Martial law and payment woes cripple outsourcing growth in Mindanao

Martial law and payment woes cripple outsourcing growth in Mindanao

Payment system problems and martial law are taking a toll on the growth of technology start-ups as well as the overall outsourcing industry in Davao City. In an interview with BusinessWorld, US-Philippines Commerce and Industry Agency vice-president Rick Von Pfeil said at least three local projects were delayed because of the payment system. Von Pfeil added that the easiest way to get paid for outsourced services is via credit cards and bank transfers, not through the online payment service PayPal. He also said the payment process at PayPal is tedious and disastrous, adding that Americans are no longer using it. Another area of concern for Mindanao is the ever-present martial law. Chief executive officer of Leechiu Property Consultants, David Leechiu, said martial law has hindered a generation of jobs and BPO expansion plans in the cities of Davao and Cagayan de Oro. He has been appealing to the government to lift martial law in Mindanao’s key cities.

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