Power outages turn off BPO investors in Next Wave Cities

Despite the call for expansion in provincial areas, business districts in Metro Manila continue to grow, buoyed by the rising demand from business process outsourcing (BPO) companies. According to Sheila Lobien, regional director and head of leasing for global real estate services firm JLL, a number of BPO companies have been setting up locations in the provinces in the Next Wave Cities. However, power outages due to unmet demand for electricity have dampened their interest in a number of these cities. This has prompted BPO companies to continue looking for locations in Metro Manila, resulting in the continuous growth of all the business districts of the Philippine capital. Lobien added that BPOs and other players in the outsourcing industry continue to grow at 18% to 19% year on year.