economic driver

BPO Industry: Davao’s economic driver

Business process outsourcing (BPO) industry is now eyed as a major economic driver of Davao with the BPO businesses growing investment in the city.

Davao’s BPO industry has been dubbed by one of the country’s biggest real estate services firm, Jones Lang LaSalle, as the most in demand for workers in the country.

Back in 2014, an estimated of 33,000 BPO full time equivalent employees are recorded.  This is based on the IT and Business Process Association of the Philippines (ibpap) data.

The city’s BPO sector has already thrived in 2015 generating 34,000 jobs and will continue to grow for the next years.

“The country’s top BPO locators told us during the BPO forum on Tuesday that Davao, among all the cities in the Philippines, has absorbed the biggest number of the BPO demand in the country last year.” – Lawyer Samuel Matunog, (ICT)-Davao President

Officer-in-charge of the Davao City Investment Promotions Center (DCIPC), Ivan Cortez, said that “with multimillion investments being poured by the BPO industry to the city through the construction and expansion of more BPO spaces, open the creation of more jobs in the service sector.”

DCIPC recorded an increase of more than 14,000 jobs with 70 percent growth from 20,000 of January to 36,000 by the end of year 2015.

On the other hand, property consultant David Leechiu, emphasized that the stability in supply of workforce is needed to maintain the industry’s growth.

Davao city is among the ‘Tholons Top 100 Outsourcing Destinations’ around the world in the year 2015. Other cities in the Philippines which were also included in the top 100 are Manila, Cebu, Metro Laguna, Bacolod, Iloilo City, Baguio City and Metro Clark.

Moreover, IT-BPO industry of the Philippines aims to achieve $25 billion in revenues this year. This will contribute for about 7 to 7.5 percent to the Philippines’ economy if achieved.



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