The paper determines the extent of financing requirements of infrastructure projects and the fiscal incentives available to the private sector to enable it to generate said financing requirements in case it decides to pursue infrastructure projects. It notes that since the financing requirement needs of the country have increasingly exceeded the financial capability of the government, private sector participation becomes a logical recourse. The grant of tax incentives is a way of encouraging private sector investment in infrastructure development. To improve infrastructure development, it recommends reviewing the incentives system of the Omnibus Investments Code (OIC) and the Philippine Export Zone Authority (PEZA) Law; maintaining a good reporting system by the BOI and PEZA; providing appropriate support to implementing agencies and LGUs; among others.
