IBPAP bets on GCCs to defend PH’s IT-BPM lead
MANILA, PHILIPPINES — The IT and Business Process Association of the Philippines is counting on global capability centers to defend the country’s position in the global information technology and business process management market, with 170 GCCs now operating in the country, up from roughly 150 less than two years ago, as IBPAP targets 30 new GCC setups per year.
According to Jack Madrid, President and Chief Executive Officer of IBPAP, interest from banking and healthcare operators in Australia and Europe is broadening the Philippines’ GCC client base beyond its traditional United States concentration.
Philippines holds 18% of global GCC employment
Business process outsourcing (BPO) operators and global capability centers together anchor the Philippine IT-BPM sector’s US$42 billion revenue target and 1.97 million worker projection for 2026, according to a report from BusinessWorld.
The Philippines currently holds approximately 18% of global GCC employment, with GCC headcount reaching 270,000 workers in 2025 (up from 250,000 in 2024), while the global GCC market is projected to reach US$155 billion by 2027.
The country’s 170 GCCs compare to the roughly 150 new GCCs that India alone adds in a single year, making the Philippines’ annual addition target of 30 a scale ambition rather than a pace description.
Madrid said the recent growth in GCC business lines had been particularly encouraging, noting that operators are expanding the types of services they bring to the Philippines beyond traditional back-office functions.
“I think it’s encouraging to see the continued interest from existing GCCs and prospective GCCs, not just from the US but even from markets like Australia and Europe led by banks, led by the healthcare sector,” said Jack Madrid, President and Chief Executive Officer at IBPAP.
GCCs push beyond Metro Manila as provincial demand opens
Philippine GCCs have traditionally clustered in Metro Manila, but IBPAP data show that incoming operators are increasingly open to provincial locations, a geographic expansion that signals the sector is developing multi-city delivery infrastructure rather than a single-hub model.
Artificial intelligence (AI) enablement and specialized banking and healthcare functions are driving GCC demand from international operators who view the Philippines as capable of higher-value work beyond traditional shared services operations.
Ilagan described the current momentum as a period of positive indications for GCC growth, noting that continued interest from both existing operators and new entrants is sustaining the expansion.
“GCCs are traditionally located in Metro Manila but they are now more open to looking at places outside of Metro Manila, so I think that’s a good sign that they are expanding,” said Celeste Ilagan, Chief Operating Officer at IBPAP.
For buyers evaluating outsourcing in the Philippines, IBPAP’s 170-GCC count and 30-per-year expansion target signal that multinational operators have moved from exploratory interest to committed delivery center investment.
“We can be both: a world-class outsourcing hub and a GCC hub powering enterprise transformation,” Madrid said.
Related news
- Philippine IT-BPM cuts its growth targets on AI · 17 Jul
- Philippine IT-BPM targets $42Bn in revenue, 1.97Mn jobs for 2026 · 24 Jun
- BPO boom powers Philippines’ 6.3% growth amid trade risks · Apr 2025
Disclosure: Outsource Accelerator uses AI tools in the backend of its editorial workflow. Every article is reviewed and verified by a human editor before publication.
Stay ahead of the outsourcing industry. Join thousands of business leaders who rely on Outsource Accelerator for the news, trends, and expert insights that matter. Subscribe to our free newsletter and never miss an update.
