Corruption Probe as a Catalyst for Long-Term Investment Confidence
Frederick Go, Special Assistant to the President for Investment and Economic Affairs (SAPIEA), says the recent flood-control controversy and the accompanying corruption investigations should not be viewed as a setback for foreign investments. Instead, he frames the move as a necessary, long-term effort to strengthen the country’s investment climate. In a Palace briefing, Go emphasized that the anti-corruption campaign under President Ferdinand Marcos Jr. demonstrates swiftness and decisiveness—traits investors expect when assessing risk and reliability.
Short-Term Noise, Long-Term Benefits
Go argued that the negative sentiment surrounding the investigations is overstated. He contends that addressing corrupt practices will ultimately allow the government to reallocate limited resources toward projects with higher growth and employment multipliers. “The effect of this is that the budget, and we already see it now, will be more efficiently spent and allocated on more productive programs which will benefit the country and our people,” he said.
By seizing the moment to reform budgeting and project selection, Go suggested that the economy could experience a stronger multiplier effect from public works, potentially resulting in larger job creation and more robust economic activity over time. He acknowledged that short-term headlines may reflect a temporary disruption, but he underscored a longer horizon where transparent governance translates into steadier investment inflows.
Transparency, Accountability as Economic Tools
Go highlighted the administration’s steps to bolster governance as a signal to markets. He pointed to the formation of an independent commission and the appointment of a high-caliber Ombudsman as demonstrations of serious intent to fix systemic issues. From his vantage point, such reforms reduce the perceived risk of doing business in the Philippines and foster a more predictable regulatory environment.
Policy Frameworks Aimed at Cutting Red Tape
The administration has pursued policy measures designed to simplify procedures and attract investment. Go cited initiatives like the CREATE More Act, the PPP (Public-Private Partnership) code, and a green lane for strategic investments as concrete responses to concerns about corruption and bureaucratic red tape. These programs, he argued, are crafted to streamline approvals, enhance transparency, and ensure that capital is directed toward projects with the greatest impact on growth and employment.
International Assessments and Domestic Reforms
Go noted a point of contrast with international perspectives. The U.S. State Department’s 2025 Investment Climate report labeled corruption as a pervasive barrier to foreign investment in the Philippines. He framed this assessment as a rallying call for reforms rather than a verdict on the country’s potential. By accelerating governance reforms and delivering tangible results through the anti-corruption drive, Go suggested the government can convert a reputational challenge into a competitive advantage.
Looking Ahead
In Go’s view, turning a short-term challenge into long-term opportunity requires disciplined policy execution and continued accountability. The administration’s breakthrough in appointing credible officials and enforcing transparency, he argued, will increase investor confidence, encourage capital formation, and support jobs growth. The overarching message is that the anti-corruption campaign is not a drag on investments but a strategic repositioning that strengthens the Philippines’ appeal to international capital and local entrepreneurs alike.
