" Young, skilled, hardworking, loyal and easily trainable, Filipinos have what it takes to ensure the success of any Korean investor."
On the occasion of the inauguration of President Rodrigo R. Duterte as well as the 118th anniversary of the proclamation of Philippine independence last month, Philippines Amb. Raul S. Hernandez contributed this article to the NDNnews(www.ndnnews.co.kr) & Seoulcity magazine. -Ed.
On the occasion of the 118th anniversary of the proclamation of Philippine independence on the 12th of June, Filipinos in Korea take this opportunity not only to remember the heroic sacrifices of our forebears in the past but also the tireless efforts of our compatriots overseas to build a strong and modern nation.
We are able to carry on our mission here thanks to the longstanding friendship and loyal partnership between our two countries since the establishment of formal bilateral diplomatic relations on 3 March 1949.
With 67 years of strong and dynamic cooperation, the Philippines is very eager to continue working with the ROK on matters of mutual interest. Under the able leadership of President Benigno S. Aquino III, the Philippines and Korea further improved cooperation in trade and investments, development, tourism, education, security, tourism, labor, among other areas. I believe that relations between the Philippines and Korea will continue to grow and prosper under the leadership of President Rodrigo R. Duterte.
In a Bloomberg survey of 57 countries, the Philippines was recognized as Asia’s second fastest growing economy last year, next only to China, with its GDP rising by 5.8 percent. This year, the IMF’s (International Monetary Fund) Regional Economic Outlook for Asia projects that the Philippines will be the fastest growing economy among ASEAN’s five largest countries.
We look forward to substantially improving our interaction in the key area of trade in the following years.
Korea is one of the Philippines’ largest trading partners, ranking 7th in 2015 with total bilateral trade amounting to US$6.848 billion. Many Philippine companies have invested in and are doing business in Korea, including Philippine Airlines, Cebu Pacific airlines, Metrobank, Landbank, and Banco de Oro.
Koreans in the Philippines have demonstrated interest in finance and banking; manufacturing; real-estate and tourism development; infrastructure and Public-Private Partnership (PPP) projects; energy; agribusiness and food processing; as well as retail and trade sectors.
With the realization of the ASEAN Economic Community (AEC) in 2015, Korean businessesneed look no further in deciding where to set up in the region. Its geographical location allows the Philippines quick access within AEC and with other ASEAN major trading partners: Korea, Australia, New Zealand, and China.
Special economic zones are ready to serve foreign investor needs in manufacturing and other industries. With the sustained high performance of our economy, the Philippines intends to better our competitiveness level by improving our infrastructure and offering fiscal and non-fiscal incentives, which for priority business areas can include an income tax holiday of up to eight years.
The greatest advantage of our country is our people. Gifted with a young population of 100 million with a median age of 23, whose numbers also generate strong domestic demand and consumption, the Philippines boasts of a dynamic and highly-educated workforce drawing from a pool of more than half a million university graduates every year. Young, skilled, hardworking, loyal and easily trainable, Filipinos have what it takes to ensure the success of any Korean investor.
The Philippines provides opportunities for Korean companies to grow, diversify, and be more efficient as a global player. By locating their operations in the Philippines, Korean companies can tap into the domestic market, thereby profiting from lower production costs. At the same time, the Philippines can be a springboard to penetrate the ASEAN region as a whole. This advantage has convinced Korean companies including Hanjin Heavy Industries, Samsung Electromechanics Philippines Corp., KEPCO, and Shinhan Bank, to locate some of their major operations in the Philippines.
Trade and investment creates jobs, spreads wealth and improves well-being. So does tourism, and Korea is second to none, accounting for more than a quarter of five million visitors to the Philippines. Korea is also a partner in defense, development and other key areas.
Working together with Korea, a true ally and friend, the Philippines will be able to provide for a better future for its people and ensure their enjoyment of the fruits of independence their forebears won 118 years ago.