Business and Economic Update
Issue 04
Welcome to our new publication

The Philippines is one of the minerals-rich countries in the world, with an estimated metallic mineral reserves of up to $1.4 trillion. The planet’s volcanoes and geological movement are the natural creators of this mineral wealth. The country’s non-metallic mineral reserves are also huge.

Other member-countries of the Association of South East Asian Nations (ASEAN) are also very rich in both metallic and non-metallic deposits, especially Indonesia. And aside from mineral wealth, other ASEAN countries are also rich in natural gas and petroleum deposits, like Brunei.

The mining and extractive industry development in the region is uneven. Thus, while tiny Brunei has optimized its natural gas production and exports, while Indonesia has positioned itself as a major coal, nickel and other mineral producer and exporter, other countries like the Philippines have not optimized their resources yet.

The fiscal and environmental policies in each country in the region play a major role why this has happened. Mining and corporate taxation in particular, is diverse and show a wide margin of differences among them.

Our fourth issue of the Business and Economic Newsletter will tackle this and related issues. This is a preliminary study on the taxation aspect of the mining industry and not a comprehensive paper. We believe that the fiscal policies of the Philippines and other countries in the ASEAN can greatly improve or hamper the development and utilization of the sector. Which in turn can contribute or delay faster economic growth and job creation in their respective economies.

Despite recent economic challenges in the world, the macroeconomic, foreign trade, financial and technological environment in the region are generally favorable for the further development of the sector.

We hope that companies and researchers who are directly or indirectly related to mining, big and small, will find the data and analysis presented here useful in their decision making.


Copyright © 2017 Alas Oplas & Co., CPAs. All rights reserved.