by: Sarah Joson
Friday, June 19, 2015 |
The Philippines’ improving business climate has once again piqued the interest of Germany as trade volume between these countries increased to $1.57 billion in the first quarter of 2015, from $1.17 billion a year earlier.
According to German-Philippine Chamber of Commerce and Industry (GPCCI) Executive Director Peter Kompalla, this signifies that German investors are strongly considering doing business in the Philippines. He added that since the Philippines is said to be an emerging investment destination in Southeast Asia, it has since been positioned as a credible contender amongst its neighboring countries.
In 2013, the Germany-Philippines trade was valued at $4.48 billion, and rose to $5.24 billion last year.
The GPCCI executive noted that the improvement in the Philippines’ image was mostly because of governance reforms of the Aquino administration, and investment-grade ratings by renowned agencies such as Standard & Poor’s, and Moody’s.
A GPCCI report revealed that the Philippines’ top exports to Germany include data processing equipment, electrical and optical products, electrical equipment, clothing, food and fodder, as well as chemical products. The Philippines, on the other hand, imports data processing equipment, electrical and optical products, food and fodder, other vehicles, pharmaceuticals, and chemical products from Germany.
Continental AG, Lufthansa AG, Volkswagen AG, Steag GmbH, Bayer AG, and Deutsche Bank AG are the top German investors in the country. German investors are also looking at expanding business process outsourcing (BPO) operations in the Philippines particularly for accounting and banking services, with the country surpassing India as the world’s top BPO destination for voice processes.
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