According to KMC MAG Group, local counterpart of London-listed real estate service provider Savills, the bullish economy and business process outsourcing (BPO) industry of the Philippines make its real estate market a frontrunner in Asia.
KMC MAG Group Vice-president Yves Luethi said Manila possesses favorable traits that investors are looking for. These include a talented workforce, healthy BPO and tourism sectors, positive government spending, and improved domestic consumption. Moreover, he said compared to the country’s counterparts in Asia, its rates remain relatively low.
Manila takes the fourth spot in Urban Land Institute’s report as the most preferred city in Asia - beating Hong Kong, Sydney, and Singapore. The top three, however, were taken by Tokyo at first place, Shanghai at second, and Jakarta at third place.
Meanwhile, Michael McCullough, Managing Director at KMC MAG Group, said the expanding BPO sector, influx of investors, and strong private consumption put the Philippines in a great position in the real estate market of Asia.
In 2013, the economy of the Philippines grew from 6.8 percent in 2012 to 7.2 percent. The government, on the other hand, is targeting 6.5-7.5 percent growth.
KMC MAG Group noted that as outsourcing gets more popular in developed nations, it is likely that foreign investments to the country will grow as well, which can result to 124,000 jobs in the information technology-business process outsourcing (IT-BPO) sector this year.