The Asian Development Bank has approved a USD400-million policy-based loan to drive government reforms aimed at positioning the Philippines as premier investment destination in Asia and the Pacific.
The funding backs the Business Environment Strengthening with Technology (BEST) Program Subprogram 1, an initiative designed to cut red tape, streamline regulations, boost transparency, and digitize government services. The reforms target persistent bottlenecks that weigh on micro, small, and medium-sized enterprises—often the first to feel the drag of bureaucratic delays.
“The private sector is an important engine of growth and job creation,” said ADB Philippines Country Director Andrew Jeffries, stressing the bank’s commitment to helping the country build a more dynamic business landscape that can accelerate economic growth.
The Philippines continues to battle middling global rankings. In 2024, it placed 52nd out of 67 economies in the International Institute for Management Development’s World Competitiveness Ranking and 36th out of 50 in the World Bank’s Business Ready operational efficiency pillar—results that spotlight regulatory frictions.
The government is pushing faster permits and approvals, modernized regulatory frameworks, and easier navigation for investors to sharpen their competitive edge. Key upgrades include online investor guidebooks and the Philippine Business Regulations Information System, a centralized digital database rolled out by the Anti-Red Tape Authority.
The program also prioritizes driving investment into renewable energy and digital infrastructure—sectors that promise both stronger development impact and lower emissions.
BEST builds on years of ADB–Philippine collaboration in public sector modernization, supported by technical assistance to ARTA, the Department of Trade and Industry–Board of Investments, and the Department of Information and Communications Technology.
