MANILA, Philippines — In a major shift of strategy forced by the escalating conflict in the Middle East, the Department of Trade and Industry (DTI) has begun scaling back its international investment promotion activities to manage costs and refocus on domestic stability.
Trade Secretary Ma. Cristina Roque confirmed on Monday that the agency has canceled several high-profile overseas missions, including a planned roadshow to Europe in late March that was set to court investors in London. The move comes as the “oil shock” from the US-Israel-Iran war drives up operational expenses and clouds the global economic outlook for 2026.
Secretary Roque emphasized that the DTI’s primary focus has shifted from aggressive international recruitment to domestic “crisis management.”
“Definitely we’ll be affected. Because, I mean, now it’s crisis all over, so everything will be at a standstill until at least this is over,” Roque stated. The agency is now prioritizing price stabilization and support for local businesses. To lead by example, the DTI has implemented its own cost-cutting measures, including a flexible work-from-home scheme for non-frontline staff to mitigate the impact of diesel prices, which have breached ₱170 per liter.
The 2026 targets previously set by the Board of Investments (BOI) and the Philippine Economic Zone Authority (PEZA) are now officially under review.
- BOI Target: ₱1 trillion in investment approvals.
- PEZA Target: ₱300 billion in approved pledges.
- Export Goal: $116 billion to $120 billion.
While the first two months of 2026 showed strong momentum—with BOI approvals reaching ₱47 billion and PEZA hitting ₱35.37 billion—Roque warned that the “systemic impact” of the war, including the closure of the Strait of Hormuz, could lead to a “sluggish” year for Philippine growth.
To cushion the blow for those at home, the DTI has launched significant financial relief programs:
- ₱4-Billion MSME Loan Facility: Offered through the Small Business (SB) Corp., providing loans of up to ₱20 million, with amounts up to ₱5 million available without collateral.
- ₱2-Billion OFW Fund: A dedicated loan program for overseas Filipino workers displaced by the Middle East conflict or other global disruptions.
On the consumer front, Secretary Roque reassured the public that agreements with manufacturers will prevent price hikes on basic necessities until April 16. Beyond that date, the DTI will re-engage in “minimalist” negotiations with producers to ensure that any adjustments are kept to an absolute minimum, despite the 13th consecutive week of fuel price increases.