|
 Why
the Philippines
People Power
The Philippines is ranked #1 in the availability of
knowledge-based jobs and workers worldwide and ranked 4th among
Asian nations in labor quality, according to a survey conducted
by the U.S. based Meta Group. Aside from the huge pool of
productive, trainable and multi-skilled labor force, the
Philippines competes in the quality of its managers and
information technology (IT) staff and engineers. The unique edge
comes from a high level of proficiency in English (the
Philippines is the 3rd largest English-speaking country in the
world).
Location
The Philippines is located in Asia - today, the fastest growing
region. Flanked by two great trade routes - the Pacific Ocean
and South China Sea - the Philippines is an ideal base for
business, a critical entry point to over 500 million people in
the ASEAN market. The country is a natural choice as an ASEAN
Gateway in the international shipping and air lanes,
particularly European and North American businesses.
First-Class Lifestyle
The Philippines is the best Asian country in overall quality of
expatriate life, according to the March 2000 survey of Hong
Kong's Political Risk Consultancy Ltd (PERC). The Philippines
ranked third in all countries surveyed - next to Australia and
the U.S. - and was ahead of Singapore and Japan. Rated highly
were its cultural compatibility with expatriates, its housing,
sporting and recreational facilities, quality healthcare and
first-rate educational institutions.
Abundant Resources
An archipelago like the Philippines offers diverse natural
resources, from land to marine to mineral resources. It is also
the biggest copper producer in Southeast Asia and among the top
ten producer of gold in the world. It is also home to 2,145 fish
species, four times more than those found in the Bahamas. The
7,100 islands boast of beautiful beaches and breathtaking
sceneries that offer soothing leisure and relaxation spots for
vacationers and tourists.
Low Cost of Doing Business
Wages are typically less than a fifth of that in the U.S. Local
communication, electricity and housing costs are also 50% lower
compared to the U.S. rates. Foreign companies that are now
outsourcing programming and business processes to the
Philippines estimate 30 to 40% business cost savings, 15 to 30%
call center services and application systems and 35 to 50%
software development.
Business-Friendly Policies
The Philippine government has redefined its role through
privatization that allowed private sector participation in
developing infrastructure and services in the country. It is
adopting the innovative Build-Operate-Transfer scheme, a model
now being followed by other countries due to its success.
The country has opened up its economy by allowing 100% foreign
ownership in almost all sectors of the economy. It has
strengthened its capital markets and deregulated the banking,
insurance, as well as the shipping and telecommunication
sectors, removing most, if not all, the monopoly structures in
the Philippine market economy.
Attractive incentive packages are available to qualified
enterprises in the country's numerous Special Economic Zones and
Industrial Estates. The Special Economic Zone's are being
nurtured to become balanced agricultural, industrial, commercial
and recreational hubs of activity.
Corporate income tax has been reduced to 32% from 34% in 1998,
with companies located in economic zones/export zones subject to
only a 5% overall tax rate.
Unlimited Business Opportunities
As ASEAN economies integrate within the framework of the ASEAN
Free Trade Agreement (AFTA), the Philippines is the natural and
most strategic location for firms that want access to the large
ASEAN market and its vast trade opportunities. It has complied
with WTO, APEC, and AFTA agreements and has reduced tariff rates
on manufactured goods. The Philippines has enhanced and primed
up various areas of business for investors and offers a dynamic
consumer market accustomed to array of product choices created
by a competitive domestic economy.
All You Need and More
The Philippines offers state-of-the-art telecommunications
facilities, adequate and uninterrupted power supply. There are
ready-to-occupy offices and production facilities, computer
security and building monitoring systems, as well as complete
office services in specialized IT zones. With the government's
focus on building up an IT-enabled economy, the Philippines is
on its way to becoming the E-services Hub of Asia. |
