Marcos to deepen economic reforms to attract investors from South Korea

By Erika Mae P. Sinaking, Reporter

PRESIDENT Ferdinand R. Marcos, Jr. said on Wednesday that he will modernize the investment process and make the rules more predictable, assuring the South Korean business community of impending reforms designed to reduce the cost of doing business and enhance the Philippines’ competitiveness. 

Speaking at the Philippines-Korea Business Forum 2026 in Pasay City, Mr. Marcos highlighted the signing of key agreements between Philippine and South Korean firms involved in shipbuilding, energy, and aerospace.

The forum was convened during the official visit of South Korean President Lee Jae Myung.

Mr. Marcos said the government is actively dismantling systemic hurdles to attract high-impact foreign direct investment, particularly from strategic partners like South Korea.

“This administration remains persistent in its commitment to meaningful reform. We are eradicating bureaucratic barriers, reducing the cost of doing business, and boosting our competitiveness in the global arena,” Mr. Marcos said during the livestreamed business forum.

He singled out the Create More Act as opening opportunities to larger investments, noting that the law supports qualified projects that invest at least P50 billion or create at least 10,000 jobs.

Mr. Marcos also cited the Capital Markets Efficiency Promotion Act, which lowered the stock transaction tax from 0.6% to 0.1% to make equity investment more accessible.

He added that amendments to the Foreign Investments Act and the Retail Trade Liberalization Act have significantly lowered capital requirements for startups and foreign retailers, with the latter dropping from $2.5 million to P25 million to foster healthier competition.

“These measures form a coherent strategy to create an economy that is dynamic, that is inclusive and resilient,” Mr. Marcos added, noting that Executive Order No. 18 also established “green lanes” to streamline permits and approvals for strategic, high-impact projects.

The forum was marked by the signing of memoranda of understanding and agreements covering shipbuilding, nuclear energy, aerospace, critical minerals, supply chain, and health and wellness. These deals are expected to develop into partnerships that will generate infrastructure projects and employment, according to Mr. Marcos.

For his part, Mr. Lee said the Philippines is a vital partner in shaping the future of the Indo-Pacific region. He said that the three key directions for future bilateral cooperation are manufacturing resilience, energy sustainability, and infrastructure modernization.

“Based on these complementary industrial structures, our two nations can generate substantial synergy,” Mr. Lee said. 

He said that while the Philippines possesses essential minerals like nickel and cobalt, South Korea offers advanced manufacturing technologies in semiconductors and electronics. He also stressed the importance of moving toward “manufacturing AI” to boost productivity and build next-generation industrial models.

Energy was also a focal point, with Mr. Lee noting the Philippines’ aim to introduce commercial nuclear power by 2032.

“By combining Korea’s world-class nuclear technology and clean energy capabilities with these efforts, our two nations can build a stable and eco-friendly energy system together,” he said.

Meanwhile, Jin Roy Ryu, chairman of the Federation of Korean Industries, said Korean companies are the second-largest investors in the Philippines and are “pursuing their own Philippine dream.”

“The Philippines possess exceptional human resources and a strategic position as a supply chain hub within the ASEAN region. Korea, for its part, has world-class capabilities in semiconductors and advanced manufacturing,” Mr. Ryu in his speech.

He expressed confidence that South Korea can serve as an ideal partner for major infrastructure projects, including railways and ports, leveraging its technological expertise.