Are you wondering why everyone is excited to invest in the Philippines? This is an article taken from Philippine Skylines on why the Philippines is the best place to invest now! Enjoy :-)
WHY THE PHILIPPINES?
The Philippines is ranked #1 in the availability of knowledge-based jobs and workers worldwide, and ranked
4th among Asian nations in terms of 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 country 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
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 and 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.
The Philippines is the best Asian country in terms of 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 only to Australia and the U.S. and was ahead of Singapore and Japan. Rated
highly were its cultural compatibility with expatriates, 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. 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 35 to 50% application systems and software development.
The Philippine government has redefined its role through privatization that allowed private sector
participation in the development of infrastructure and services in the country. It is adopting the innovative
Build-Operate-Transfer scheme, a model now being followed by other countries due 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
Attractive incentive packages are available to qualified enterprises in the country's numerous Special
Economic Zones and Industrial Estates . Special Economic Zones 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.