The Negative List is divided into two: List A and List B.

List A contains the

areas of investment where foreign ownership is restricted by the mandate of
the Philippine constitution or specific laws. These include the following:
No foreign equity

Mass media except recording

Practice of all professions including but not limited to engineering,
medicine and all allied professions, accountancy, architecture,
criminology, chemistry, customs brokerage, environmental planning,
forestry, geology, interior design, landscape and architecture, law,
librarianship, marine desk officers, marine engine officers, master
plumbing, sugar technology, social work, teaching, agriculture, fisheries,
guidance counselling, real estate service, respiratory therapy, psychology

Retail trade services

Cooperatives

Private security agencies

Small-scale mining

Utilization of marine resources in archipelagic waters, territorial sea,

and exclusive economic zones as well as small-scale utilization of natural
resources in rivers, lakes, bays, and lagoons
Ownership, operation, and management of cockpits
Manufacture, repair, stockpiling, and/or distribution of nuclear
weapons, biological, chemical, and radiological weapons and antipersonnel mines
Manufacture of firecrackers and other pyrotechnic devices
Up to Twenty Percent (20%) Foreign Equity

Private radio communications network

Up to Twenty-Five Percent (25%) Foreign Equity

Private recruitment, whether for local or overseas employment

Contracts for the construction and repair of locally funded public works,
except infrastructure/development projects covered by Republic Act No.
7718 (RA 7718) and projects that are foreign funded or assisted and
required to undergo international competitive bidding.
Contracts for the construction of defense-related structures

Up to Thirty Percent (30%) Foreign Equity

Advertising

Up to 40 Percent (40%) Foreign Equity

Exploration, development, and utilization of natural resources

Ownership of private lands

Operation and management of public utilities

Ownership, establishment and administration of educational

institutions

Contracts for the supply of materials, goods and commodities to

government-owned or controlled corporations, companies, agencies or
municipal corporations

Culture, production, milling, processing, trading (except retailing),

and acquisition of rice and corn and the by-products thereof

Acting as project proponent and facility operator of a build-operatetransfer project requiring a public utility franchise

Ownership of condominium units where the common areas of the

condominium project are co-owned by owners of the separate units or
owned by a corporation

Operation of deep-sea commercial fishing vessels

Adjustment companies

Domestic market enterprises (i.e., entities that do not export 60

percent or more of their output) with a paid-in equity capital of less than
the equivalent of USD200,000

Up to 49 percent (49%) Foreign Equity

Lending companies

Up to 60 percent (60%) Foreign Equity

Financing companies regulated by the SEC

Investment houses regulated by the SEC

List B, on the other hand, includes areas of investment where foreign

ownership is limited for reasons of security, defense, risk to health and
morals, and protection of local small and medium-sized enterprises. These
include the following:
Up to Forty percent (40%) Foreign Equity

Manufacture, repair, storage, and/or distribution of products and/or

ingredients requiring Philippine National Police (PNP) clearance

Manufacture, repair, storage, and/or distribution of products and/or

ingredients requiring Department of National Defense (DND) clearance

Manufacture and distribution of dangerous drugs

Sauna and steam bathhouses, massage clinics, and other like activities
regulated by law because of risks posed to public health and morals

All forms of gambling, except those covered by investment agreements

with PAGCOR pursuant to RA 9847, or the PAGCOR charter (RA 7042 as
amended by RA 8179)

Domestic market enterprises with paid-in equity capital of less than the
equivalent of USD 200,000

Domestic market enterprises which involve advanced technology or

employ at least fifty (50) direct employees with paid-in equity capital of
less than the equivalent of USD 100,000