|LATEST NEWS: FEBRUARY 22, 2018
New BIR Withholding Taxes for Self-Employed and Professionals under the NEW TRAIN Law
LATEST NEWS: JANUARY 2, 2018
STRONG CEBU ECONOMY IN 2018 SEEN
CEBU, Philippines — The year 2018 will bring Cebu to economic highs regardless of political climate, locally and nationally.
This is the forecast of prime movers of the local economy for 2018 who said Cebu will start to reap the fruits of the “year of abundance” that was 2017.
“It’s a building year, at the same time, a harvest year for Cebu,” said Melanie Ng, president of the Cebu Chamber of Commerce and Industry (CCCI).
She said Cebu will also continue to attract more seeds of investments and interests from capitalists all over the world.
Ng said tourism will serve as a strong magnet for high growth, which will also give birth to more investments across industries like retail and real estate, among others.
The top employer industry, the Business Process Outsourcing (BPO) industry, will sustain its vigor, but growth in terms of employment volume is seen to be tamer this 2018, as Cebu is positioned to catch high value services, which will not need large numbers of people compared to voice-related services.
High value outsourcing falls under the Knowledge Process Outsourcing (KPO) category, which requires highly skilled talents. Monthly salary usually starts from P30,000, depending on a company’s skills requirement.
“We have seen the strong interest from investors around the world, especially from China, Japan, and other countries through several visits and trade missions in 2017,” Ng said.
Though the avalanche of international investors continues to come in, materialization in terms of actual investments is expected to happen this year.
Ng’s counterpart in Mandaue City, Glenn Soco, shares her prediction.
Soco, president of the Mandaue Chamber of Commerce and Industry (MCCI), said 2018 will be a “breakaway” year for Cebu, meaning, Cebu will show that it can stand on its own economically.
Soco believes the opening of the second Mactan Cebu International Airport Terminal will bring Cebu to a historical growth performance.
Soco said Cebu has been a consistent star performer in terms of economic growth, regardless of crises, man-made problems, and even calamities.
Now that the Philippines is being touted as the next economic tiger or economic powerhouse in Asia, Cebu is expected to take the spotlight in this trademark.
The Duterte government’s build-build-build thrust is another fuel that supports the promising outlook, Soco added.
This on-the-ground standpoint is backed by academic and research-based perspective from economist and financial analyst Alvin Arogo who said that the country’s economy will remain vibrant and healthy in 2018 regardless of the twists and turns in politics.
“There are things that are more structural in nature and economic drivers in the Philippines will remain intact and not affected by politics,” Arogo said.
The Philippine economy is on for sweeping growth and will remain in place whoever is on top, dismissing fears that the unpopular decisions made or will be made by the government may affect direly in the country’s economic pump.
Aside from the strong economic fundamentals, sound policies implemented by the Bangko Sentral Ng Pilipinas (BSP) in 2002 and the execution of Expanded Value Added Tax (EVAT) in 2007, among others, have helped strengthen the foundation of the country’s economic vibrancy.
EVAT, for one, has placed the Philippines in a better position that resulted in impressive ratings posted consistently by foreign credit rating entities.
The country’s hard-to-beat economic fuel is its demographics. The over 100 million population (and growing) continues to attract investors to pour money in the Philippines.
A peso spent by every Filipino, for instance, could reap a million peso revenue.
The expanding group of median aged Filipinos is also an added boost to the economy. This group of consumers spends more, earns high, and is surprisingly productive.
“Whoever is in power will not change population and the median age in five years time,” Arogo said.
The Philippines’ “sweet spot” flirts with investors regardless of political issues, he said.
The National Economic and Development Authority (NEDA) announced recently that continued exports growth, economic cooperation, and trade facilitation initiatives will sustain trade gains, as total trade records double-digit growth as of October 2017.
NEDA-attached agency Philippine Statistics Authority (PSA) has reported that the country’s total trade grew by 10.4 percent year-on-year in October 2017, a pickup from the 4.6-percent growth in September.
Exports recorded its 11th consecutive month of positive growth at 6.6 percent while imports posted a double-digit growth of 13.1 percent.
Total merchandise trade grew by 11.2 percent for the first six months of 2017 compared to the first half of 2016.
According to NEDA, 2018 is seen to reveal another round of improved performances in exports of agricultural products and semiconductors, which continue to comprise a huge portion of Philippine exports.
The business players in Cebu believe that challenges and problems will always be there in order to keep the economic speed on balance, but what is certain is that 2018 will bring a flamboyant, colourful, and exciting economic journey.
How this promising outlook can be experienced by Cebuanos will depend on how they will play their cards and the kind of mindset one will have.
“We have to be alert in grabbing and sensing every opportunity that usually are just in front of us,” Ng said. — /JMO (FREEMANNEWS)
LAPU-LAPU, MANDAUE CITIES OF CEBU BULLISH GOING INTO 2018
Attracting big investors, installing new traffic lights and opening new roads were some of the accomplishments of Lapu-Lapu City Mayor Paz Radaza in 2017. Rolando Duero, the mayor’s executive secretary, said the Rockwell, Sheraton Cebu Mactan Resort, The Emerald and Seagrove businesses will soon rise in Barangay Punta Engaño. During her State of the City Address last September, Radaza said that the Udenna Development Corp. broke ground for The Emerald, a resort casino, last July. The Sheraton will have over 400 hotel rooms and condominium units. For 10 years, the city’s traffic lights were not working. The problem was finally addressed this year with the City using its own funds after it failed to get help from the National Government. It allocated P30 million to install modern traffic lights with closed-circuit television (CCTV) cameras on 10 junctions and intersections. Last November, the City inaugurated newly installed traffic lights with CCTV cameras at the airport road, City Hall intersection and the intersection at the foot of the first bridge, which are located on M. L. Quezon Highway. The other traffic lights will be installed next year. The City also opened the Ylaya-Pagambakan-Kalubihan Road in Barangay Marigondon. According to Duero, the new road, which is over a kilometer long, will help decongest traffic on the main road. The causeways in Angasil in Barangay Mactan and Sta. Rosa in Olango Island were also widened. The City started the retrofitting project of the City Public Market, temporarily allowing vendors to sell their goods along the road in Barangay Poblacion. Duero said the ongoing construction of the city hospital will be completed sometime in the middle of 2018. Duero told SunStar Cebu that most of the major projects have been completed except for some road projects. In Mandaue City, ordinances pertaining to social services, infrastructure, labor and employees welfare, informal settler’s displacement, and development administration highlighted the achievements of the City Council. Vice Mayor Carlo Fortuna said that all projected programs for 2017 were accomplished. He said the council approved ordinances accrediting the skills training programs of the Mandaue City College Technological and Entrepreneurial Skills Training; financial assistance for hotel and restaurant management and tourism management moving-up students worth P600,000; and persons-with-disabilities year-end financial assistance. The council also helped regulate the use of streets and sidewalks for street events and raised the job-order employees’ honorarium. Through the council’s approval, 78 structure owners, who are informal settlers in Barangays Ibabao-Estancia, Centro and Guizo, got financial assistance from the City Government. Another six structure owners in the danger zone of Sitio Nawanao in Barangay Subangdaku also got cash aid. Other important ordinances approved were the enhancement of measures against human trafficking, online sexual exploitation of persons and cyberpornography; public-private partnership for the people; ad hoc committee for barangay boundaries; creation of the barangay solid waste management council; augmentation, enhancement and sustenance of the social amelioration; and the creation of the Mandaue City Small and Medium Enterprise Development Council.
Read more: http://www.sunstar.com.ph/cebu/local-news/2017/12/31/lapu-lapu-mandaue-bullish-going-18-581863
When Giants Invade: National Property Developers Redefining Cebu
Over the past few years, we have observed the transformation of Cebu’s skyline with large-scale residential,
commercial, retail, and hotel developments.
Infra-led GDP to buoy property
The Philippine economy, as measured by real gross domestic product (GDP), accelerated by 6.5% in 2Q 2017.
This is slightly faster than the 6.4% logged in 1Q 2017 but slower than the 7.1% recorded in the same period last
Shifting Orbits: The Rise of Satellite Communities
Colliers expects developers to continue pursuing townships as these offer a better value proposition compared to
standalone projects. This makes townships a viable investment option for an aspirational labor force.
Cebu’s office market to see further developments in the next six months
David Hand Joins Colliers International as CEO of the Asia Pacific Region
Office sector thrives amid BPO company expansion
Colliers International Makes a Clean Sweep at Euromoney’s Real Estate Awards 2014<