Quality Manpower and Resources
The Filipino workforce is one of the most compelling advantages the Philippines has over any other Asian country. With higher education priority, the literacy rate in the country is 94.6% - among the highest. English is taught in all schools, making the Philippines the world's third largest English-speaking country. Every year, there are some 350,000 graduates enriching the professional pool.
Strategic Business Location
The Philippines is located right in the heart of Asia - today the fastest growing region. It is located within four hours flying time from major capitals of the region. Sited at the crossroads of the eastern and western business, it is a critical entry point to over 500 million people in the ASEAN market and a gateway of international shipping and air lanes suited for European and American businesses.
Liberalized and Business-Friendly Economy
An open economy allows 100% foreign ownership in almost all sectors and supports a Build-Operate-Transfer (BOT) investment scheme that other Asian countries emulate. Government corporations are being privatized and the banking, insurance, shipping telecommunications and power industries have been deregulated. Incentive packages include the corporate income tax, reduced to a current 32%, with companies in the Special Economic Zones are subject to only 5% overall tax rates. Multinationals looking for regional headquarters are entitled to incentives such as tax exemptions and tax and duty-free importation of specific equipment and materials.
Developing Infrastructure for Global Growth
A well-developed communication, transportation, business and economic infrastructure links the three major islands and distinguishes the Philippine economy. Highly accessible by air, water and cyberspace, liberalization of inter-island shipping and domestic aviation further sparked improved facilities and services. The container terminals are suited to handle cargo traffic at the highest levels of efficiency.
Communication provides redundant international connectivity 24/7 with fiber optic cable as primary backbone network and satellite as backup. Economic reforms emphasize regional growth, converting remote areas into business centers. The landmark BOT legislation allows private investors to build and operate infrastructure, then turn it over to the Philippine government after a set period of time.
Discover the best of sun, sea, sand and style in the tropical setting teeming with the best of western amenities. The Philippines is second home to expatriates who enjoy the company of the warmest people in the region, the country's openness to varied cultures and a decidedly global outlook. Expats enjoy accessible and affordable luxuries - business centers, housing, schools, hospitals, shopping malls, hotels and restaurants, beach resorts, and recreation centers.
Unlimited Business Opportunities
As Asian economies integrate within the vast framework of the ASEAN Free Trade Agreement (AFTA), the Philippines is the natural and most strategic location for firms that want access to the large ASEAN market and its vast trade opportunities. The Philippines has enhanced and primed up various areas for investors and offers a dynamic consumer market accustomed to an array of product choices created by a competitive domestic economy.
A Checklist of Business Requirements
This is a general guide for investors on the requirements for doing business in the Philippines.
General Registration Requirements
Investors setting up business in the country have to comply with the following general requirements:
Registration of corporations and partnerships
Securities and Exchange Commission (SEC)
Registration of business name/single proprietorship
Department of Trade and Industry
Registration for availing of incentives under Executive Order 226 or the Omnibus Investment Code.
Board of Investments (BOI)
Registration with other Investment Promotion Agencies for availing of incentives
Philippine Economic Zone Authority (PEZA)
Subic Bay Metropolitan Authority (SBMA)
Clark Development Corporation (CDC)
Cagayan Economic Zone Authority
Phividec Industrial Authority
Zamboanga Economic Zone Authority
Registration of foreign investments for purposes of capital repatriation and profit remittances
Bangko Sentral ng Pilipinas (BSP)
Securing Tax Identification Number (TIN)
Bureau of Internal Revenue (BIR)
Securing locational clearance/business permit for firms locating in Metro Manila
Metro Manila Development Authority (MMDA) /City Hall/Municipal Offices in the localities where the business will be set up
Securing an employer's SSS number
Social Security System (SSS)
Securing membership in the government health care benefits system
Philippine Health Insurance Corporation
Securing electric services connection
Manila Electric Co. (MERALCO) for business in MERALCO franchise area; local electric utility firms for companies locating in non-MERALCO franchise area
Securing Water services Maynilad Water Company and/or Manila Water Company for firms locating in Metro Manila and Local Water Utilities Administration (LWUA) for firms locating outside Metro Manila