Philippines BPO sector sees strong investor interest
MANILA, PHILIPPINES — The Philippine business process outsourcing (BPO) industry continues to see strong investor interest amid robust demand and a positive future outlook.
Industry group IT and Business Process Association of the Philippines (IBPAP) President and CEO Jack Madrid said investor appetite persists from current and prospective operators planning local centers.
The sector remains on track to reach 1.8 million employees this year, confident of soon exceeding 2 million towards its 2.5 million target by 2028.
In 2023, an 8% growth brought the sector to 1.7 million workers and $35 billion in revenue. It targets a 7-8% staff increase this year, with $39 billion in revenue.
However, Madrid said the industry continually faces talent supply challenges serving its markets.
“Our challenge is in supplying the badly needed talent for us to defend and increase our market share,” he stated.
Still, the BPO industry’s positive outlook supported local stock and currency gains this week. On January 23, the Philippine Stock Exchange index reverted to the 6,600 level, gaining 38 points to 6,622. Broader All Shares also rose 14 points to 3,494.
Rizal Commercial Banking Corp. economist Michael Ricafort partly attributed Tuesday’s near-six-month stock highs to robust US markets, paused rate hikes, and the promising outlook in the Philippine BPO sector.
