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PH Digital Cities For IT-BPM StartUps and Expansion

The compound annual gross rate of the IT-BPM services industry in the Philippines grew to only 3.5% compared to the 8.9% projected rate because of economic recession and geopolitical factors, however, there is a potential for the IT-BPM services market to increase its headcount by 7.0% and revenue by 7.5% per annum between 2020-2022 according to research by Everest Group. The Department of Information and Communications Technology saw this opportunity as a time to transition to  faster, reliable and sustainable digital services infused in a project called the Digital Cities 2025.


ICT Enabled Government


Easier access of government services online for citizens, other local government units and businesses are in place as well as an I.T. systems management support. A secure connectivity and cloud hosting will be available for entities to exchange data with government facilities online. Digital signatures will also be allowed while collaboration tools and video conferencing applications will consistently be used for communications.


ICT Capacity Development


To upscale talent skills and productivity, arrangements like work-from-home and online classes are available for students and the workforce. Digital learning management systems and content will be accessible by anyone with an internet connection. The DICT IT Academy is also up and running for students and workers needing training for digital skills needed for long-term and short-term employment. Free WiFi sites in 1,000 public hospitals, government agencies and rural health units and WiFi hotspots in nearly 60 COVID-19 testing and quarantine centers across the country are also in place for speed up health and emergency responses and demand for job application and business to government transactions online.


Digital Cities For IT-BPM StartUps and Expansion


The business climate in the Philippines is relatively stable thanks to developing digital cities in the archipelago that have low COVID-19 cases and a suitable business environment with low cost investments in office space and reliable I.T. systems. The 25 digital cities’ profiles can be viewed at to help investors determine the potential location for their business without having to make site visits. The Philippine government will also be ready to provide technical assistance whenever the need arises.


IT-BPM Demand In The Philippines


David Leechiu, co-founder and CEO of Leechiu Consultants and IT and Business Process Association of the Philippines board of trustee reported that the IT-BPM industry occupied 596 square kilometer of office spaces across cities in 2019. ITM-BPM still holds the biggest share of office space investments in May 2020 with 37% of office spaces occupied across digital cities. 


Philippines still has the upperhand when it comes to IT investments because of its low attrition rate in talents at 60% compared to the US and India that is around 130%.Philippine salary is also 75% of the cost of labor in the U.S., making investments in the digital cities a wise choice of investment among BPOs around the world. 


Leverage your business at low investment cost and with a rich talent pool in the Philippines. Contact Tahche at +1 347-467-1066 for your outsourcing needs.

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