The Department of Tourism (DOT) is seeking an additional budget to support further tourism infrastructure in the country and has requested that the government implement measures to strengthen the Philippine tourism industry.
“For the DOT, what we are advocating for the 20th Congress is, first of all, more funding for tourism infrastructure. And for the Department of Finance to implement the VAT Refund for Tourists that will boost shopping tourism in the Philippines,” Tourism Secretary Christina Garcia Frasco said in an ambush interview on the sidelines of the Post-State of the Nation Address (SONA) Discussion on Food Security and Economic Development on Tuesday in San Juan City.
She said the DOT wants the Philippines to adopt a more liberal visa policy, as the country is lagging behind its ASEAN neighbors in terms of strictly requiring visas for foreign nationals to enter.
“Aside from national security, we have to make sure that the Philippines is competitive in terms of ease of entry for international tourists. Also, we need to have a tourism infrastructure fund. As the World Economic Forum said, the Philippines is currently at number 69 out of 117 economies in the world in terms of tourism infrastructure. That is why we need to further invest in infrastructure to make our destination more competitive,” Frasco explained.
With the recent battering from typhoons and the southwest monsoon—and the looming entry of 12 more typhoons expected this half of the year—Frasco said they are also urging the 20th Congress to legislate a bill that would establish the Tourism Quick Response Fund, which would ensure support for displaced tourism workers and stranded travelers during emergencies or crisis events.
“The QR fund will ensure that during times when our fellow Filipinos in the tourism industry lose their jobs, we have a fund we can access right away to assist,” Frasco said.
The proposed fund would also cover assistance to domestic and international tourists affected by disruptions in destinations across the country.
Meanwhile, Frasco disclosed that tourism investments have now exceeded half a trillion pesos through sustained public and private sector efforts.
Amid the improving investment climate, she revealed that there is a persistent shortage of over 135,000 hotel rooms nationwide.
“New investments will help us meet the rising demand and make our accommodation pricing more competitive,” Frasco said, citing data from the Philippine Hotel Owners Association.
She noted that the recently passed CREATE MORE Law has significantly boosted investor confidence by designating the Tourism Infrastructure and Enterprise Zone Authority (TIEZA) as an investment promotion agency.
This allows tourism-related projects across the country to qualify for fiscal incentives, making the Philippines a more attractive investment hub.
The DOT Secretary further emphasized that the agency is targeting both domestic and international investments in key areas such as hotels, marine transport, amusement parks, and other tourism-related facilities.
“Our partnerships and bilateral relations with countries like Japan, Thailand, and the UAE are vital in encouraging more investment in the sector,” she added.