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PH: 2nd to India in Global Outsourcing Market

by: Sarah Joson

Monday, January 27, 2014 | Outsourcing News |

According to a report by consulting firm Tholons, India and the Philippines are still the prevalent hubs for business process outsourcing (BPO) worldwide.

PH second in Global Outsourcing Market

The firm’s report, which ranks the top 100 outsourcing hubs, showed that the top 8 cities can be found in the Philippines and India. Bangalore is still at the top spot, with Manila taking second place from Mumbai. Another city in the Philippines that made it to the top 8 is Cebu.

India’s edge was found to be its large workforce. In fact, it employed 2.8 million citizens in the BPO industry back in 2012, a far cry from the Philippines’ 750,000 in the same year.

In terms of revenue, industry body NASSCOM predicts that by 2020, India will generate $50 billion. The Philippines, on the other hand, is targeting $27.4 billion by 2016.

Meanwhile, the Philippines’ improving infrastructure and support from the government make it a stronger candidate in the outsourcing arena. It has a number of emerging cities for BPO, and 10 more are strongly considering developing their area to become outsourcing hubs.

Some of the Philippine cities that were included in Tholons’ list are Davao, which climbed one spot from 70th to 69th, Metro Laguna at 82nd from 84th last year, Bacolod at 93rd and Iloilo at 95th.


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