Business investors from the United Arab Emirates (UAE), involved in the hotel industry, have shown interest to invest in the Philippines. The positive response came after the Philippines government announced lucrative incentives.
This announcement was made by Tourism Assistant Secretary, Frederick Alegre, who is now trying to put up a Philippine Tourism Assistance office in UAE to facilitate interested investors to take advantage of the Southeast Asian country's fast growing economy.
Alegre further said that many investors from the UAE are now considering investing in Philippines after the Tourism Infrastructure and Enterprise Zone Authority approved incentives for Tourism Enterprise Zones.
The Philippines' tax agency also said that the incentives for tourism enterprise zones will provide qualified investors six-year tax holiday that may be extended for six more years. The incentives include five percent preferential tax on gross income, value added tax exemption and excise tax good imported by TIEZA-registered activities.
The Tourism agency did not name the group of investor but said that they are interested in both the hotel and adventure tourism sector activities.
The Tourism agency also said that they are working to revive a tourism program called Home a Friend Project targeting the Filipino-American market in the US.
Moreover, the Philippine government is also targeting one million Chinese tourists a year as a result of the growing diplomatic relations between the two countries.
The Philippine government is now pushing the tourism industry because this is one of the sectors which have the capability to generate jobs the countryside.