Amends Retail Trade Liberalization Act to Attract Foreign Investment
19 May 2021
On 19 May 2021, the Senate of the Philippines approved amendments to the Retail Trade Liberalization Act, or Senate Bill 1840. The minimum paid-up capital requirements for foreign retail enterprises have been reduced from $2.5 million to $1 million. The bill also requires foreign retailers to maintain at least PHP 50 million ($1 million) in paid-up capital in the Philippines and to have a stock inventory of locally made products. To protect micro and small enterprises, the bill requires foreign retailers who wish to establish more than one physical store in the country to invest at least PHP 25 million ($524,000) for each store. The Senate Bill removes the pre-qualification requirements for foreign retailers to have been engaged in the retailing industry for the past five years, or to have at least five retailing branches located anywhere worldwide.
-
Type:
-
Entry and establishment (Ownership and control)
-
Industry:
-
Services (Wholesale and retail trade)
-
Sources:
