What is the general policy of the government for foreign investments?

The government recognizes the pivotal role of private sector investments and, thereby, commits to continuously enhance the business climate. Foreign investments are encouraged to fill in capital gaps, help provide employment, increase production, and provide a base for the overall development of the economy. Investment rules and regulations have thus been liberalized to facilitate entry of foreign investments.

RIA is a process that is part of the broader regulation making and review processes of the departments. The RIA process promotes assessment of the impacts of a regulation with proper methodology, including cost-benefit analysis and stakeholder consultation to ensure that the regulation is effective and efficient in achieving policy objectives while minimising negative effects on stakeholders affected.

Preliminary Impact Assessment (PIA)

The Preliminary Impact Assessment (PIA) is the first stage in assessing the potential impacts of a regulatory proposal on business, government and community and helps in identifying whether a Regulatory Impact Statement (RIS) is required.

Regulatory Impact Statement (RIS)

A Regulatory Impact Statement (RIS) is the second stage of impact assessment in the regulatory development and review process. Under the initial scope of the Regulatory Impact Assessment (RIA) system, a RIS only needs to be prepared where the Preliminary Assessment Statement (PIA) finds that the regulatory proposal is likely to impose a significant impact on business.

Regulatory Assessment Summary

The Regulatory Assessment Summary (RAS) is attached to the regulatory proposal for review by the Departmental RIA Committee, Department of Finance (DOF) and President’s Office (to be confirmed) when seeking approval of the regulation.

Regulatory Impact Assessment (RIA) Pilot Project

Briefing for Provincial RIA Seminars - Davao and Cebu July 2012 A well functioning regulatory system is an essential component of a modern society. It complements sound fiscal and macro-economic policies. The Philippine Government seeks to strengthen the business climate and improve the competitiveness of the Philippines economy by putting in place a business-enabling regulatory environment that supports doing business in the Philippines. A priority is to reduce and prevent the ‘red tape’ burden (from unnecessary/ excessive regulation) as it adds to the cost of compliance by individuals and business, and of enforcement by government. This requires better consideration of the purpose, economic impacts and compliance costs of regulations. Through a technical assistance program under the PHI Strengthening Institutions for an Improved Investment Climate with the Philippine Government, the Asian Development Bank (ADB) is assisting the implementation of a Regulatory Impact Assessment (RIA) regime across Departments.