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Philippines to ride global manufacturing growth wave to be one of Asia Pacific’s economic standouts
Competitiveness: Catching the next wave
The Philippines, capitalizing on the global manufacturing wave and other key industries, is set to become a growth leader of Southeast Asia. This second report in a competitiveness series examines how the Philippines has shed the moniker of “the sick man of Asia”, and delves into the key sectors driving the Philippines’ future prosperity.
2014 Philippines Competitiveness Report
In the past three years, the Philippines has emerged as one of the stellar economic performers in the Asia Pacific region. And confidence is high that this energetic growth will continue.
While the Philippines still must do more to reduce unemployment and create a path of long-term sustainable growth, there are opportunities in key industry sectors that are likely to propel the country’s growth for the next twenty years. As labor rates rise in China, the Philippines could become a more attractive manufacturing center, especially if the nation’s power supply is stabilized. The business process outsourcing (BPO) sector also has room to expand further. Smart investments in infrastructure could boost the construction sector and lead to higher productivity growth, as would improvements in the nation’s roads and harbors. All these efforts can be supported by continued reforms to make the Philippines even more competitive in the dynamic and fast-changing Southeast Asian region.