Starting next year, one would feel "luckier" that he lives in Cebu, as the island province is considered as one of the few "recession proof" City economies in the world that will benefit from the worsening global economic meltdown.
Based on its extensive survey, the world's largest commercial and real estate services firm, CB Richard Ellis Group, Inc. projected that Cebu's economy will be saved by its booming Business Process Outsourcing (BPO) and tourism sectors, this optimism will not only benefit Cebu, but domino effects will go down to the rest of Southern Philippines' economy.
In an economic briefing hosted by CB Richard Ellis Philippines, the company's chairman presented a rosy picture of Cebu economic development starting next year, backed up by realistic figures and extensive market study.
According to CB Richard Ellis Philippines chairman Rick Santos Cebu is seeing "life" amid the gloomy global economic prospects, and Cebuanos will expect abounding opportunities for employment and other money-making activities next year.
"As companies' revenues are under pressure Multinationals [firms] look to save costs and move offshore to the Philippines as it's easier to save a dollar than make a dollar. Moving them to multiple outsourcing destinations, and looking beyond to find lower labor costs and land values, make the outlook good for Cebu City," Santos said.
In the South East, people come to the Philippines for political stability and Cebu is the most stable, he said.
After the Mumbai attacks more BPOs in India will be inclined to set up secondary operations and back-up or mirror sites in the Philippines. "More India BPO's will follow WIPRO and Infosysis lead and look to set up in Cebu, here in the Philippines," he added.
The amount of money, and job opportunities that will be brought by the outsourcing companies to Cebu, will benefit the whole economic spectrum of the province, that will boost, retail, domestic tourism, services, transportation, telecommunication, education sectors, among others.
The unfortunate incidents recently happened in Mumbai, India, and in Thailand, would technically favor Cebu's economy. Thailand, as one of the top tourist attraction in the ASEAN is losing thousands of tourists that are now considering the Philippines, specifically Cebu, as alternative destination.
Fortunately, Cebu had been able to position itself as ICT/BPO and tourism destination, these two powerful sectors will drive up Cebu's economy in long term, that will shield the province's tendency to be "contaminated" by the effects of the global crisis.
Cebu being dubbed recently by the American Chamber of Commerce and Industry as the "The best BPO and lifestyle destination in the World" will see a turn-around of economic growth, while other countries and cities in the world will have their share to struggle and cope with the global recession.
Santos dismissed impressions that the Obama-led US government will bring threats to the BPO sector, saying "as long as there is an open telephone line" nobody could stop technology, even as powerful as Obama.
"Recently, the bulk of demand for new office space has come from the Cebu based operations of multinational companies, call centers and BPOs which are expanding to Cebu, and foreign IT companies who have made Cebu a base for their Philippines operations," said Joey Radovan, CB Richard Ellis vice chairman and head of Global Corporate Services report.
"We've also seen companies expanding here from India, in order to have a base of operations in both outsourcing hubs," Radovan said.
Santos added that large corporations are being hit hard by the US recession. "They're searching for a safe haven for their investments, and having doubts about security in India. Cebu is an ideal choice," Santos added.
In tourism, the company is confident that Cebu will post double-digit growth next year, while other destinations are projecting slowdown of arrivals.
"The current slowdown in global tourist travel as a result of the worldwide economic recession had been acknowledged by market commentators, but its tough to spot evidence of a slowdown in Cebu," said the company's general manager Trent Frankum.
"The City is well positioned for growth—hotels are at maximum capacity, and the right infrastructure is in place," Santos stressed.
FOR MORE INFO ABOUT CEBU REAL ESTATE OPPORTUNITY, CALL
Realtor SAMUEL LAO, REBL#1341
PAREB-Cebu Realtor's Board Inc. (2nd VP Elect,2009)
RealtyOPTIONS Marketing & Consultancy Inc.- President/CEO
Tel Nos: (+63 32) 5166194 / 2550374
Mobile: (+63 918) 9236123 / 0922.8236123
www.laosamuel.com
www.laosamuelmls.blogspot.com
No comments:
Post a Comment