NINETEENTH CONGRESS  
) 
REPUBLIC OF THE PHILIPPINES ) 
First Regular Session  
 
) 
HOUSE OF REPRESENTATIVES 
Introduced by Representative Rufus B. Rodriguez 
House Bill No.  _____ 
EXPLANATORY NOTE 
It is internationally recognized that foreign direct investments (FDI) is imperative both 
for developed and developing economies. Benefits from FDI can be seen across the spectrum 
of activities not only with respect to investible resources but its corresponding capital 
formation. FDI drives economic productivity; create jobs, raises income levels, transfers 
production technology, innovative capacity as well as creating access to international 
marketing networks. 
The Philippine Government encourages foreign and local investments. This is because 
it generates employment opportunities, boosts economic development, increases financial 
resources, increase exports by raising efficiency, and enhances marketing opportunities. In 
fact, the government has launched investment incentives programs administered by thirteen 
(13) investment promotion agencies (IPAs). IPAs may be defined as government entities
created by law, executive order, decree or other issuance for the purpose of attracting
domestic and foreign direct investment through the administration of their respective fiscal and
non-fiscal incentives; and, exercise regulatory powers over the economic zones. These
include the following: Board of Investment, Philippine Economic Zone Authority, Bases
Conversion Development Authority, Subic Bay Metropolitan Authority, Clark Development
Corporation, Poro Point Management Corporation, Bataan Technology Park, Inc., Cagayan
Economic Zone Authority, Zamboanga City Special Economic Zone Authority, Phividec
Industrial Estate, Aurora Pacific Economic and Freeport Zone, Authority of the Freeport
Bataan, and Tourism Infrastructure and Enterprise Zone Authority.
Notwithstanding all of these, the National Economic Development Authority (NEDA) 
reported in its Philippine Development Plan of 2011-2016, cited the lack of inclusive growth in 
the economy. The Philippines’ economic performance in investments, exports, and terms of 
competitiveness is unsatisfactory and needs to be improved (PDP 2011-2016). In a study 
conducted by the World Bank with the International Finance Corporation in 2013, the 
Philippines ranked 138 out of 185 economies as regards the ease of doing business in 185 
economies. The first top five criteria where the Philippines ranked low were in a) starting a 
business; b) registration of property; c) paying taxes; d) getting credit; and, e) protecting 
investors.  
The study showed that applying for a business in the country involves a long, tedious 
and difficult process, i.e. an average of 15 procedures, 38 days, and costs 29.7% of income 
per capita. 
In weeding through the layers of requirements in starting up a business and in 
qualifying for any of the investment incentives programs, the investor is confronted by 
bureaucratic red tape, inconsistent, complex and lengthy procedures, delays and a high cost 
for regulatory processes.  
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There is therefore a need to create a government agency/office that can assist in the 
expeditious facilitation of business investment registration and permits requirements and of 
the requirements for the availment of the investment incentives programs of the government.  
This agency/office shall be known as the Office for Investor Facilitation and Protection 
(OIFP). The OIFP shall be an independent and attached agency to the Office of the President 
which shall: 
•
Acts as a coordinator and integrator for the investor, the IPAs and all other related
government agencies or departments with respect to business registration, permits,
clearances, endorsements;
•
Processes the automatic approval if not acted upon by the appropriate agency or
department within the time frame from the endorsement by the Office for Investor
Facilitation and Protection provided that the documentary requirements are complete
and without prejudice to Section 34 of E.O. No. 226.
•
Acts as a protector by a) expeditiously resolving disputes between the investor and the
IPAs, and other related government agencies and departments with respect to the
administration of investment incentives program and grant of the investment
incentives; b) and considering that the grant of the particular incentives program to
which the investor has qualified and registered is a contract, it shall interpret it and see
to it that its provisions are carried out and performed by the parties.
•
Establishes a mandatory alternative to dispute resolution through consultations or
consultative meetings and discussions before referring it to ADR, i.e., conciliation,
mediation, arbitration, or early neutral evaluation to assist and resolve disputes out of
court.
To attract investments into the country, stimulate the growth of local investments, and 
meet investors’ expectations of fiscal and non-fiscal incentives, the government must protect 
and safeguard these investors in their investments by providing a mechanism to avoid 
protracted and tedious litigation in courts. History is replete with instances where the investors 
are denied by the courts of their claims for they have to wait for a long period, some lasting 10 
years until the cases of the investors are finally resolved.  
The OIFP will ensure that investors will not undergo lengthy and costly court 
proceedings with unpredictable outcomes through consultation or consultative meetings and 
discussions with the parties involved and referral to Alternative Dispute Resolutions such as 
conciliation, mediation and arbitration. 
This bill therefore seeks to create and establish the Office for Investor Facilitation and 
Protection which shall be an independent authority attached to the Office of the President to 
address the foregoing issues of foreign direct investors in the Philippines. 
 RUFUS B. RODRIGUEZ 


NINETEENTH CONGRESS  
) 
REPUBLIC OF THE PHILIPPINES ) 
First Regular Session  
 
) 
HOUSE OF REPRESENTATIVES 
Introduced by Representative Rufus B. Rodriguez 
House Bill No.  _____ 
AN ACT 
CREATING THE OFFICE FOR INVESTOR FACILITATION AND PROTECTION AND FOR 
OTHER PURPOSES 
Be it enacted by the Senate and the House of Representatives of the Philippines in Congress 
assembled: 
SECTION 1. Short Title - This Act shall be known as the “The Office for Investor Facilitation 
and Protection Act”. 
SEC 2. Declaration of Policy – It is the policy of the State to encourage Filipino and foreign 
investments as a vehicle to national development in order to spur economic productivity, 
create jobs, raises income levels, transfers production technology, innovative capacity as well 
as creating access to international marketing networks.  
It is also the policy of the State to attain inclusive growth by creating quality 
employment to reduce massive poverty and to increase competitiveness by creating a level 
playing field not only in its macroeconomic policy but also in its sector specific policies.  
It is the policy of the State to attract more foreign investments within its national 
jurisdiction and encourage participation in the investment incentives program. The State 
recognizes its concomitant responsibility to protect and safeguard the Filipino and foreign 
investors in their investments within the country. 
SEC 3. Purposes and Objectives - It is the purpose and objective of this Act: 
(a) To establish an independent authority/body that shall facilitate expeditious
endorsement of complete requirements in business registration and setting up of
business requirements, securing of permits, certificates, endorsements, etc.
necessary for the registration and  availment of the investments incentives
programs of Government;
(b) To ensure the protection of investors in their investments within the country;
(c) To expeditiously settle controversies and disputes between investors and the IPA
concerned and other related government departments and agencies with respect
to the grant and administration of the incentives program and/or registration and
qualification for the investments incentives program including the interpretation of
the terms and the conditions of the grant of the specific incentives program of
government; and,
(d) To provide a mechanism for resolution of disputes  between the investor concerned
and the IPAs, other related government agencies and departments with respect to
the administration of investment incentives program, the grant of the investment
incentives and interpretation of the terms and conditions of the grant through
consultation or consultative meetings and discussions and if not resolved, to be
referred for alternative dispute settlement (ADR), i.e. conciliation, mediation and
arbitration.
SEC 4.  Definition of Terms - For purposes of this Act, the term: 
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A. "Alternative Dispute Resolution System" as defined in Republic Act No.  9285 as 
any process or procedure used to resolve a dispute or controversy, other than by 
adjudication of a presiding judge of a court or an officer of a government agency in 
which a neutral third party participates to assist in the resolution of issues, which 
includes arbitration, mediation, conciliation, early neutral evaluation, mini-trial, or 
any combination thereof; 
B. “Investment Facilitation” refers to assistance, endorsement, and coordination for 
the requisite business registration and setting up business; registration, permits, 
licenses, endorsements to qualify the investor for the availment the investment 
incentives program; 
C. “Investment Promotion Agencies” refers to government entities created by law, 
executive order, decree or other issuance for the purpose of attracting domestic 
and foreign direct investment through the administration of their respective fiscal 
and non-fiscal incentives; and, exercise regulatory powers over the economic 
zones. This includes: Board of Investments (BOI), Philippine Economic Zone 
Authority (PEZA), Bases Conversion Development Authority (BCDA), Subic Bay 
Metropolitan Authority (SBMA), Clark Development Corporation (CDC), Poro Point 
Management Corporation (PPMC), Bataan Technology Park, Inc. (BTPI), Cagayan 
Special Economic Zone (CEZA), Zamboanga City Special Economic Zone 
(ZCSEZA), Phividec Industrial Estate (PIA), Aurora Pacific Economic and Freeport 
Zone (APECO), Authority of the Freeport Bataan (AFAB), and Tourism 
Infrastructure and Enterprise Zone Authority (TIEZA), and other entities as may be 
created by law. 
D. “Strategic Investments” refer to investments that fall under the areas or sectors in 
the Priority Development Plan approved by the President of the Philippines. 
 
SEC 5. Creation of the Office for Investor Facilitation and Protection -There is hereby created 
an independent department/agency attached to the Office of the President known as the Office 
for Investor Facilitation and Protection (OIFP) dedicated to (a) coordinating and assisting in 
the facilitation of business registration requirements, permits, certificates and those 
requirements for the availment of the investments incentives program; and, (b) the protection 
of the investors through consultation, consultative meetings and discussions and if not 
resolved, for alternative dispute resolution (ADR), for issues that may arise between the IPAs, 
other related government agencies and departments with respect to the administration of 
investment incentives program, interpretation of the terms and conditions of the grant of the 
investments incentives program and grant of the investment incentives in favour of the Filipino 
or foreign investor. 
 
SEC 6. Management Head - The management of the Office shall be vested in the Secretary 
and two (2) Assistant Secretaries. 
 
SEC 7. Qualifications - The Secretary and the two (2) Assistant Secretaries shall be chosen 
by the President. The Secretary and his assistants shall be citizens of the Philippines, at least 
thirty-five years old on the date of their appointment, of good moral character, and of 
recognized executive ability and competence in previous public or private employment, with 
adequate training and experience in economics, technology, finance, law, management, 
public administration and investments. 
 
SEC 8. Term- The Secretary and his two (2) Assistant Secretaries shall be appointed by the 
President for a term of six (6) years: Provided, that the President may remove the Secretary 
and his Assistant Secretaries for cause. 
 
SEC 9. Powers and Functions of the Secretary - The Secretary shall have the following powers 
and functions: 


(a) To coordinate the facilitation of business registration requirements, permits, 
certificates and those for the availment of the investments incentives program by 
the investor with the 13 IPAs and other IPAs as may be created by law; 
(b) To intervene and mediate disputes and controversies through consultations and 
arbitration between investors and government agencies and departments first 
before referring it to the alternative dispute resolution mechanism; 
(c) To protect the investors through alternative dispute resolution for issues that may 
arise between the IPAs, other related government agencies and departments with 
respect to the administration of investment incentives program and grant of the 
investment incentives and the investor; and, 
(d) To delegate any of his functions to his assistant secretaries. 
 
SEC 10. Investment Facilitation - When the Office for Investor Facilitation and Protection 
endorses for approval any application for registration or for the issuance of a certificate or 
permit, it shall be deemed approved by the department or agency to which it was endorsed if 
it is not acted upon within ten (10) days from official receipt of the transmittal by the IPA 
involved without prejudice to Section 34 of E.O No. 226 and four (4) days, in case of other 
concerned agencies, departments, LGUs and other governmental bodies; Provided, that it is 
accompanied with complete documentary requirements. 
 
SEC 11. Areas for Investment Facilitation - The investment facilitation power of the OIFP shall 
be limited to facilitation of strategic investments or those businesses which fall under the 
sectors identified in the Investment Priorities Plan of government.   
 
SEC 12. Alternative Dispute Resolution - The submission of the parties to the alternative 
dispute resolution shall be mandatory before resort to courts. 
 
SEC 13. Appropriations – There is hereby appropriated the sum of Two Hundred Million Pesos 
(Php200,000,000.00) for the initial implementation of this Act.  Thereafter, the funding for OPIF 
shall be included in the Annual General Appropriations Act. 
 
SEC 14. Implementing Rules and Regulations – Within ninety (90) days after the effectivity of 
this Act, the OPIF shall promulgate the rules and regulations needed for the implementation 
of this Act, including the necessary rules for consultation, arbitration and alternative dispute 
resolution. 
 
SEC 15.  Separability Clause. – If any provision of this Act is held invalid or unconstitutional, 
the same shall not affect the validity and effectivity of the other provisions hereof. 
 
SEC 16.  Repealing Clause – All laws, decrees, executive orders, rules and regulations and 
other issuances or part thereof, which are inconsistent with this Act, are hereby repealed, 
amended, or modified accordingly. 
 
SEC 17. Effectivity – This Act shall take fifteen (15) days after its publication in two (2) 
newspapers of general circulation. 
 
 
Approved,