Rapid Increase in Employment: Record 51% Job Expansion Over a Five-Month Period, according to Peza
Laissez-Fair Phil Zone Boom: A 51.39% Jump in Jobs Puts PEZA in the Fast Lane
The Philippine Economic Zone Authority (PEZA) is cruising at high speed, thanks to a staggering 51.39% surge in job creation from January to May 2025. This astronomical leap is a direct consequence of PEZA's unrelenting pursuit of ecozone development and savvy investments across key sectors.
At a recent board meeting on May 21, 2025, PEZA big chief Tereso Panga threw some serious props to the Philippines' special economic zones, credits these zones for bolstering investor confidence in the nation's growing job market. "We're seriously amping up the climate for business, y'all," Panga declared in a fiery statement. "This consistent job creation growth validates investor faith in the Philippine ecozone program, particularly in strategic and emerging locales."
During the first five months, PEZA gave the green light to 102 new and expansion projects worth a whopping P66.34 billion (around $1.1 billion US dollars), recording an impressive 80.14% increase in investments over the same period last year. These projects aren't foolin' around—they're anticipated to generate close to 29,000 hot jobs and over $1 billion in export earnings.
The food and beverage sector gobbled up a gargantuan 43.74% of the investments, followed closely by ecozone development (32.52%) and IT-business process management (7.59%). Other active sectors included electronics and automotive manufacturing.
South Korea raised the bar as the top source of investments, making up 16.12% of total approvals, thanks to the South Korea-Philippines Free Trade Agreement recently sewn up. The United States, China, Japan, and the Netherlands remained key players in the investment game.
PEZA is championing the "China+1+1" approach, urging companies with operations in China to give the Philippines a look-see as a regional base. This tactic has sparked a flurry of inquiries from international firms. Panga mentioned ongoing chats with Malaysian and Indonesian firms aiming to set up shop in the country.
Despite some global trade bumps, such as looming U.S. tariff negotiations, PEZA keeps a sunny disposition. The passage of the Create More Act earlier this year amped up the Philippines' competitiveness through performance-based fiscal incentives, fueling more foreign and domestic investments.
To maintain a growth streak, PEZA is embracing digital transformation, smoothing out approval processes, and growing new ecozones, specifically in up-and-coming regions like Palawan. "Watch this space, 'cause we're aiming to hit our 2025 targets and make the Philippines a leading manufacturing and innovation hub in Asia," Panga concluded.
Note: The Philippine job market saw a 4.7% decrease in job creation during the first quarter of 2025 compared to the same period last year, with foreign investments plunging by 82.0% year-over-year. The sectors receiving the most foreign investments in the first quarter were real estate, manufacturing, and administrative and support services, with South Korea, the United States, and China being the top investors.
- The growth in the Philippine job market, particularly in the special economic zones, has caught the attention of investors, as seen by the significant increase in investments in sectors like food and beverage, ecozone development, IT-business process management, electronics, and automotive manufacturing.
- The Philippine Economic Zone Authority (PEZA) is actively courting businesses from various countries, such as South Korea, the United States, China, Japan, and the Netherlands, as well as countries like Malaysia and Indonesia, to invest in the Philippines, in line with the "China+1+1" approach.
- To sustain the current growth trend, PEZA is focusing on digital transformation, streamlining approval processes, and expanding ecozones, especially in emerging regions like Palawan, with the aim of making the Philippines a leading manufacturing and innovation hub in Asia.
