Philippines ranking seventh place as the top promising destination for offshore businesses in the next three years gives you more reasons to start investing and strengthen existing investments in the country.
This significant conclusion was conducted by Japan-based financial institution—Japan Bank for International Cooperation (JBIC).
The survey involved 530 Japanese companies in 2020, who all stated that “the confirmed number of foreign direct investment has been steadily rising, and there is huge estimation of competent human resources” in the Philippines.
Growing Demand For Office Spaces
Despite prolonged work-from-home arrangements caused by the pandemic, there is still a bigger demand for office spaces in different regions of the country.
The Japanese companies also believe the Philippines as “good for risk diversification to other countries.”
Aside from PH, countries including Vietnam, Thailand, China, the United States, Indonesia, India, Myanmar, Mexico and Malaysia were also chosen as the top offshore business locations.
The Philippines along with Malaysia and Myanmar was “consistently popular” among Japanese manufacturers.
Philippines As An Engineering Outsourcing Hub
The Philippines gained fifth rank for electrical equipment and electronics and eighth rank for automobiles and general machinery in terms of industry.
Japanese firms saw a growth potential of the local market, a sizable domestic market af present and affordable labor as factors for business expansion.
The survey also stated that the Philippines is also an attractive investment next to Indonesia because of its existing firms aiming to increase production and sales at 59.5 percent.
Japanese companies specializing in transportation equipment and metal products also prefer the Philippines because of the high profit rate.
The survey also concluded that the Philippines was the top 9 country perceived as the most profitable offshore location by Japanese firms.
For more relevant business updates, contact Tahche today to know more about outsourcing your business in the Philippines.