philippines- a business and investment environment introduction

8/8/2019 Philippines- A Business and Investment Environment Introduction

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PHIILIPPINESA BUSINESS AND INVESTMENT ENVIRONMENT INTRODUCTION

Quick Facts

REPUBLIC OF THE PHILIPPINES

Capital: Manila

Government Type: Republic (Democracy)

Area: 300,000 sq.km.

Population: 99,900,177 (July 2010 estimate)

- country comparison to the world: 12

Religion: Roman Catholic 80.9%, Muslim

5%, Evangelical 2.8%, other Christian 8.8%,

other 1.8%, unspecified 0.6%, none 0.1%

Literacy: 94.6%


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Quick FactsInvestments: 14.3% of GDP

GDP: $324.4 billion (purchasing powerparity)

Labor force: 37.89 million

Graduates per year: 405,000

GDP Composition: agriculture 14.9%,industry 29.9%, services 55.1%

Industries: electronics, assembly,garments, footwear, pharmaceuticals,chemicals, wood products, foodprocessing, petroleum refining, fishing

Economic Snapshot

Philippine economy posted 7.8% GROWTHFOR Q1 2010 AND 7.9% for Q2 2010

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Economic Snapshot

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Inflation has dropped to 3.5% as ofAugust 2010, from a high of 4.4%within the year, 7.3% in February of2009 and a peak of 12.5% in August2008

Investment Climate

Philippine Investor Confidence in Q2 2010Surges to Highest Rating in Two Years,with a score of 157/200. 157 bordersbetween Optimistic ann Very Optimistic

This is sustained for Q3 ING Bank -Investor Dashboard Survey

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204% growth in investments from the same periodin 2009

Total Investments 2009 PHP 314.11 Billion

Investments 2010 1st Semester = PHP 264.38Billion


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an N-11 Economy

Goldman Sachs predicts the rise

of the N-11 Economies after the

BRIC countries.

The Philippines is one of the

N-11 countries.

UK-Philippines Economic Relations Outlook

UK Exports to Philippines in 2009 - 258mincrease of 11% on 2008.

The UK is the largest investor in the Philippinesfor the past decade with combined investmentsof 6.6 billion from 1999-2009.

The UK remains as the largest European Investorin the country to date.

The Philippines, with over 92 million people, isalso one of the largest markets in Southeast Asia

and the 12th largest country in the world in termsof population. The economy is projected to growby 5 - 6% in 2010.

-http://www.ukti.gov.uk/export/countries/asiapacific/


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World Class Human Resources

37.89 Million-strong labor force

94.6% Literacy rate

70% fluency in English

405,000 University/ College graduates peryear

(101,000 IT / Computer ScienceGraduates, 111,000 BusinessGraduates and 73,000 Medical &

Allied/ Natural Sciences Graduates)

English speaking The Philippines is theworlds third largest english speaking nation.

Exported and highly sought worldwidePHILIPPINES: WINNER

OFFSHORING DESTINATION OF

THE YEAR 2010, 2009 AND 2007

Established Infrastructure andTelecommunications Networks

EXTENSIVE INFRASTRUCTUREEXPANSION & SUPPORT

9 International Airports

20 Domestic Airports

3 Railway lines in Metro Manila

12 Roll on/Roll off ports/ marine highways

Newly constructed (major) expressways

ESTABLISHED TELECOMMUNICATIONSSYSTEMS AND NETWORKS

completely deregulated

International connectivity and expandingmultimedia Infrastructure

high volume capacity for voice


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Strategic LocationThe Philippines borders Asia Mainland and the

Pacific Ocean.

Convenient Access to the 550 Million-strongASEAN Market

Reachable within 4 hours by plane from other keyAsian Cities

Regional Hubs in neighboring ports and countriessuch as Singapore, Hongkong and Tokyo providenumerous travel options.

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Flying Times from key Asian cities:

Tokyo - 4 hours

Seoul - 3.5 hours

Shanghai - 3.25 hours

Singapore - 3 hours

Abundant Resources, TropicalClimate & Amazing Destinations


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Unmatched GovernmentIncentives & Support

4 to 8 years Income Tax Holiday

Special 5% tax rate on gross income after thelapse of the Income Tax Holiday for Economicand Special Zone locators

Tax and duty exemption and Zero Duty onqualified imported capital equipment

Exemption from 12% V.A.T on allowable localpurchase of goods and services

Unrestricted use of consigned equipment

Employment of foreign nationals

Working Visas, Special Investors ResidentVisas, Retirees Visas

Manufacturing 63

IT Parks 127

Tourism 9

Medical Tourism Parks/ Centers 2

Agro Industrial Centers 6

Priority Sectors

Infrastructure & PPP

I.T. & Business Support Outsourcing

Tourism & Tourism Infrastructure

Green Projects & Renewable Energy

Electronics Manufacture

Sustainable Mining


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www.investphilippines.org.uk

Philippine Trade and Investment Center - LondonEmbassy of the Philippines Commercial Section

O!ce of the Commercial Attach & Director1A Cumberland House, Kensington Court

London W8 5NX EnglandUnited Kingdom"

Telephone Nos.: """"+44 207 937 1898/ 7998 "Fax Nos.: """"""""""""""+44 207 937 2747"

E-mail:"""""""""""""""

[email protected]: """"""""http://investphilippines.org.uk

Thank you very much!

philippines- a business and investment environment introduction

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