MANILA — The country’s chief economist sees the need for the Philippines to explore more free trade agreements (FTAs) with the United States (US) to boost trade and investment ties between the two countries.
“Even though we already have a Trade and Investment Framework Agreement with the US, it is still important to establish an FTA to gain access for more exports from the Philippines to the US market,” National Economic and Development Authority (NEDA) Director-General and Socioeconomic Planning Secretary Ernesto M. Pernia said Wednesday.
Pernia highlighted the intention of the Philippines to keep its current trade with the US in positive territory and further improve trade between both countries following upbeat trade performance in 2017.
“We have a positive trade balance with the US, and we want to keep it that way,” he said.
“Now is an opportune time to strengthen ties with our foreign partners,” Pernia added, emphasizing the recovery of global trade as an opportunity for Philippine exports to grow.
Philippine exports to the US reached USD8.5 billion, while imports registered USD6.4 billion from January to November last year.
The NEDA chief further said discussing and exploring FTAs with the US is also imperative in fostering investment opportunities.
He identified food production, agriculture, renewable energy, and services as sectors that can be further explored as trade and investment opportunities between the two countries.
Investment commitments of the US reached PHP5.5 billion in the first three quarters of 2017, focusing mainly on administrative and support activities and manufacturing.
Pernia further said opening up more sectors to foreign investments and amending the Public Service Act to engender competition and improve information communications technology infrastructure, would open more trade opportunities in education, telecommunications, transportation and construction. (Leslie Gatpolintan/PNA)
