Data from a report by Pinnacle Real Estate Consulting Services Inc., stated that the business process outsourcing (BPO) sector of the Philippines will be accounting for 80 percent of the total demand for prime office spaces in the country.
The study also found that key players are projected to go past the projected number of employees, which is 1 million, by adding 120,000 to the workforce by the end of 2014. Also, the BPO sector is expected to contribute US$18 billion in revenue for 2014.
The bullish BPO sector is also believed to be responsible for the growth of the country, with the recent declaration of Dr. Jim Yong Kim, President of World Bank Group, that the Philippines is the "next Asian miracle" backed by the government and strong macroeconomic fundamentals.
Excerpts from Dr. Kimís speech stated that the Philippines has a sound investment environment and will experience sustained growth. As for the developers, this could mean more opportunities that they can bank on. The 15 top developers in the country have allotted about P300 billion to speed up projects for 2014. Also, developers are preparing for the upcoming ASEAN Economic Community (AEC) integration.
However, even if the total leasable area of office space is close to 500,000 sqm, majority of the offices have already been accounted for and have signed leased contracts even before the buildings were finished.