U.S. and Japan will Invest $100 Billion in the Philippines Including in Oil and Gas Exploration

PHILIPPINES Becoming an Investment Hub in Asia Pacific | $100 Billion Investment from Japan and US

The Philippines is all set to become the leading investment destination in Asia. With a solid reform agenda and unabating growth amid headwinds, the Philippines is ready to take off as a leading investment hub.
The country is eyeing around $100 billion in investment deals in the next five to 10 years from the country's trilateral summit with the United States and Japan, these would cover a range of different sectors including energy, semiconductors, infrastructure and digital economy.

Tokyo has been the nation’s most reliable development partner, with its massive development commitments in improving the Philippines railway infrastructure such as the Metro Manila Subway and the North South Commuter Railway Project. The huge two infrastructure project alone, cost more than $25 Billion which more than 80% will be financed by Japan.
On the other hand, Washington has remained committed to expanding its investments in the semiconductor and IT-BPO sector, both of which have been massive drivers of year-on-year growth. The sector contributes more than 10% to the country’s economy last year.
Another potential US investment into the country from Seattle-based Ultra Safe Nuclear Corporation will be the potential development of the small modular nuclear power plants in the Philippines. As the United States is keen to develop the country’s energy sector.
The envoy said a joint exploration within the Philippine exclusive economic zone in the South China Sea is also expected as Philippine companies that have been given concessions in the area have been seeking potential partners in the US for a joint venture in the exploration of energy sources.

The US gross domestic product (GDP) hit $27.3 trillion last year, while Japan’s was $4.2 trillion, two of the world most developed economy. The Philippines, meanwhile, is still in transition to become an upper middle-income country by 2026 with a 21.05-trillion pesos economy last year. In the other hand, China’s GDP, the Philippines’ second-largest export market, and largest source of imports, hit $17.5 trillion in 2023.


Join this channel to get access to perks:
   / @aseananalytics