With all the news about recession and the world economy heading south for the winter, it seems that doing business in the Philippines is not a good idea right now.
But here’s some good news that provides a much-needed boost to those who are thinking of setting up shop in the country: on Nov. 17, President Gloria Macapagal-Arroyo issued the Executive Order 758, which creates the provision for a Special Visa for Employment Generation or the SVEG.
Unlike the standard visa, the SVEG is issued to qualified non-immigrant foreigners who will employ 10 Filipinos or more in a sustainable enterprise, trade or industry in the Philippines.
There are many perks of an SVEG holder, but the main clincher of having an SVEG is that it gives the right to multiple entry privileges in the Philippines without prior departure in the country.
This allows the holder to stay in the Philippines as long as he or she wants. In addition, the privileges of the SVEG are extended not only to the foreigner-applicant, but also to his or her spouse and their dependent children who are under 18 years of age.
As stipulated in the Order, the requirements for holding an SVEG are that the holder shall engage in a viable and sustainable commercial enterprise/investment in the Philippines, perform managerial acts, and has the power to employ and dismiss employees.
The foreigner must also have a bona fide intention to stay in the country for an indefinite period of time, and that he or she is not a threat to the country’s security in any way possible.
And of course, the holder of the SVEG must employ at least 10 Filipinos under Philippine labor laws and other applicable special laws. These requirements are to be constantly satisfied by the foreigner-holder of the visa, and once any of the requirements are violated the SVEG will be immediately revoked.
Although it is mandated by strict regulations, application for an SVEG is relatively easy.
First, the applicant has to pay for a regulatory fee, after which the Commissioner of Immigration shall receive and resolve the applications within 2 weeks upon date of filing.
And once the application has been given a favorable rating, the Commissioner of Immigration will then issue a Notice of Approval directing the applicant to report for registration and documentation at the Bureau if Immigration. Afterwards, an Alien Certificate of Registration or ACR I-Card will then be issued to the applicant upon payment of the remaining fees.
This is definitely good news not only to entrepreneurs who want to invest in the Philippines, but to Filipinos as well.
According to a latest statistic done by the Philippine National Statistics Office, at least 2.9 million Filipinos are currently out of work, so the SVEG might give some of them much-needed jobs, which in turn lessen the Philippines’ heavy reliance on overseas remittances. So if you are thinking of putting up a business in the Philippines, now might be a good time to start.
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