As global trade tensions and the introduction of artificial intelligence threaten the country’s main revenue sources — remittances and outsourcing — economists are suggesting ways to attract more foreign direct investment (FDI).
Ser Percival K. Peña-Reyes, an economist at Ateneo de Manila University, said the country needs to secure access to larger markets, including South Korea. He said free trade agreements with South Korea will help strengthen the government’s infrastructure program.
Trade talks with the United States may be delayed following the termination of the Visiting Forces Agreement, he added. Economists said free trade agreements improve resilience in the face of geopolitical shifts.