Philippine Outsourcing Industry Hopeful About 2019
The Information Technology and Business Process Association of the Philippines (IBPAP) said it remains hopeful about 2019 even though the industry failed to reach its 2017 and 2018 targets. IBPAP chairman Lito T. Tayag said the organization will issue a revised version of its medium-term industry plan in September. The Roadmap 2022, which serves to guide the industry, lays out the IBPAP’s goals for the various subsectors of the IT-BPM industry. Among the roadmap’s original goals were the direct and indirect employment of 7.6 million people and revenue of US$40 billion.
Tayag explained that 2017 was not a good year for the industry, while 2018 did not meet its projections. The sector’s revenue increased by 4% to 5% to US$24.8 billion, IBPAP president Rey E. Untal said in May, the same month the IBPAP revealed its plans to reduce its Roadmap 2022 yearly revenue projections. The possible US outsourcing ban and the uncertainty surrounding the Philippine tax reform have affected the country’s outsourcing industry. The government’s ban on the development of economic zones in Metro Manila is also expected to result in reduced investment in the industry.