Israel’s biz community eyes PH BPO investments
Several Israel-based companies are interested in investing in the infrastructure, agriculture, water, and Business Process Outsourcing (BPO) industries in the Philippines.
During a roundtable discussion with BusinessWorld, Israel Head of Economic and Trade Mission to the Philippines Tomer Heyvi said that they are only waiting for the amendment of the Public Services Act.
Congress last month ratified the measure amending the PSA Act, which was forwarded to Malacañang for President Rodrigo R. Duterte’s signature.
Once signed, telecommunications, domestic shipping, railways and subways, airlines, expressways and tollways, and airports will no longer be subject to the 40% foreign ownership cap under the Constitution.
At the same time, Israeli Ambassador Ilan Fluss said that Israeli firms are mainly looking to invest in the BPO sector as the Philippines is “a good place to outsource.”
Fluss added that Israel will focus on economic development and innovation to advance its relationship with the Philippines.
Israel is known for its expertise in technology and innovation, with 13% of its gross domestic product coming from the high-tech industry. More than 300 multinational corporations have research and development centers in Israel. It also houses nearly 4,000 startup companies.
Total bilateral trade between Israel and the Philippines reached a value of $338 million in 2019. Some of the trade between the two countries include agricultural products, semiconductors, BPO services, and tourism.
