A tax expert is encouraging overseas Filipino workers (OFWs) to explore investment opportunities in their home country, stressing their potential to contribute to economic growth.

Mon Abrea, founder of Asia Consulting Group and co-chair of the Ease of Doing Business Task Force, highlighted Real Estate Investment Trusts (REITs) as a viable option for OFWs during a recent Australian media radio interview.

REITs allow individuals to invest in shares of companies that own and manage real estate properties.

“Instead of buying the unit or the apartment, you will buy the shares of the corporation, and the corporation will manage, own and pay for the apartments, then the income will be distributed to you as dividends every year,” Abrea said.

He also pointed out that REIT investments are tax-exempt for OFWs and non-resident Filipinos.

Abrea cited the increasing interest from Australian and other foreign investors in the Philippines, particularly in sectors covered by strategic investment priority plans such as renewable energy, infrastructure, agriculture and education.

“Especially when it comes to mining, because Australia has expertise, but there are a lot of minerals in the Philippines,” Abrea said. “We’re not saying that minerals in the Philippines are richer, what we’re saying is that Australia has expertise, imagine if they use it in the Philippines, it will be a very profitable, sustainable business for Australian companies.”

He further stated that tax reforms under the amended Corporate Recovery and Tax Incentives for Enterprises (CREATE) law, now the CREATE MORE law, are creating a more favorable environment for investors through increased deductible expenses. He cited the increase in deductible power expenses to 100 percent from 50 percent under the amended law.

In September 2024, at least 14 Australian investment funds and companies visited the Philippines as part of a business mission. According to Abrea, Australian Ambassador to the Philippines Hae Kyong Yu said the visit aimed to raise awareness among Australian firms about business opportunities in the Philippines.