The competition for regional influence among larger economies in Asia will bode well for the Philippines, as regional powers are seen fighting over infrastructure investment opportunities in the country.
BMI Research, the think-tank arm of the Fitch Group, said the Philippine infrastructure sector will continue be a key beneficiary as China, Japan and other regional powers compete for economic and political influence through pledges of development.
“Competition between China, Japan and other regional powers for economic and political influence will provide a boost to the Philippines’ infrastructure sector, as countries promise billions of dollars in development aid, preferential financing and private investment,” BMI said.
The latest development came last week as Japanese Prime Minister Shinzo Abe pledged ¥1 trillion (P434 billion, $8.7 billion) in development assistance and private investment in the Philippines over the next five years while on an official visit to the country.
This comes just three months after President Duterte signed $24 billion worth of infrastructure and financing deals with Chinese companies after a state visit to Beijing where he famously declared his country’s “separation” from the United States,” BMI
added.