Education and foreign investment

Echoes From

BY JOHNNY DAYANG

The Philippines should direct its attention to education and investment. There should be greater investment on education and foreign direct investment over the long term are necessary for the Philippines for its transformations “to a high-value manufacturing economy.

This was the latest growth projection issued by the Institute of Chartered Accountants of England and Wales (ICAEW). The Institute recommendation points to the revised downwards trend from 6.8 percent to 6.5 percent “as unemployment continues to drag on demand causing lukewarm investor sentiment.”

The ICAEW report, “Economic Insight South Asia”, is produced to provide its 142,000 members with a current view of the region’s economic performance focused on the economies of the Association of Southeast Asian Nations (ASEAN), comprising Indonesia, Singapore, Malaysia, Philippines, Cambodia, Lao PDR, Myanmar, Thailand and Vietnam.

As Asean look up to its challenging years ahead, two things must happen to allow progress in the Philippines. First, from a dependence on commodity export to high-value manufacturing: government-led investment in education and skills and, private-sector-led large-scale investment in production. 

When a highly-educated workforce is set in place, we can surely expect a great amount of direct foreign investment improving our economy and social condition. 

Survey shows good job outlook
The latest round of Business Expectation Survey, conducted by the Bangko Sentral ng Pilipinas (BSP) sees a growing number of employment opportunities from June to August. Let us pray for it.

There’s still some 12 million unemployed and more underemployed.

Prospects of Asean Integration 2015.

Former Senator Edgardo J. Angara sees the immense potential of the economic integration of ASEAN, a 10-nation regional block, with a combined gross domestic product of $2-trillion and 600-million-strong consumer market dynamic labor force.

According to Angara, in 2013 the ASEAN attracted $128.4 billion in foreign direct investment, outpacing China’s $117.6 billion. 

Multinational companies are relocating to Southeast Asia to take advantage of reasonable wages, more favorable demographics and a growing domestic market.

My friends in Boracay, especially Malay Mayor John Yap are so upbeat about the Asean Economic Community (AEC) in tourism.

World Economic Forum on East Asia.

While the Philippines was happy for hosting the recently-concluded World Economic Forum on East Asia, some sectors say that it was a success in a sense because it helped highlight the positive aspect of Philippine economy.