July 24, 2023 People's Journal 219 views

THE Marcos administration will simplify the mining tax regime to make the Philippines competitive with other countries, Department of Finance (DOF) Secretary Benjamin Diokno said on Monday.

In an interview in ANC’s Headstart, Diokno was asked why it is taking so long for the government to prop up mining operations despite the industry’s good revenue-generating potential.

According to the finance chief, the administration of President Ferdinand Marcos Jr. opened up mining and there is a proposal in Congress seeking improvements to the country’s mining tax system.

“In fact, that’s one of the priority measures for this Congress and we expected to be approved soon,” Diokno said, adding the goal is to unify the policy in areas where mining is authorized and those that are outside.

“We will just have one tax. We will simplify the tax system and some royalty tax also. But we will try to make the tax system of the Philippines on mining competitive with other countries. That’s the gist of that proposal,” he added.

With the expected congressional approval of a new tax system for mining, plus the roadshows being conducted abroad, there will be renewed interest in the industry, he said.

In a recent roadshow in Canada, which is a mining country, he said a lot of investors have shown interest in the Philippine mining sector.

“I think they have signified a lot of interest in our new economy and also given the new tax regime,” he said.

Since assuming office last year, the Marcos administration moved to ramp up the mining industry development, along with other key sectors, as part of its plans to grow the economy amid the pandemic.

Apart from mining, the administration has been focusing on agriculture and tourism to boost the country’s post-pandemic recovery.

In the same interview, Diokno articulated the administration’s accomplishments and its future plans as President Marcos prepares to deliver his second State of the Nation Address (SONA) on Monday afternoon. PCO