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Why Invest in the
Philippines?
People Power
The Filipino workforce is one of the most compelling advantages the
Philippines has over any other Asian country. With higher education
priority, the literacy rate in the country is 94.6% - among the
highest. English is taught in all schools, making the Philippines
the world’s largest English-speaking country. Every year, there are
some 350,000 graduates enriching the professional pool.
Strategic Business Location
The Philippines is located right in the heart of Asia – today the
fastest growing region. It is located within four hours flying time
from major capitals of the region. Sited at the crossroads of the
eastern and western business, it is a critical entry point to over
500 million people in the ASEAN market and a gateway of
international shipping and air lanes suited for European and
American businesses.
First-class lifestyle
Discover the best of sun, sea, sand and style in the tropical
setting teeming with the best of western amenities. The Philippines
is second home to expatriates who enjoy the company of the warmest
people in the region, the country’s openness to varied cultures and
a decidedly global outlook. Expats enjoy accessible and affordable
luxuries – business centers, housing, schools, hospitals, shopping
malls, hotels and restaurants, beach resorts, and recreation
centers.
Abundant resources
An archipelago like the Philippines offers diverse natural
resources, from land to marine to mineral resources. It is also the
biggest copper producer in Southeast Asia and among the top ten
producer of gold in the world. It is also home to 2,145 fish
species, four times more than those found in the Bahamas. The 7,100
islands boast of beautiful beaches and breathtaking sceneries that
offer soothing leisure and relaxation spots for vacationers and
tourists.
Low cost of doing business
Wages are typically less than a fifth of that in the U.S. Local
communication, electricity and housing costs are also 50% lower
compared to the U.S. rates. Foreign companies that are now
outsourcing programming and business processes to the Philippines
estimate 30 to 40% business cost savings, 15 to 30% call center
services and application systems and 35 to 50% software development.
Liberalized and Business-Friendly Economy
An open economy allows 100% foreign ownership in almost all sectors
and supports a Build-Operate-Transfer (BOT) investment scheme that
other Asian countries emulate. Government corporations are being
privatized and the banking, insurance, shipping telecommunications
and power industries have been deregulated. Incentive packages
include the corporate income tax, reduced to a current 32%, with
companies in the Special Economic Zones are subject to only 5%
overall tax rates. Multinationals looking for regional headquarters
are entitled to incentives such as tax exemptions and tax and
duty-free importation of specific equipment and materials.
Unlimited business opportunities
As Asian economies integrate within the vast framework of the ASEAN
Free Trade Agreement (AFTA), the Philippines is the natural and most
strategic location for firms that want access to the large ASEAN
market and its vast trade opportunities. The Philippines has
enhanced and primed up various areas for investors and offers a
dynamic consumer market accustomed to an array of product choices
created by a competitive domestic economy.
Developing Infrastructure for
Global Growth
A well-developed communication, transportation, business and
economic infrastructure links the three major islands and
distinguishes the Philippine economy. Highly accessible by air,
water and cyberspace, liberalization of inter-island shipping and
domestic aviation further sparked improved facilities and services.
The container terminals are suited to handle cargo traffic at the
highest levels of efficiency.
Communication provides redundant international connectivity 24/7
with fiber optic cable as primary backbone network and satellite as
backup. Economic reforms emphasize regional growth, converting
remote areas into business centers. The landmark BOT legislation
allows private investors to build and operate infrastructure, then
turn it over to the Philippine government after a set period of
time.
Contact Us
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You're invited to call us to discuss
your company's legal matters. We shall be glad to talk with you over
the telephone, or in our office or yours, whichever is easiest for
you. You can also e-mail us at
gtalaw@gtalawphil.com and we shall get back to you
immediately.
GUZMAN TAÑEDO & ACAIN
Mile Long Building 316
Legaspi Village
Amorsolo Street
Makati City
Telephone: 8941441
TeleFax: 8124296
e-mail:
gtalaw@gtalawphil.com
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