Number 1 in voice. Number 2 in non-voice, complex services.
And growing rapidly.
Why Do Business in The Philippines
The Philippines is the primary destination of choice for voice services and the second most preferred destination for IT-BPO and GIC complex, non-voice services after India.
In January 2011, Everest Research announced that the Philippines surpassed India as the global number one voice services center, with US$5.7 billion in revenues. In 2010, the industry employed a total of 525,000 skilled workers and professionals, a 24% increase from 2009, and generated revenues of $9 billion.
Within about a decade, the Philippines has established itself as one of the top destinations globally for IT-BPO and GIC operations (Information Technology, Business Process Outsourcing, and Global In-House Centers). From less than US$100 million in total revenues in 2001, the Philippines increased IT-BPO and GIC revenues to USD3.3 billion in 2006, effectively doubling revenue every year.
This high rate of growth has persisted even as the industry has grown beyond its initially small base. Between 2004 and 2006, the industry grew 49% per year. As a result of this growth, the Philippines is the acknowledge global leader in voice IT-BPO and GIC, and it is number two in complex, non-voice services in a wide range of sectors and functions.Read More: About the IT-BPO and GIC in the Philippines
The Philippines features a business-friendly regulatory environment and aggressively markets the country to IT-BPO and GIC investors. IT-BPO and GIC have been identified as one of five priority development industries for the country. Investors enjoy competitive fiscal and non-fiscal incentives:
Read More: Benefits of Doing Business in the Philippines
The Philippine Economic Zone Authority (PEZA, www.peza.gov.ph) is a government corporation set up to oversee the promotion of world-class economic zones (ecozones) and the establishment of ready-to-occupy locations for foreign investments. The agency provides attractive incentives for ecozone locators and IT-BPO and GIC investors, developers, and operators.
For ecozone developers and operators, the following incentives are available:
Read More: Investment Incentives
Presidential Decree No. 442 or the Labor Code of the Philippines consolidates labor and social laws to protect labor and promote employment, develop talent and ensure industrial peace based on social justice:
The cost of living in the Philippines is generally considered very low, although it varies widely. For Filipino workers, the cost of living has been estimated at approximately P1,000/day, or the equivalent of about US$20. For expatriates living in exclusive villages, costs will be significantly higher. Surveys by foreign chambers show rental rates for a three-bedroom home in a gated community range from $1,500 to several thousand dollars a month. Most middle- and upper-economic class Filipinos employ two to three house help and a driver at rates ranging from less than $100 to $300 per month.