Foreign chambers back Marcos reforms but seek predictable taxes, cheaper power

Insider Spotlight

• Foreign chambers caution against new tax measures that could hurt the Philippines’ competitiveness, urging the government to focus on implementing existing tax laws.
• Business groups renewed their push to amend the Electric Power Industry Reform Act to make electricity more reliable, affordable and sustainable.
• The JFC welcomed Marcos’ reform agenda but said the next challenge is turning policy commitments into execution.

The Joint Foreign Chambers of the Philippines (JFC) urged President Marcos to prioritize the implementation of existing tax measures and ensure any new fiscal policies do not undermine competitiveness following President Ferdinand Marcos Jr.’s fifth State of the Nation Address.

The business coalition also reiterated its support for amendments to the Electric Power Industry Reform Act (EPIRA), saying reliable and affordable electricity remains critical to sustaining long-term investment.

Tax certainty

The JFC said the government should focus on implementing reforms already in place before introducing additional tax measures.

“The JFC likewise encourages the government to prioritize the effective implementation and administration of existing tax and revenue measures, while carefully assessing the competitiveness implications of any proposed new fiscal policies,” it said in a statement on Tuesday. 

“A stable, predictable, and competitive fiscal environment is essential to sustaining investor confidence, encouraging business expansion, and supporting long-term economic growth,” it added.

Power reforms

The group also renewed its call for reforms in the power sector.

“In the energy sector, the JFC continues to support amendments to the Electric Power Industry Reform Act, together with reforms that promote reliable, affordable, and sustainable power supply,” it said.

The JFC also welcomed the administration’s continued pursuit of free trade agreements and regional economic integration, saying these efforts are critical to expanding market access, attracting high-quality investments and strengthening the Philippines’ role in regional and global value chains.

The JFC is a coalition of the American, Canadian, European, Japanese and Korean chambers of commerce, together with the Philippine Association of Multinational Companies Regional Headquarters, representing more than 2,000 member companies engaged in more than $100 billion in bilateral trade and about $30 billion in investments in the Philippines.

—Edited by Miguel R. Camus