Business process outsourcing (BPO) revenues in the Philippines will soon surpass overseas Filipino workers (OFW) dollar remittances, according to real estate consultancy firm Pinnacle which has noted the strong demand for BPO office space.
The projected BPO revenue growth will be at $25 billion in 2016, passing the 2015 registered total revenue at $18.9 billion.
The Philippines is considered a prime base for IT-BPO firms with its young and educated work force, competitive rates, all the necessary infrastructure, and industry assistance from the government.
Pinnacle projected the next 10 cities ideal for BPOs are:
- Metro Cavite (Bacoor City, Dasmariñas City and Imus City)
- Metro Laguna (Calamba City, Los Baños and Sta. Rosa City)
- Metro Bulacan (Baliuag, Calumpit, Malolos City, Marilao and Meycauayan City)
- Metro Rizal (Antipolo City, Cainta and Taytay)
- Metro Naga (Naga City and Pili)
- Baguio City
- Davao City
- Dumaguete City
- Iloilo City
- Lipa City
Pinnacle also said requirements for BPO space has taken up approximately 200,000 sqm of office space in the past three months, most of which were pre-leased.
“Makati office spaces still command the highest rents, but with the influx of modern Bonifacio Global City (BGC) buildings, there is a slight downward pressure on Makati rents,” Pinnacle reported.