MANILA, Philippines–The Philippines’ trade and investment picture looks “promising” in 2015, as the government expects to keep the momentum of steady export growth and rising interest of both local and foreign investors.
Trade Undersecretary Ponciano C. Manalo Jr. said that while the expected recession in Japan might affect the country’s exports in 2015, the recovery of bigger markets like the United States and Europe is seen to contribute significantly to export receipts.
According to Manalo, total exports (both merchandise and services) are estimated to grow steadily by about 10-11 percent next year, similar to the expected growth in 2014.
“We will grow by 10 percent (in exports) this year. I think the growth in merchandise will be higher than expected, while (export receipts from) services sector will be sustained. So overall (exports) growth will likely be 10 to 11 percent for next year,” Manalo told reporters on Wednesday.
Manalo added that the electronics sector was expected to make a rebound this year with revenues to grow by 6-8 percent, while growth next year would be more than 6 percent. “Europe and the US are going out of recession. I think the electronics sector will continue to get back on its feet so our task now is to go into higher value electronics. The industry has to be able to get into the next generation (of electronic products for tablets and smart phones) as part of their import and export mix,” he added.
The other expected major contributors to export growth are agricultural products like coconuts and pineapples, automotive parts, and mining (copper and nickel).
Manalo, however, declined to divulge projections for foreign direct investment flows into the country. He, however, noted that the interest level of foreign investors in the country remained high.
As of end November this year, the number of inbound trade and investment missions stood at 203, representing 96.7 percent of the total inbound missions of 210 last year.
“We will surpass that number. We expect more missions (in the last month of 2014),” he added.–Amy R. Remo