PH’s economic outlook looks bright, economist says
MANILA, PHILIPPINES – The country is looking at a bright 2023, as economists anticipate steady growth while noting the business process outsourcing (BPO) industry’s significant role as a major driver.
“Mathematically, we came from a low base, there were pockets of lockdowns in 2021, but of course, any growth is magnified by that,” Rizal Commercial Banking Corp. chief economist Michael Ricafort said in the Daily Tribune’s online show Straight Talk.
He projected that the gross domestic product (GDP) will fall between six to 6.5 per cent.
“BPO revenues also always hit new record highs despite the pandemic because it has been contrarian in the sense that whenever there are global economic crises, well, there’s a tendency for BPOS to pick up because global companies outsource and they remain competitive,” Ricafort said.
“(The) Philippines is number two in the world for BPO (industry and) for OFW remittances, that’s at least $35 billion per year and still growing, moving towards convenience,” Ricafort said.
Ricafort noted that the top players in the global BPO industry are the Philippines, India, China, and Mexico.
According to Ricafort, the Philippines would have the BPOs to cover the trade deficit of the country, which is more than P50 billion.
