About USD120 million worth of agreements that will be signed between the Philippines and Saudi Arabia will create jobs for more than 15,000 Filipinos, President Ferdinand R. Marcos Jr. announced Thursday.

Marcos made the statement as he engaged Saudi Arabia’s top business leaders in a discussion during a roundtable meeting in Riyadh on Thursday night (Manila time).

“With an estimated value of over USD120 million, the agreements that will be signed today are set to benefit more than 15,000 Filipinos in training and employment opportunities across a wide range of professions in the construction industry,” he said.

The President did not elaborate on the deals that will be sealed between the two countries.

‘High growth trajectory’

Marcos said his meeting with Saudi’s top business leaders comes at a time when the Philippine economy “continues its high growth trajectory,” citing the 7.6 percent gross domestic product registered in 2022, which is deemed “the fastest rate of growth recorded by the Philippines since 1976.”

He also noted that foreign direct investments posted USD9.2 billion in net inflows last year.

The country’s financial and banking sectors are likewise “healthy and robust,” he said, adding that the country’s credit rating continues to receive “stable and positive” investment grades.

“Indeed, the Philippines’ economic achievements in the past year reflect the sustained efforts of this administration, supported by the private sector, in fostering an enabling business environment, cutting red tape, lowering the cost of doing business, and improving competitiveness,” Marcos said.

“I assure you that the Philippine government is steadfast in its commitment to continuously support current and prospective Saudi investors.”

‘Greater and closer’ partnerships

Marcos said he is looking forward to building “greater and closer” partnerships with Saudi Arabia, given that it is home to “the largest population of overseas Filipinos in the world.”

Saudi Arabia accommodates about 1 million overseas Filipino workers (OFWs), as well as the largest community of Filipino professionals in such industries as engineering, architecture, and health care.

“We also stand ready to welcome you to our tropical country so you may personally see what a globally competitive Philippines can offer,” Marcos said, citing several laws that help open the Philippine economy to more foreign investments.

He said the Foreign Investments Act, the Retail Trade Liberalization Act, the Public Services Act, and the Renewable Energy Act aim to encourage foreign investors to do business in telecommunications, port operations, transportation, and clean energy, among others.

He added that the Corporate Recovery and Tax Incentives for Enterprises (CREATE) Act enables foreign investors to enjoy fiscal incentives.

“I urge you to further engage with my Economic Team to learn more about such benefits,” Marcos said. “We hope to see all of you to visit the Philippines, to see what the opportunities are and for us as well, for our part in the Philippines, to bring our teams to the Kingdom and further we already have a very strong and very long-standing people-to-people relationship, which can serve as a very good foundation for any future endeavors between our two countries.”

Exploring new businesses

The President expressed optimism that the Philippines and Saudi Arabia would strengthen their ties not just in trade but also in other sectors, such as telecommunications, health care, energy, and agriculture.

He emphasized that forging a closer partnership would result in “further growth, further strengthening of our relationships, and a better future for both our countries.”

“We should not limit ourselves alone to the labor market. We should also explore the new businesses that have come up since the end of the pandemic economy,” he said.

He also enticed Saudi Arabia’s business leaders to invest in the Maharlika Investment Fund, the Philippines’ first-ever sovereign investment fund designed to drive long-term economic development through increased investments in high-impact sectors.

“We look forward to benefiting not just from Saudi investments, but also from the Kingdom’s extensive experience in managing such funds,” Marcos said.

Marcos is currently in Riyadh to attend the first Association of Southeast Asian Nations – Gulf Cooperation Council (ASEAN-GCC) Summit hosted by Saudi Arabia. (PNA)

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