By Kris M. Crismundo
MANILA, Aug 31 (PNA) — With less than a year for the 16th Congress to pass and amend laws, the Joint Foreign Chamber of the Philippines (JFC) is doing last-minute push to the legislative branch to liberalize the economy for foreign investors.
In a statement, JFC said it urged both Senate and the House of the Representative to approve Foreign Investment Negative List (FINL) Liberalization Act and Foreign Investment Act.
The FINL Liberalization Act aims to remove restrictions on adjustment companies, lending companies, financing companies, and investment houses.
The JFC noted that the Philippines has done same initiatives before as the country remove restrictions on foreign equity in banking and financial sector.
“It would facilitate entry of new investments through foreign equity and trade liberalization,” the business group added.
On the other hand, Foreign Investment Act eyes to relax regulations in foreign investment employment and reduce minimum paid-in capital for foreign equity.
Currently, the two bills are under the Technical Working Group (TWG) deliberation in Senate Economic Affairs Committee while they are still pending in House Trade Committee.
“The JFC sent a letter to Senate President [Franklin] Drilon to recommend passage of both bills, considering the very limited time left in the 16th Congress. Letter has also been sent to House Trade Chair Representative Mark Villar to request for hearing on the bills,” JFC said.
“Aside from amendments to the restrictive provisions in to the Constitution, there are amendments to individual laws which restrict foreign equity introduced in the current Congress,” it added.
The JFC is composed of local arms of overseas business chambers of America, Australia-New Zealand, Canada, Europe, Japan, Korea as well as the Philippine Association of Multinational Companies Regional Headquarters.
JFC represents 3,000 member companies trading more than US$ 230 billion with the Philippines and investing some US$ 30 billion in the local market. (PNA)