PH BPOs to benefit from providing value-added services, says World Bank
The Philippines’ Business Process Outsourcing (BPO) industry could benefit from providing value-added services and implementing institutional policies.
According to a report published by World Bank, the BPO sector — one of the “crowning glories” of the Philippine economy — could have stronger prospects for revenue growth and job generation if it strengthens its analytics and AI (artificial intelligence) verticals.
These suggestions came after the IT-BPM Process Association of the Philippines (IBPAP) reported a 10.6% revenue growth in the IT-BOM industry in 2021, totaling $29.49 billion in gross revenues. This figure could double in 2028, reaching an annual figure of $59 billion.
World Bank’s paper also stated that economic recovery in the Philippines could be accelerated by focusing on three industry clusters: (1) industrial, manufacturing, and transport; (2) technology, media, and telecommunication; (3) health and life science.
Ndiame Diop, World Bank Country Director for Brunei, Malaysia, Philippines, and Thailand, said, “Greater participation in global value chains can be a powerful driver for productivity and growth, enabling countries to leapfrog their development process as seen in many countries in East Asia.”
Diop added that countries that have leveraged their strengths in specific tasks and roles in manufacturing, services, and export at scale create more jobs and reduce poverty faster.
