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Contributing around 10% of GDP, the Philippine agriculture and fisheries sector’s importance to the economy remains far larger than its direct impact on the bottom line. The industry is a crucial employer, accounting for for 26.7% of the 43.4m-strong labour force, and is one of the few trades available for many Filipinos living in remote, less-affluent regions. With President Rodrigo Duterte announcing the aim to reduce poverty from 21.6% in 2015 to 14% by 2022 as part of the Philippine Development Plan 2017-22, a logical place to begin would be the agriculture sector, as the rural population collectively lives within a poverty range of 35-40%. The sector also plays directly to another of the president’s talking points about focusing on agriculture, tourism and manufacturing, with much of current industrial activity already devoted to downstream processing of agricultural products. This chapter contains interviews with Emmanuel F Piñol, Secretary, Department of Agriculture; and Rachel Lomibao, CEO, Monsanto Philippines.

Surging activity and investment have benefitted the Philippines’ telecommunications industry in the decades following its deregulation, with mobile penetration increasing rapidly among a large population of digitally literate consumers. Although the market remains dominated by two operators, rising competition between them saw capital expenditure soar in 2016, driving improvements to service quality and consumer tariffs. Recent government moves to re-allocate new spectrum have further supported expansion of 3G, 4G and LTE services. The creation of a stand-alone department to oversee ICT development bodes well for expansion of a planned national broadband network, with the private sector set to play an important role in future service expansion. This chapter contains an interview with Rodolfo A Salalima, Secretary, Department of Information and Communications Technology.

The Philippines’ business process outsourcing (BPO) sector is an economic powerhouse and one of the largest white-collar employers in the country. It benefits from over a decade of pro-investment policies, a young and well-educated workforce, and rising foreign investment in both third-party contact centres and global in-house call centres. The industry will soon surpass foreign remittances as the single largest contributor to GDP, driven by growth in the emerging segments of health care, analytics and financial services outsourcing. Although rising levels of automation and advancements in robotics and artificial intelligence pose a threat to low-level BPO jobs, strengthening development ties between industry and academia should see growth in high-value-added positions over the medium term. This chapter contains an interview with Maria Cristina Coronel, President, Pointwest Technologies.

Nowhere are the effects of the Philippines’ sustained economic growth more apparent than in the construction industry, which is benefitting from pent-up demand and a positive outlook for future growth. This momentum has driven the industry to one of the highest growth rates in the country, with the Philippine Statistics Authority reporting growth of 11% in 2014, 10.4% in 2015 and a jump to 14.6% in 2016. Years of investment and strong economic development have fostered a robust real estate sector that now extends beyond Metro Manila and into secondary markets. Economic development and a growing middle class continue to fuel demand for new, high-grade residential units, while commercial investment drives an ever-increasing amount of retail and office space. This chapter contains interviews with Bernard Vincent Dy, President and CEO, Ayala Land; and Alberto C Agra, Chairman, Philippine Reclamation Authority.

Benefitting from an advantageous geographic position flanking critical global trade routes between North America, ASEAN and Australia, the Philippines is well positioned to transform its transport sector into a major economic growth driver in the coming years, bolstered by rising maritime trade, air passenger volumes and commuter traffic. There is plenty of room for improvement, however. Robust population and economic growth, combined with rapid urbanisation and decades of underinvestment in critical infrastructure, has exacerbated congestion across all segments of the sector, particularly within the Metro Manila area and Luzon, the country’s largest and most populous island. This chapter contains a roundtable with Andrew R Hoad, Executive Vice-President, Asian Terminals Inc; Christian R Gonzalez, Asia Region Head, International Container Terminal Services Inc; and Jay Daniel R Santiago, General Manager, Philippine Ports Authority.

With abundant natural beauty and heritage sites spread across 7000 islands, the Philippines has steadily gained recognition over the years as a competitive tourism destination, despite being located in a region of strong contenders. With the campaign “It’s More Fun in the Philippines!” launched in 2012, the country has not only experienced a boost in visibility, driven by social media and aggressive international marketing efforts, but has also generated tourism growth substantial enough to push the sector into a more prominent position in the economy. This report contains an interview with Steve Wolstenholme, President, Okada Manila.