China News, Manila, February 14th Philippine President Duterte signed two announcements on the 13th to approve the creation of two IT special economic zones covering a total area of about 30,000 square meters in the Greater Manila region. All preferential policies of the Philippine Special Economic Zone Law, with a view to attracting foreign investors in business process outsourcing, to provide more employment opportunities.
According to the Finnish news agency reported on the 14th, Duterte signed the two announcements under the recommendation of the Board of Directors of the Philippine Special Economic Zone (PEZA), respectively, designated EDSA corner North avenue2 in Diliman, Quezon City The 60,000 square meters of land is the IT Park, known as the SMCityNorthEDSA complex; the designation of the Tajigbon Nefacio Global City (BGC) is a IT special zone, which covers an area of 3010 square meters. The area is 27,000 square meters.
The Philippine Special Economic Zone Act, enacted in 1995, defines a special economic zone as a highly developed area selected by the government or an area that has the potential to develop into an industrial, tourism, entertainment, commercial, banking, investment, and financial center. The format of each special economic zone may be one or all of an industrial zone, an export processing zone, a free trade zone or a tourism/entertainment center.
The Philippine Special Economic Zone Authority encourages local government units, private landowners and commercial groups to convert their land into special economic zones and encourage foreign investment in the Philippine Special Economic Zone to enhance the Philippines' development.
According to the relevant bills, developers and industrial investors investing in special economic zones will be motivated, for example, they will be refunded a tax equivalent to 5% of total income, and companies in the special economic zone will purchase zero VAT on local goods. , allowing duty-free imports. Foreign investment in special economic zones will be allowed to own 100% of the company's shares, and can employ 5% of overseas employees, and can sell 30% of the products in the local market. Filipino investors in investment zones can sell 50% of their products in the local market.
The Philippine Special Economic Zone Administration has shown that as of November 2017, 109 Chinese companies have entered various SARs in the Philippines.