Dubai’s DP World plans to develop a 50-100 hectare economic zone with an integrated seaport to introduce its latest logistics facilities and solutions to the Philippines, the Philippines Economic Zone Authority (PEZA) said.
PEZA Managing Director Charito B. Plaza unveiled DP World’s expansion plan at the first-ever ASEAN Global Business Forum (GBF) in Dubai. Plaza joined the Philippine government delegation to the United Arab Emirates led by DTI Secretary Ramon Lopez, along with his Deputy Secretary Abdulgani Macatoman, for a series of engagements with UAE ecozone investors and networking. business at the ASEAN Global Business Forum (GBF) in Dubai. Besides Secretary Lopez, the opening day of the very first GBF ASEAN in Dubai also featured DA Secretary William Dar, DOST Secretary Fortunato de la Peña and Ayannah Fintech Founder / CEO Miguel Perez among the keynote speakers at the forum. , and where they all made a showcase of trade and investment opportunities as well as innovation / technology development in the Philippines for UAE and GCC investors.
During the event, Plaza hosted meetings with some of the biggest Emirati companies such as DP World, Dubai Bank, Emirates and Lootah Group. The groups have pledged to visit PEZA as soon as the COVID travel restriction is lifted.
“Given the expansion of their pipelines in the ASEAN FTA, these global industry players are considering further expansion plans in the Philippines to meet the needs of the domestic market and as a hub for regional operations, ”Plaza said.
On the occasion of the DP World meeting, Plaza invited key business leaders to expand in the Philippines by bringing their pioneer of ‘virgin hyperloop’ rapid transport of people and goods, which can cut commute time from Manila. in Mindanao at 1 hour. DP’s pioneering “virgin hyperloop” is powered entirely by solar energy. Hyperloop-activated transportation system can move cargoes at the speed of flight and closer to the cost of trucking.
DP World is an Emirati multinational logistics company based in Dubai, United Arab Emirates. It specializes in freight logistics, port terminal operations, maritime services and free zones.
In addition, PEZA has signed a Memorandum of Understanding with the AlHuda Center for Islamic Banking and Economics (CIBE) to promote Islamic banking and finance in the Philippines. Plaza as the guest of honor of CIBE (with the mayor of Sultan Kudarat, Datu Pax Ali Mangudadatu) addressed various foreign delegations during the 10th World Islamic Microfinance Forum.
Through its previous MoU with the BSP, PEZA is co-promoting Sharia-compliant funds and investments to be able to attract Arab / GCC investors to the country and as an alternative source of funding (i.e. Soukok) for ecozone projects. In response to this, the Islamic Bank of Dubai is determined to acquire universal bank status in the Philippines and help the government gain access to the GCC sovereign wealth fund and the $ 2.9 trillion global Islamic financial industry (from of 2019).
As for Emirates, Plaza said the airline will explore the development / management of airport facilities and increase the number of weekly flights to Manila / Dubai for the particular benefit of OFWs in the Middle East. While Lootah will engage in the production of LNG and biofuel to contribute to the country’s pursuit of cleaner, quality and more affordable energy. The ASEAN GBF in Dubai is pushing for the transition of participating economies to renewables and the adoption of emerging alternative energy sources such as hydrogen, ammonia and battery storage.
The Philippine Center for International Trade Missions and Exhibitions or CITEM headed by Executive Director Rosvi Gaetos, who is also the project manager for PH Expo Dubai, and the Tourism Promotions Board (TPB) hosted the forum’s networking cocktail and the visit of the government delegation to the Philippine pavilion at Expo 2020 Dubai.
Called Expo 2020 Dubai (Expo), it is the first Expo to be held in the Middle East (ME), Africa and South Asia. With the theme “Connecting Minds and Creating the Future”, the exhibition is expected to inspire people and governments through its sub-themes: sustainability, mobility and opportunity. The Philippines, in addition to tapping into the huge Arab market – which is also home to OFW’s largest contingent – will benefit the most from their participation in the exhibition. As with other global exhibitions, the Dubai Exhibition showcases the latest innovations and technologies, as well as emerging business opportunities from around the world.
As for the host country of the exhibition this year, the United Arab Emirates are the 2nd richest Arab country while Dubai is considered the 5th largest city in the world. As for the ASEAN GBF in Dubai, it aims to intensify the UAE-ASEAN economic cooperation. According to the Dubai Chamber of Commerce, the United Arab Emirates accounted for 74% of GCC’s $ 13.4 billion investment in ASEAN markets over the past five years. ASEAN is a strategic market for global industry players being the 5th largest economy / FTA in the world.
Under the leadership of DG Plaza and fueled by its “transition roadmap” and the President’s independent foreign policy, PEZA participated for the 3rd time in this investment mission to the UAE. By far, PEZA has registered 21 Arab locators with a total investment capital of 1.75 billion pesos. However, 7 of these large Arab investors arrived under the Duterte administration. In addition, PEZA’s investment missions to Saudi Arabia, UAE and Qatar in 2017 and 2019 led by DG Plaza paved the way for retail giant ME Lulu’s entry last year. hyparmarket-logistics group and the significant expansion of DP World for a barge dedicated to the ecozone. terminal (in partnership with ATI), as well as serious avenues for Arab FDI in the halal food, agrifood, IT and fintech services, tourism, pharmacy, renewable energies and LNG sectors .
For the Dubai and Abu Dhabi tours, PEZA and DTI-PTIC under the leadership of Business Advisor Charmaine Yalong) also took the opportunity to participate in the G2G and G2B meetings of the following people: Exhibition Pavilion Managers from Saudi Arabia, the United Arab Emirates and the United States; Director of the Malaysia Investment Development Authority and Vice Chairman of the Dubai Chamber of Commerce for the PEZA Global Biz featuring Asia-Pacific scheduled for February 2022; Lulu senior executives for consultation on their ecozone operations and expansion; President of Maxtube Saje for real estate development projects; Founder of the Prime group for capacity building on halal certification and the creation of geoscience laboratories in ecozones; and, senior government officials from the Islamic Bank of Abu Dhabi, Dubai Airports and Masdar for benchmarking FDI facilitation, project finance and infrastructure development (especially in logistics spaces , renewable / clean energy and innovation).
By leveraging the abundant liquidity of the GCC countries and their growing appetite for offshore (non-oil) investment, we hope to attract more FDI from the UAE and ME in general given the growing domestic market and consumption. of Philippine oil and the continued strength of the ASEAN trade bloc. According to the UNCTAD report, over the past 10 years, there has been a dramatic increase in FDI from MOE to Malaysia, Singapore, Brunei and Indonesia. We can capitalize on the growing flow of Arab investments in ASEAN and channel a large part of its FDI to the Philippines since we are the 3rd in terms of Muslim population among the member economies (after Malaysia and Indonesia), and the 3rd largest English speaking population in the world.
PEZA’s aggressive investment promotions through its regular Global Biz and participation in key missions are essential to attract FDI in order to generate more jobs, exports and other economic opportunities that will accelerate our reprise. Despite the pandemic, PEZA approved a total of 62.7 billion pesos from January to October of this year. This includes the 33.6 billion pesos of foreign investment, which accounts for the largest part of the country’s total FDI, as approved by all investment promotion agencies for the same period.
Overall, the Philippines posted 7.1% GDP growth in Q3 2021, which is the fastest in the region. According to DG Plaza, “As the country is on the verge of recovery this year, together we will emerge stronger from this crisis and regain our status as one of the most dynamic economies in the region. “
In a Nov. 18 report, Goldman Sachs Economics Research predicted the Philippines’ gross domestic product (GDP) growth to reach 7.3%, within the government’s target of 7-9% for 2021.
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