In the 2020 Doing Business Report from the World Bank, an annual study that measures the ease of doing business in countries around the globe, the Philippines landed at the 95th spot with a Distance to Frontier Score of 62.8. The report covered 190 economies.
This result is deemed as a significant improvement over its 2019 rank of 124th with a score of 57.68 since the Philippines typically ranked low among the world’s economies over the past few years.
The Philippine economy is primarily driven by its Information Technology-Business Process Outsourcing (IT-BPO) industry, and it’s well-poised as a leader in the global industry. In fact, data from the IT and Business Process Association of the Philippines (IBPAP) showed that the Philippines’ business process outsourcing industry saw revenues climb 1.4 percent in 2020, even as the COVID-19 pandemic deeply affected the economy.
The IT industry generated a total of $26.7 Billion in 2020, as BPO companies implemented flexible work arrangements to ensure business continuity during the pandemic. BPO companies also hired 1.8 percent more employees in 2020, for a total of 1.32 million direct employment in the Philippines.
Due to its IT-BPO industry’s continued growth and promising prospects, the industry, as of today, has spawned bustling business districts throughout the country. The government has also played an active role in improving the country’s infrastructure and relaxing constraints to doing business in the country.
It is, therefore, good for businesses to take advantage of the Philippines’ continuing growth. As a guide, here are the major business centers in the Philippines that businesses should check out:
Makati Central Business District
Makati Central Business District (Makati CBD) is also called the “Central Cluster.” It houses most of the country’s leading firms and Asia’s most popular commercial areas. Makati CBA is managed by the Makati Commercial Estate Association (MaCEA) and the Ayala Property Management Corporation (APMC). Makati CBD is the premier business district of the country.
Ortigas Business Center
The Ortigas Business Center is located at the boundaries of the cities of Mandaluyong and Pasig. It is a commercial area along the Epifanio Delos Santos Avenue (EDSA). The business center houses the Asian Development Bank headquarters, Jollibee Foods Corporation, SM Megamall, and San Miguel Brewery, among others.
Bonifacio Global City
Bonifacio Global City (also known as The Fort) is the financial center of Taguig City. The Fort has become one of the fastest-growing business districts in the county in recent years. Its growth is promising enough to overtake Makati City as the premier central business district (CBD) of the country.
Pasay City
Pasay City is home to one of the largest malls in the world, the SM Mall of Asia. It also houses prominent casino hotels, entertainment, and key government centers like the Department of Foreign Affairs, the Cultural Center of the Philippines, and the World Trade Center, among others. Thus, Pasay was one of the first urban centers of the Philippines.
Quezon City
Quezon City, or the Triangle Park, to be precise, is one of the three existing main business districts of Quezon City. The others are Eastwood City in Libis and Araneta Center in Cubao. The Triangle Park is a mixed-use Central Business District Development located in Diliman, Quezon City.
Alabang
As the central business district of the south, Alabang houses Filinvest Corporate City. A haven for modern urban development with nature and modern living thrives in harmony, Alabang has leisurely yet business-oriented developments which cater to residential, business, educational, wellness and leisure.
Metropolitan Cebu
Metropolitan Cebu is a highly competitive and robust economy. With over 20 IT parks and nine economic zones currently operating in the metro, Cebu is poised globally as a highly capable business center. Cebu is also a popular tourist destination.
Metropolitan Davao
Metropolitan Davao is one of the largest local economies in the Philippines. It is known as the “Crown Jewel of Mindanao” due to its robust economy.
Key Takeaways
The Philippines is still one of the most promising economies in Asia. In the wake of the pandemic, the Philippine economy has started to recover with a 3.7% year-on-year expansion in the first half of 2021 due to public investment and a recovery in the external environment. Its emerging business centers, significant government support, and investment in the BPO industry are great indicators of a positive business outlook for the country. For businesses, as well as their recruitment firms in the country, it is desirable to take advantage of this growth.
References:
Arie Y. Lewin, “Global Sourcing of Business Services: Key Findings and Trends from ORN Research” (paper presented at the International Association of Outsourcing Professionals’ 2012 Outsourcing World Summit, Orlando, February 2012)
Chan, R., Chan, R., & Chan, R. (2017). An Investor’s Guide to Central Business Districts in the Philippines. Retrieved 14 October 2021, from https://enterph.com/blog/investors-guide-central-business-districts-philippines-infographic/
Council, National. 2017. “Rankings | Cities And Municipalities Competitiveness Index”. Competitive.Org.Ph. Accessed January 26 2017. http://www.competitive.org.ph/cmcindex/pages/rankings/
Council, National. 2017. “Home | Cities And Municipalities Competitiveness Index”. Competitive.Org.Ph. Accessed January 26 2017. http://www.competitive.org.ph/cmcindex/.
Doing Business 2020. (2021). Retrieved 14 October 2021, from https://documents1.worldbank.org/curated/en/688761571934946384/pdf/Doing-Business-2020-Comparing-Business-Regulation-in-190-Economies.pdf.
Lee, Don. 2015. “The Philippines Has Become The Call-Center Capital Of The World”. Latimes.Com. Accessed January 26 2017. http://www.latimes.com/business/la-fi-philippines-economy-20150202-story.html.
“National Competitiveness Council”. 2017. Competitive.Org.Ph. Accessed January 26 2017. http://www.competitive.org.ph/.
Philippines Overview. (2021, 7). World Bank. https://www.worldbank.org/en/country/philippines/overview#1
Pia Gutierrez, A. (2021). BPO industry revenues hit $26.7-B in 2020, up 1.4 percent: IBPAP. Retrieved 14 October 2021, from https://news.abs-cbn.com/business/05/26/21/bpo-26-7b-revenues-2020-ibpap
“The Philippines – Poised For Growth Through BPO”. 2017. Trendline.Dcrworkforce.Com. Accessed January 17 2017. http://trendline.dcrworkforce.com/the-philippines-poised-for-growth-through-bpo.html.
0 Comments