Philippines emerges as healthcare outsourcing hub, says fintech firm
MANILA, PHILIPPINES — The Philippines is solidifying its position as a critical hub for the global healthcare outsourcing industry, according to financial technology firm Payoneer.
“The Philippines is becoming a global health technology outsourcing powerhouse, thanks to its skilled workforce, strong compliance standards, and cost-effective operations,” says Monique Avila, Senior Director of Customer Success at Payoneer in the Asia-Pacific region.
Philippines shifts to high-value healthcare outsourcing
To gain a larger share of the specialized outsourcing in healthcare, the nation is leveraging its highly skilled workforce, which encompasses the English-speaking population, as well as a cost-effective workforce.
Payoneer notes that data from the Department of Trade and Industry shows the Philippines is moving away from traditional business process outsourcing (BPO) services to more on high-value knowledge industries, such as healthcare information management services, including clinical documentation, medical billing, and telehealth support.
Examples like Global Medical Virtual Assistants (GMVA) are emerging to bridge the gap between the Filipino professional population and healthcare providers in the United States, both administratively and clinically.
The future of this pivot hinges on the industry’s ability to deliver reliable and high-quality services that meet international standards for healthcare.
Skilled workforce drives expansion
Recent surveys highlight strong Filipino literacy, with the Social Weather Stations (SWS) reporting 47% of Filipinos are competent in English and the 2024 Functional Literacy, Education, and Mass Media Survey (FLEMMS) revealing that nine out of every ten possess basic literacy, while seven are functionally literate.
The Philippine healthcare BPO industry currently employs over 200,000 remote professionals, according to Payoneer.
The new business opportunity presents a significant economic opportunity, yet it also poses a major operational challenge. All these aspects make it an industry that must constantly match market demand with the need to retain the quality of its workforce, comply with regulatory requirements, and strike a balance in its expenses.
