FINANCE Secretary Ralph G. Recto engaged in a courtesy meeting with Ambassador of Canada to the Philippines David Bruce Hartman on May 13, 2024 to strengthen bilateral ties and explore new areas of cooperation and collaboration, particularly in investment opportunities.
Ambassador Hartman emphasized the rich people-to-people ties that have long been enjoyed by both countries in the course of its 75 years of diplomatic relations, and expressed Canada’s strong interest in further deepening this partnership.
The Ambassador praised the Philippines for its “tremendous macroeconomic climate” and pro-business reform policies that have opened it up further to the global market, citing that they serve very well in positioning the Philippines as a premier investment gateway to the ASEAN region.
He underscored that the Philippines, in turn, could benefit from Canada’s membership in various global organizations and partnerships to access broader international markets.
The Ambassador also conveyed Canada’s intent to increase investments in the Philippines, particularly in physical infrastructure, agriculture, power, and clean energy.
Specifically, he expressed strong interest in investing in the Philippines’ mining industry to help the country transition from being a part of the supply chain to becoming a critical player in the value chain.
Further, both the DOF and Canadian counterparts are eager to expedite a government-to-government arrangement to facilitate Canadian support to more development projects in the Philippines.
In addition, Secretary Recto broached the possibility of pursuing a bilateral free trade agreement (FTA) with Canada, noting the progress in the ongoing negotiations thru the ASEAN-Canada FTA. He also broached the potential of becoming its demographic partner given the Philippines’ young and dynamic workforce.
Secretary Recto also noted the potential benefits for Canadian insurance companies from the Philippines’ reforms in passive income and financial intermediary taxation, which will harmonize the tax on life and health insurance to a 2% premium tax. This will promote greater uptake of insurance products.
