Capitol Transfer to Balamban to Boost Economic Development

The plans to transfer the Cebu capitol from Cebu City to Balamban will change the landscape of the west coast of Cebu province into a major economic hub which will attract investments from various businesses.

Jay Yuvallos, chair of the Cebu Investments Development Concierge Center (CIDCC), said the impact of the transfer of the seat of the provincial government will affect all industries and distribute wealth and services to the other parts of the province.

CIDCC is a one-stop trade and investment center for businesses and investors interested in locating and investing in the City and Province of Cebu.

“It will spur economic activities and investments. The catalyst has always been the government if you look into it closely,” Yuvallos said. “Government policy, investment, and infrastructure, these are the things that spur development.”

The new Capitol in Balamban will need infrastructure investments—such as roads, public transportation, utilities, and government buildings — which should be met by both the government and the private sector.

He said that power and water in particular will be a potential area for investments for the private sector.

Yuvallos said there is a need for additional baseload supply for Cebu to secure its growth.

Yuvallos said the positive effects of the relocation will be similar to the case of Malaysia, which saw the town of Putrajaya attracting infrastructure investments when the seat of government was moved there from Kuala Lumpur.

“It will unlock various economic opportunities in sectors such as tourism. If the COVID-19 pandemic did not happen, trade and tourism in that area would have already grown,” Yuvallos noted. “Tourism in the west side of Cebu is beautiful and its spots are waiting to be explored.”

Since Cebu Governor Gwendolyn Garcia announced the relocation, Balamban Mayor Ace Stefan Binghay said various business groups have expressed interest in establishing their presence in the town and nearby locations.

For example, there are plans to build a power plant in Toledo City that will provide affordable and reliable energy to Cebuanos.

The provincial government is also working to address issues within Cebu to aid in the relocation of the capitol. One such issue is flooding, with the government allocating Php 8 billion for a drainage master plan.

The Cebu government has secured six titled lots worth 17.5 hectares to move the Capitol to Balamban. In addition, it allocated Php 200 million from last year’s General Appropriation Act to build the new capitol in those lots.

Senators have also promised to provide additional funding needed with the transfer of the Cebu Provincial Capitol to Balamban. (ZAG)