Despite the ongoing pandemic, investing climate in the Philippines continues to improve, according to a US report in 2020.
In the latest Investment Climate Statements released by the US Department of State in September last year, the country was said to be continuously addressing investment constraints, evident in the policies implemented by the government to improve the investment landscape.
The reforms mentioned in the report included the update of the Foreign Investment Negative List (FINL) in 2018. It also cited that government transactions can now be done with ease due to the Ease of Doing Business and Efficient Government Service Delivery Law of 2018 which streamlined the requirements and automated its services. Other laws and policies like the Anti Red Tape Authority were also recognized.
The 2020 Investment Climate Report also credited the Philippine Economic Zone Authority (PEZA) for offering a business-friendly environment to export-oriented companies.
In December last year, Secretary of Finance Carlos Dominguez III told Japanese investors in a virtual business forum that the Philippines is a “promising investment” because of its “strong fundamentals, fiscal stamina, and effective governance.”
Dominguez said that the domestic economy is poised for a positive rebound despite the challenges of the pandemic. He cited the reforms that are being implemented and will be implemented by the government to attract more potential investors.
To prepare for a robust rebound, the government will make the financial sector more inclusive and will maintain its policy of fiscal prudence, according to Dominguez. Furthermore, the Finance Secretary said the government will turn the pandemic-induced “crisis into an opportunity” to boost the manufacturing and agriculture sectors and create a more digital economy.
With these reasons at hand, the promising market of the Philippines makes it an ideal place to look for investing. In the list below, we explore the reasons why businesses should consider investing in the “Pearl of the Orient.”
Top Reasons Why You Should Consider Investing in the Philippines
In recent years, the Philippines was named as one of the fastest-growing economies in the region. According to the World Bank, the Philippines is one of the top performers in the region driven by “strong exports, robust domestic consumption and infrastructure expenditures.”
The Philippine workforce is known for its competitive and highly skilled workers. Over the years, it has gained a distinguished advantage over its Asian competitors because of its high literacy rate. The Filipino labor force can work on a wide array of businesses including professional, technical, vocational, and service jobs.
The top-notch English proficiency of Filipinos also makes them one of the most sought-after workers in the field. Since English is taught in every school, the Philippines is recognized as one of the largest English-speaking countries in the world.
This comes in handy to the business and trade sector, which widely uses English as a medium of conversation. Lastly, the Filipino workforce is highly employable for their professionalism and hardworking attitude.
Located in a Strategic Region
The Philippines is strategically located in Southeast Asia. It is considered to be one of the major capitals in the region. A critical entry point in the ASEAN market, the country also serves as a manufacturing platform to access East Asian countries such as Korea, Japan, and China.
The country has adopted reforms to boost the growth of the economy. It supports a Build-Operate-Transfer scheme and full foreign ownership for some sectors. Certain industries such as banking, insurance, telecommunications, etc. have been deregulated and exiting incentive packages like tax reduction are likewise in place for specific industries.
Warm Culture and Hospitality
The Filipinos are known for their warm and positive attitude at work. On top of that, they are a reliable workforce in any industry. With their global competitiveness, they are highly employable for their skills. The Philippines is also an ideal place for ex-pats to invest on properties or business because of the tropical weather and stunning destinations available all year round. There’s a wide variety of establishments both in the city and in the provinces.
Bright Domestic Economy
The Philippines has a highly competitive and bright domestic economy that generates a lot of business and economic opportunities. The very reason why the country is considered as the ‘rising tiger of Asia’.
Investing in the Philippines might be a good opportunity as the market economy continues to stay in an upward trend in an average.
Plenty of Natural Resources
Dubbed as the Pearl of the Orient, the Philippines holds plenty of resources ranging from marine, mineral, and other resources. It is among one of the biggest copper and gold producers in the world. As an archipelago, it has plenty of beautiful beaches, mountains, and other natural scenic destinations which also help in the country’s tourism.
Affordable Costs of Business and Living
Due to the low startup cost, many businesses are continuously investing in the Philippines because of its promising market. Local services and amenities are also relatively more affordable compared to the US or Europe. Many firms abroad are sourcing business processes, call centers, and tech services in the country. There are quite a number of IT and BPO hubs spread across the country.
Fully Developed Infrastructures
It’s easy to do business in the Philippines because of its fully developed infrastructures, communication, transportation, and other facilities. It is also highly accessible via land, air, and sea travel in all points of the country.
The eight reasons above, give you the top major points to consider why you should be investing in the Philippines. With its valuable workforce, strong domestic economy, and bountiful resources, it holds a bright spot for a potential business venture. In addition, the warm and hospitable culture of its people will make you fall in love with this favorite business destination in the Asian region.
Looking for a Place to Invest in the Philippines?
Aside from the business capital which is located in Manila, there are many other key destinations across the Philippines that is suitable for investing. Check the list below to know what these are.
The province of Batangas offers a good balance of urban and suburban living. Real estate investment in Lipa holds a bright future due to the city’s promising growth. Lipa City has a vibrant economic forecast with the presence of a thriving Business Processing Outsourcing (BPO) industry, call centers, and other IT-related firms. The city is also named as one of the Top 10 cyber growth corridors in the Philippines in recent years.
A well-loved tourism destination, Palawan is hailed as Best Island of the World 2020 and the Philippines’s Last Frontier. The city houses UNESCO World Heritage Sites and world-class marine biodiversity. Located in the Southern part of Luzon, you can find in Palawan pristine beaches with fine white sand, lush rainforests, and rich flora and fauna.
You will also find here the famous Puerto-Princesa Subterranean River National Park and Tubbataha Reefs Natural Park, both UNESCO World Heritage sites.
Bacolod City, also known as the City of Smiles, is an ideal place for investment because of the many opportunities available. The capital city of Negros Occidental is home to various quickly growing industries and high-powered markets.
Bacolod City has emerged as one of the leading investment hubs in the country because of its economic growth over the years. It was listed by the Philippine Chamber of Commerce as one of the most business-friendly local government units under the city level I category which attracts potential investors.
Bacolod is also one of the top livable cities in the country and was named as the Top Model City of the Philippines and 2017 and 2019. The city’s booming IT and BPO industry also helps boost the economic opportunities for the locals.
Butuan City in Agusan del Norte is also a good city to consider for investments because of its strategic location and economic stability. Many opportunities can be found in Butuan because of its growing economy. Apart from being a popular tourism destination, Butuan City has a vibrant and booming economy as the center of trade, commerce, industry, and administration in the CARAGA region.
It has also been consistently placed as one of the Most Competitive Cities by the National Competitiveness Council of the Philippines. It also serves as a gateway to other destinations in Northern Mindanao like Cagayan de Oro, Davao, Siargao, and Surigao.
Cagayan de Oro
Cagayan de Oro is strategically found in a premium location at the center of Northern Mindanao, hence its moniker as the “Gateway of Northern Mindanao.” Cagayan de Oro is a popular destination for Meetings, Incentives, Conventions, and Exhibitions (MICE) in Mindanao. This city in the South is also a transportation and commercial hub in Mindanao.
Davao is the regional center of trade, commerce, and industry in Southern Mindanao. It is a first-class highly urbanized city located in the Southern part of the Philippines. Davao City is in the heart of trade, commerce, tourism, education, and finance in the South making it an ideal investment hub for its robust business climate and thriving economy.
Called the “King City of the South,” Davao is rich in natural resources. It is considered to be the Fruit Basket of the Philippines as well as the Durian Capital of the Philippines. Safety is also a key feature of the city as the local government of Davao is very strict in maintaining peace and order. This translates to a low crime rate, thus making it the second most peaceful and safe city in Southeast Asia.
Infrastructures are also well developed, with big roads, airports, shipping, and other facilities that facilitate an easier way of living.
Every third week of August, the city celebrates the world-famous Kadayawan festival that features colorful parades and fun street dancing.
On top of that, Davao is a favorite tourist destination because of its natural sceneries and wildlife treasures.
Caloocan is a highly urbanized city in Metro Manila. Due to the city’s strategic position, infrastructure advancements, and expansive land areas, it has become a growing alternative area of Metro Manila. Currently, there are many rising businesses in the area that spurs healthy economic activity.
Caloocan is divided into two geographical areas namely North and South Caloocan. North Caloocan shares its border with North Quezon City, Valenzuela, and Bulacan province while South Caloocan is bordered by Manila, Quezon City, Malabon, and Valenzuela.
Caloocan City is the fourth most populated highly urbanized city in the Philippines, next to Quezon City, Manila, and Davao City, according to the Philippine Statistics Authority (PSA). The city was also ranked among the top 10 most competitive cities in the Philippines in the highly urbanized city category in the 2020 Cities and Municipalities Competitiveness Index.
Real Estate Investing in the Philippines
Real estate is one of the most practical investments nowadays. Today, resort-themed condos are taking the lead in the industry because of their world-class amenities which you can access anytime. What’s good about this is that it is easily accessible and convenient.
If you are planning to invest in an affordable resort-themed condo in the Philippines, Camella Manors offers an array of choices in various key destinations across the country. Camella Manors is Vistaland and Lifescapes Inc. newest mid-rise condominium brand located in the regions and nearby provinces of Metro Manila. It promotes all-in lifestyle needs and resort-themed amenities that will cater to young professionals, starting families, investors, and Overseas Filipino Workers (OFWs).
As part of Vista Land’s vision of a “communicity,” Camella Manors is strategically located amidst malls, restaurants, groceries, and other establishments to make life easier. A “communicity” is a master-planned urban development that integrates residential development, commercial and retail establishments, facilities, amenities, and business outlets.
The brand has seven properties at the moment spread all over Luzon, Visayas, and Mindanao. Camella Manors is set to be the next big player in the condominium market.
To strengthen its commitment to the market, Camella Manors holds five towers of commitment: Prime Location, Suburban Environment, Security and Wellness, Value for Money, and Practical Home Investment.
To find out more about Camela Manors, check out our social media pages or visit www.camellamanors.com. Reservations can also be done conveniently and hassle-free through our easy-to-use online payment facilities.