By Prince Golez
President Rodrigo Duterte has signed Republic Act No. (RA) 11647 amending the country’s foreign investments law.
RA 11647, signed on March 2, 2022, reduces the required number of direct hires for foreign companies from 50 to 15, encouraging smaller foreign investors to invest in the country.
Foreigners can invest up to 100 percent equity in domestic market enterprises in areas outside the foreign investment negative list under the new law.
The amended Foreign Investment Act also allows foreign investors to set up and have 100 percent ownership of small and medium-sized enterprises.
The new law likewise established a medium-term and long-term comprehensive and strategic Foreign Investment Promotion and Marketing Plan that is based on competitive competitive advantages, natural resources, skill and educational development, traditional linkages, and international market best practices.