Expats based in PH save more, says HSBC
WHILE many local folks leave for abroad in search of greener pastures, expatriate workers who move to the Philippines make a better living and increase savings when they relocate to this archipelago.
Based on HSBC’s latest Expat Explorer survey, 65 percent of expats in the Philippines said they have more disposable income after moving while 58 percent say that could save more after settling in this country.
About 23 percent of expats are also able to own property after relocating to this country, the survey showed.
Foreigners are not allowed to own land in the Philippines due to Constitutional restrictions but they have the leeway to acquire living space through residential condominium units.
The HSBC survey also showed that the sectors that were most popular among expats were education (16 percent), banking (13 percent) and telecommunications (11 percent).
In terms of country of origin, the same survey showed that most of the expats in the Philippines were from the following countries: US (38 percent); UK (31 percent) and Canada (6 percent).
Expats based in Asia-Pacific are the world’s highest paid expats with an average annual income of $126,537, the HSBC study said. Asia-Pacific hosts the biggest proportion (18 percent) of expats with salaries of over $200,000 a year, followed by the Middle East (16 percent), it noted.
But compared to Asian peers, the same study showed that Vietnam, China, Hong Kong, Malaysia and Singapore stood out for offering expats the chance to save more money and enjoy greater disposable income.
Vietnam topped the regional league table with 67 percent of expats in the country seeing an increase in their disposable income and 68 percent expanding the amount they save. In China, 68 percent of expats enjoy more disposable income living in the country and 65 percent can save more than they did at home.
The ability to save more, enjoy greater disposable income or acquire real estate assets are all important considerations for expats moving to a new country, Expat Explorer said.
Meanwhile, the same HSBC survey showed that the biggest concentration of Filipino expats was in the Middle East. The study showed that the biggest proportion of expats in Qatar, Bahrain and UAE come from the UK, India and the Philippines.
In the Middle East, over three-quarters (76 percent) of expats in Qatar saw an increase in their disposable income as a result of moving, helping them boost their long-term planning, with 75 percent being able to save more than they did at home. One in four (24 percent) said living in Qatar made it possible for them to own additional property, and a majority (54 percent) can now afford more expensive holidays.
For Bahrain and the UAE, 68 percent and 65 percent respectively of expats there enjoy greater disposable income than they did in their home country. Middle Eastern destinations are also appealing for younger expats (aged 18 to 34) with nearly three-quarters (71 percent) of expats under 35 years of age increasing their earnings after moving to Qatar, while 68 percent received an accommodation allowance from their employer.
