By Leslie D. Venzon
MANILA, June 1 (PNA) — The creation of new Bangsamoro autonomous political entity is expected to spur the influx of more business and investments in Mindanao regions and increase their share to the country’s overall economic growth.
These potential impacts of the creation of Bangsamoro on Mindanao regions were underscored by Maria Lourdes Lim, director of National Economic and Development Authority (NEDA) Regional Office XI.
“As the security condition normalizes and economic activity resumes with vigor in the region, the intra- and interregional trade between and among the Mindanao regions, and with other regions in the country will be enhanced, in addition to foreign investors foreseen to inject fresh capital in the region,” she said in a report.
Lim noted that the improved security in the region will thus motivate more economic activities and harness the full economic potentials of Mindanao regions towards overall Philippine growth and inclusive development.
While the Bangsamoro Basic Law (BBL) is still being reviewed by Congress, the Bangsamoro Development Plan (BDP) 2015-2022 was already formulated to ensure a smooth transition.
“When the new Bangsamoro government is formed, it can immediately start delivering for the Bangsamoro people and be a working government from day one,” said the BPD primer.
Lim identified major economic sectors that will benefit most from increased business and investments, including agro-based products, retail, services and tourism as well as Halal industry and Islamic banking.
She said the retail and services sector particularly is expected to significantly contribute to achieving the goal of increasing the labor force participation rate in the region to 70 percent from 55.5 percent in 2011.
“The tourism industry in the area is also recognized as a high-potential, job-rich sector. Tourism earnings and business capital are likely to hit unprecedented levels in the coming years,” Lim added.
The NEDA official also cited the significant increase in private sector investments in recent years following the advances in the peace negotiations.
As of the third quarter of 2014, the region’s investment portfolio reached PhP3.3 billion, double from the previous year.
“Furthermore, the growth rate potentials of Mindanao regions for 2016 are expected to increase as a result of the positive economic and social effects of an increasingly normalizing Bangsamoro area brought on by the eventual passage of the BBL,” she said. (PNA)