Philippines courts Japanese investors with growth, reform pitch

The Philippines has reaffirmed its commitment to being a trusted and strategic investment partner for Japan during a high-level meeting with one of the country’s most influential economic organizations.

Finance Secretary Ralph G. Recto led the Philippine delegation in assuring the Kansai Economic Federation (Kankeiren) that the Philippines offers the “right place, at the right time, with the right partners, and the right opportunities to win big.”

The roundtable discussion with Kankeiren’s Executive Committee, chaired by Masayoshi Matsumoto, took place on September 11, 2025, in Osaka, Japan.

Kankeiren represents around 1,300 members, including Japan’s top conglomerates and SMEs across advanced manufacturing, electronics, infrastructure, energy, finance, and digital innovation.

“We are very happy and proud to be contributing to the economy of the Philippines,” Chairman Matsumoto said during the engagement.

The courtesy meeting underscored the Philippine government’s intent to deepen economic ties with Kansai-based firms and attract more investments.

The Philippine delegation also included DEPDev Secretary Arsenio M. Balisacan, DTI Secretary Ma. Cristina A. Roque, DOE Secretary Sharon S. Garin, and top officials from DBM, DPWH, DOTr, and BSP.

Secretary Recto described Japan as one of the Philippines’ strongest and longest-standing economic allies, noting the country’s two “A-” credit ratings from major Japanese agencies as proof of confidence in Philippine fiscal policy.

“This is your vote of confidence in our fiscal management, our investment climate, and our growth trajectory — and we intend to keep earning it,” Recto said.

He emphasized the government’s sweeping reforms to improve the ease of doing business and make the Philippines a more attractive destination for foreign capital.

One key reform is the CREATE MORE Act, which enhances the country’s fiscal and non-fiscal incentive packages to global standards.

The law also addresses a key concern of Japanese exporters by exempting export-oriented enterprises from value-added tax.

Recto also highlighted the Philippines as ASEAN’s fastest-growing digital economy, the world’s second-largest hub for services delivery, and a global leader in shipbuilding.

“We make great ships that carry economies forward,” he said, referencing the country’s global shipbuilding capabilities.

He stressed the Philippines’ demographic advantage, citing its median age of 25 years, and proposed a complementary partnership with Japan’s aging population.

“Paired with Japan’s median age of 49, together we can form a powerful demographic partnership: your capital and technology, our talent and market,” Recto said.

The delegation is in Osaka to attend the Philippines-Japan High-Level Joint Committee Meeting on Infrastructure Development and Economic Cooperation.

The meeting, co-led by Dr. Mori Masafumi, Special Advisor to the Prime Minister of Japan, will assess progress on major infrastructure projects financed by Japan.

In addition to the committee meeting, the Philippine delegation is holding one-on-one sessions with top Japanese investors and hosting a Philippine Economic Briefing.

These high-level engagements aim to secure more Japanese financing for infrastructure and attract both new investments and the expansion of existing Japanese businesses in the Philippines.