuances of Drugs and Medicines
and Medical, Dental and Laboratory Supplies (c) taking up as outright expense the purchase of supplies worth
Php2,394,938.08 instead of the recording the same as inventories; and (d) unrecorded deliveries from the
Procurement Service in the total amount of Php171,735.19 (Observation No. 3)
2. The reported balances of the Property, Plant and Equipment accounts totaling Php55,781,877.75 were doubtful/
inaccurate due to: (a) the incomplete count of PPE, non-submission of the report thereon and its non-reconciliation
with the accounting records; (b) inclusion of the value of disposed furniture and fixtures of Php1,096,167.00;
(c) inclusion of the value of unserviceable motor vehicles of Php250,000.00 which were neither disposed nor
reclassified to Other Assets account; (d) insufficient and incorrect depreciation for all the PPE accounts; and (e)
unadjusted errors in recording PPE of Php605,765.62. (Observation No. 5)
In our opinion, except for the effects on the financial statements of the matters discussed in th preceding paragraphs, the
financial statements referred to above present fairly in all material respects, the financial position of the Board of Investments
as of December 31, 2011 and the results of its operation and its cash flows for the year then ended, in accordance with
applicable laws, rules and regulations and conformity with generally accepted state accounting policies.
COMMISSION ON AUDIT
MARY S. ADeLino
State Auditor V
March 15, 2012
Board of investments (Boi) Angelica M. Cayas Ma. Corazon H. Dichosa
Industry & Investments Building Director, International Director, Industrial Policy Department
385 Sen. Gil J. Puyat Ave., Makati City Marketing Department Phone: (+632) 896.9239/897.6682
Phone: (+632) 896.8907/ 897.6682 Loc. 211
gregory L. Domingo Loc. 288 Fax : (+632) 895 3701
DTI Secretary and BOI Chairman Fax: (+632) 895.3521 E-mail : MCHDichosa@boi.gov.ph
5F Industry & Investments Building E-mail: AMCayas@boi.gov.ph
385 Sen. Gil J. Puyat Ave., Makati City evariste M. Cagatan
Phone: (+632) 890.9333/899.5518 Dennis R. Miralles Director, Infrastructure and Services
899.7450 loc. 5520 Director, Domestic Industries Department
Fax: (+632) 896 1166 Marketing Department Phone: (+632) 895.3997/897.6682
E-mail: Secretary@dti.gov.ph Phone: (+632) 896.4179/897.6682 Loc. 228
Loc. 241 Fax: (+632) 895.6617
Adrian S. Cristobal Jr. Fax: (+632) 890.9307 E-mail: EMCagatan@boi.gov.ph
Undersecretary for Industry Development E-mail: DRMiralles@boi.gov.ph
Trade & Policy Group (IDTP) Rudy B. Caña
BOI Managing Head and MAnAgeMenT Director, Manufacturing
Vice Chairman SeRViCeS gRouP Industries Department
3F DTI International Building Phone: (+632) 890.9329/897.6682
375 Sen. Gil J. Puyat Ave., Makati City efren V. Leaño Loc. 307
Phone: (+632) 890.4898/890.4891 Executive Director Fax: (+632) 897.3080
TeleFax: (+632) 895.3993 Phone: (+632) 896.5167/897.6682 E-mail: RBCana@boi.gov.ph
E-mail: ASCristobal@dti.gov.ph Locs. 322/321
Fax: (+632) 897.5334 nestor P. Arcansalin
Cristino L. Panlilio E-mail: EVLeano@boi.gov.ph Director, Resource-Based
Undersecretary for Trade & Investment Industries Department
Promotions Group (TIPG) erlinda F. Arcellana Phone: (+632) 895.3977/ 897.6682
385 Sen. Gil J. Puyat Ave., Makati City Director, Incentives Department Loc. 278
Phone: (+632) 890.9303/890.9332 Phone: (+632) 895.3568/897.6682 Fax: (+632) 896.8453
Fax: (+632) 895.3512 Loc. 280 E-mail: NPArcansalin@boi.gov.ph
E-mail: CLPanlilio@boi.gov.ph Fax: (+632) 896.8236
E-mail: EFArcellana@boi.gov.ph guillermo S. Laquindanum
Merly M. Cruz Director, Supervision and
Undersecretary for Regional Operations Bobby g. Fondevilla Monitoring Department
and Development Group Director, Finance & Administrative Phone: (+632) 890.9544/897.6682
7F New Solid Building Services Department Loc. 257
357 Sen. Gil J. Puyat Ave., Makati City Phone: (+632) 890..9325/897.6682 Fax: (+632) 895.3649
Phone: (+632) 890.4697 Loc. 218 E-mail: GSLaquindanum@boi.gov.ph
Fax: (+632) 890.4685 Fax: (+632) 890.3051
E-mail: ROG@dti.gov.ph E-mail: BGFondevilla@boi.gov.ph inVeSTMenTS
geronimo D. Sta. Ana Atty. Marjorie o. Ramos-Samaniego
Governor Director, Legal Services Department Raul V. Angeles
Tel. No. (+632) 890.9335/897.6682 Phone: (+632) 890.3172/897.6682 Executive Director
Loc. 255 Loc. 238 Phone: (+632) 890.3056/897.6682
Fax: (+632) 890.9335 Fax: (+632) 890.2151 Locs. 323/324
E-mail: GDStaana@boi.gov.ph E-mail: MORamos@boi.gov.ph Fax: (+632) 897.3079
Atty. Pelagio Tan Ricalde Rafaelito H. Taruc
Governor Director, Strategic Management Services Domingo i. Bagaporo
Phone: (+632) 897 2830 Department Director, Investment Assistance and
897.6682 Locs. 331/332 Phone: (+632) 899.8893 Services Department
Fax: (+632) 897.2830 Loc. 203 Phone: (+632) 895.3989/897.6682
E-mail: PTRicalde@boi.gov.ph E-mail: RHTaruc@boi.gov.ph Loc. 270
Fax: (+632) 896.8329
oliver B. Butalid inDuSTRY DeVeLoPMenT gRouP E-mail: DIBagaporo@boi.gov.ph
Tel. No. (+632) 896.9285 Lucita P. Reyes Ramon L. Rosales
897.6682 Locs. 330/329 Executive Director Director, Business One-Stop Shop (BOSS)
TeleFax: (+632) 896.9285 Phone: (+632) 895.3983/897.6682 Action Center
E-mail: OBButalid@boi.gov.ph Locs. 326/325 Phone: (+632) 897.2116/897.6682
Fax: (+632) 895.3978 Loc. 253
inVeSTMenT E-mail: LPReyes@boi.gov.ph Fax: (+632) 895.8322
PRoMoTionS gRouP E-mail: RLRosales@boi.gov.ph
Phone: (+632) 896.9212
897.6682 Locs. 327/328
Fax: (+632) 897.2181
Industry & Investments Building
385 Sen. Gil Puyat Avenue, Makati City, Philippines 1200
Tel. Nos.: (632) 897.6682 / (632) 890.9308 / (632) 895.3640 • www.boi.gov.ph