Filipinos in South Korea

GLOBAL OUTLOOK ON PHILIPPINE ECONOMY

 

The Philippines enjoys positive assessments and forecasts by global rating agencies and financial services firms, most of them citing governance reforms and their impact on attracting investments and doing business in the country. The latest, a special report by Dow Jones subsidiary, Market Watch, said the Philippines is emerging as one of "New Tigers" or economies that are "poised to drive future growth and grab more economic power" in Southeast Asia.

The four Asian Tigers are:

  1. Hong Kong
  2. Singapore
  3. South Korea
  4. Taiwan

The Chief of Emerging Markets Equity Team at Morgan Stanley Investment Management (MSIM), Ruchir Sharma, said in his book, "Breakout Nations: In Pursuit of the Next Economic Miracles," that the Philippines may soon join the world's "tiger economies" as a result of reforms and strong leadership of the Aquino Administration. An economic surge may happen if the Philippines "rightfully manages its vast resources – being the world's fifth-richest in natural resources such as oil, copper, nickel, gold, and silver," he said.

Two foreign economists – Dr. Tyler Cowen and Dr. John Nye – both professors at George Mason University in Washington, DC, said the Philippines has the "best chance" of becoming a tiger economy in Asia. "The Philippines has strong economic fundamentals," said Dr. Cowen, citing the gains of the Aquino Administration, English proficiency, and Filipinos' belief in education as key ingredients for economic liberation. Dr. Nye advised that to achieve long-range changes, the Philippines should focus on two areas: Simplify the rules and further open up to the market.

Deutsche Bank AG, a German global banking and financial services company, noted the Philippines has become the strongest economy in Asia, citing its 6.4 percent growth in the first half of 2012, the fastest in the region. Growth is being driven by improved exports, it said, noting its resiliency despite the global conditions. A Wall Street Journal supplement, "Asia's Euro Risk: How Will Asia Fare if Europe Cracks?" said that "only four economies – Australia, China, Indonesia, and the Philippines – were projected to weather a European situation, assessing that "the Philippines is better prepared to withstand a downturn with a stronger government balance sheet and a robust domestic economy."

Manila Bulletin 

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