DAVAO CITY, Philippines—Bagong Alyansang Makabayan-Southern Mindanao Region (BAYAN-SMR) disputed claims that the island is being positioned as the country’s next top investment destination.
BAYAN-SMR said private capital alone would not solve the region’s economic problems without stronger local industries, land reform and protections for workers and communities.
The Mindanao Development Authority (MinDA) is betting on peace, economic growth and new investment policies to attract domestic and foreign businesses to the island.
In a news conference at the Mindanao Development Forum in Davao City on Oct. 28, MinDA Secretary Leo Tereso Magno said the island’s reported 4.69% growth rate reflects efforts by local government units, with CARAGA and the Bangsamoro Autonomous Region in Muslim Mindanao (BARMM) among the biggest gainers.
Magno cited BARMM’s poverty incidence, which he said declined from around 23% in 2023 to 18% in 2025. He also pointed to Davao Region’s gross regional domestic product (GRDP), which he said reached around P1.4 trillion, its highest recorded level.
He attributed BARMM’s economic gains in part to the region’s improved peace and security situation.
Magno said investments entering BARMM increased from P4 billion in 2023 to P5 billion in 2025, citing figures from the region’s Board of Investments Chairman Omar Pasignan.
He added that investments had reached P5.1 billion by April 2026.
For Magno, these figures show how peace can create conditions for economic activity and investments.
“Peace, again, peace now reigns in the islands of Mindanao,” he said, urging stakeholders to take advantage of the gains of peace and calling on the media and other sectors to help promote Mindanao where investors can do business.
Investment laws as a growth strategy
Magno said the Marcos Jr. administration had introduced laws and policies intended to make it easier for private businesses, including foreign investors, to enter the country.
Among these is the Public-Private Partnership (PPP) Code of 2023, which provides a legal framework for national and local government projects involving private-sector participation.
Local governments that previously relied on their own ordinances to pursue PPP projects — a process that could delay implementation — found relief from the code.
There is the CREATE MORE Act, which provides fiscal and non-fiscal incentives to qualified investors, and green lanes intended to speed up approvals for strategic investments.
Another is the Investors’ Lease Act, which allows qualified foreign investors to lease private land for up to 99 years, subject to legal requirements.
Magno also cited a cluster of measures aimed at easing investment: the Capital Markets Efficiency Promotion Act, which seeks to deepen domestic capital markets, and the Accelerated and Reformed Right-of-Way Act, intended to speed infrastructure delivery.
The Mindanao Development Forum 2026 is designed to bring together national and local governments, the BARMM government, private businesses, financial institutions, development partners, academe and civil society.
Its discussions cover investments and financing, PPPs, agriculture and agribusiness, energy, infrastructure and BARMM’s economic development. An Investment and Partnership Marketplace will also connect local governments and businesses with potential investors and development partners.
Growth not a guarantee to shared benefits
Official data from the Philippine Statistics Authority showed that Mindanao regions recorded economic growth rates higher than the national average of 4.4% in 2025. CARAGA posted the highest growth among them at 5.704%, followed by Davao Region at 5.15%, BARMM at 5%, Northern Mindanao at 4.9%, and Soccsksargen at 4.8%.
But economic growth figures do not, by themselves, show whether the gains translate into decent jobs, higher incomes or better conditions for rural communities.
BAYAN-SMR secretariat member Abdul Rauf Sissay said the government should pursue a broader economic and industrialization plan that prioritizes rural communities and workers rather than relying mainly on PPPs and direct foreign investment.
Sissay said the government should prioritize building domestic industries, including a steel industry and other heavy industries, to generate jobs for Filipinos and support the mechanization and development of agriculture.
The group also called for the “people’s mining law” to ensure the responsible use of mineral resources and protect the environment.
“Genuine agrarian reform is also important so farmers and communities can own the land they cultivate,” Sissay told Davao Today in Cebuano.
He said this would help sustain the domestic economy and food supply. The group added that these programs should receive sufficient funding and that corruption must be addressed to ensure public money goes to the projects and agencies that need it.
The group’s position raises questions about how Mindanao’s investment push will affect communities that depend on land, agriculture and natural resources for their livelihoods. (davaotoday.com)
