Philippines

With increasing urbanization, a burgeoning middle class, and a large and young population fluent in English, the World Bank notes, the Philippines’ economic dynamism is rooted in strong consumer demand, a vibrant labor market, and robust remittances from over 10 million Filipino workers and migrants living abroad. In particular, the private sector thrives in the business process outsourcing, retail, real estate and tourism industries.

In recent years, the government has also pursued legislative reforms to improve the business climate and streamline the regulatory environment, thereby bolstering foreign direct investment especially in manufacturing, financial services, and information and communications technology. However, weaknesses persist, including governance shortcomings and lack of transparency, inadequate infrastructure, energy dependence, income inequality, high levels of underemployment, and vulnerability to natural disasters.