SBMA 2014 income up by 40%

Subic Bay Freeport Zone – For the third consecutive year, the Subic Bay Metropolitan Authority (SBMA) hit new record highs in its 2014 financial performance, as it scored a net income of P1.556 billion, higher than the 2013 income of P1.110 billion, a substantial increase of 40%.

“Revenues from port operations, tourism and industrial commercial leases rose to P2.442 billion or 21% vs 2013, SBMA Chairman and Administrator Roberto V. Garcia announced recently.

With the port congestion in Manila, many importers shifted to Subic causing port revenues to hit P909 million or an increase of 45%. Locator export volumes likewise increased to U$2.3 billion or a 59% increase from the previous year.

Seventy five percent of the total land area of SBMA belongs to Bataan and that hundreds of millions of pesos are also going yearly to the coffers of Bataan as its share from the Freeport’s income.

Tourism likewise registered substantial revenue gains with a substantial 61% jump driven by a 12% hike in tourist traffic. MICE events (Meetings, Incentives, Conventions and Exhibitions) chalked up an increase of 150% while sports events rose 75% to make Subic Bay the #1 tourist destination in Central Luzon according to DOT records, reported Chairman Garcia.

Industrial and commercial leases likewise hit P1.050 billion up 13% from previous years as more businesses flocked to the Freeport. This, Garcia pointed out, and other expansion projects of existing locators caused jobs to increase from 89,584 in 2013 to 96,958 in 2014, providing 7,374 new jobs or an increase of 8%.

Reflecting the Agency’s robust growth on all fronts are the cash collections of the Bureau of Internal Revenue’s P1.8 billion and the Bureau of Customs P15.290 billion, which improved by 27 per cent and 36 per cent, significantly in 2014.

The SBMA chairman said the 5% tax collected from locators in the Freeport rose to P497 million or a 35% increase over 2013. SBMA remitted this amount with P199 million going to the 8 LGUs surrounding the Freeport while P298 million was remitted to the National Government Treasury. The total contribution therefore of SBMA to the national economy therefore amounts to P17.638 billion.

According to Garcia, the Agency’s sterling three-year record performance could be attributed to good governance, the implementation of its strategic initiatives, and the hard work of the Agency’s management and employees.