2007 Is The Year For Filipino Entrepreneurs
| Posted by Gerry D in Business Articles,Business News on 5th January 2007 |
|
By Carina Roncesvalles
The year 2007 will be the year for the Filipino entrepreneur, President Gloria Macapagal Arroyo said a few days before the nation bid farewell to the year 2006. The government has been encouraging budding entrepreneurs, including overseas Filipino workers to invest in country by putting up small and medium enterprises (SMEs).
The Department of Trade and Industry’s export promotion agency has said 23 trade fairs and missions are lined up for 2007 to boost the international exposure of Filipino entrepreneurs who manufacture products out of local materials. The Center for International Trade Expositions and Missions said the trade fairs and missions would open more business opportunities in the United States, Europe, Japan, China and the Middle East.
The SME sector is the backbone of the Philippine economy as these businesses account for 99.6% of registered enterprises in the country, employ 69.9% of the labor force, and contribute 32% of the economy.
The hardworking entrepreneurs and professionals, English-proficient service providers and highly-skilled workers are the pride of the Philippines. The Filipino labor force contributes not just to the Philippine economy but to the economies of several countries as they work as migrant workers.
President Arroyo noted that the Filipinos have proven to be strong players in the local economy that continually grows amidst the difficulties and challenges.
“We are grateful to the world and to Filipinos around the world and at home for standing behind the Philippines. We are facing a strong ending for the economy in 2006 and an even stronger start in 2007.”
Among the goods business news that hugged the headlines on the first week of 2007 was the 6-year high closing of the peso against the greenback at 48.825. The year 2006 witnessed a strong peso buoyed by strong investor confidence and sustained dollar inflows from overseas Filipino workers.
The Philippine Stock Exchange, meanwhile, reported strong trading activity in 2006 as the total value turnover reached P572.63 billion, 49.3 percent higher from P383.52 billion in 2005. Share prices also surged to a ten-year high on January 3. The benchmark Philippine Stock Exchange index (PSEi) jumped 43.85 points or 1.47 percent to end at 3,020.70. This was the first time that the PSEi – a barometer of business confidence – breached the critical 3,000 psychological mark since April 4, 1997 when it ended at 3,060.59 points.
On the investments flow in the country, the Board of Investments reported a robust growth of P190.66 billion worth of approved projects in 2006, up by 16 percent from P163.28 billion worth of approved projects in 2005. The Philippine Economic Zone Authority (PEZA) , for its part, reported P83.674 billion worth of investments in 2006 against P67.156 billion worth of investments in 2005.
The National Economic Development Authority (NEDA) , meanwhile, reported that the gross domestic product or GDP rose by 4.8 percent in the third quarter of 2006 while gross national product or GNP rose by 5.8 percent. This economic growth was attributed to healthy agricultural production, sustained export growth and stable services sector.
President Arroyo also expressed optimism that the Filipinos will reap the fruits of the economic reforms being implemented by the government, including tax measures.
Among the economic reform measures the government implemented to boost government revenues were the Expanded Value Added Tax (E-VAT) Law which raised the VAT from 10 percent to 12 percent, and the Lateral Attrition Law which mandated revenue collecting agencies such as the Bureau of Internal Revenue (BIR) and the Bureau of Customs (BoC) to meet their specified monthly collection targets, or face stiff penalties.
As the Filipino nation looks forward to 2007, President Arroyo said the government would continue to focus on the education and health sectors to improve the lives of Filipinos.
Amidst the challenges and hardships, the Filipinos maintain their hopeful stance for 2007. In a recent Social Weather Station (SWS) survey, 91 percent or nine out of ten Filipinos polled are filled with hope for 2007. On a regional basis, the optimism for the new year is crystal clear: 93 percent in Visayas; 92 percent in Luzon; 90 percent in Mindanao; and 87 percent in Metro Manila.
Since the Filipino people are the hope of the Philippines, the country faces great opportnuties in 2007. And the Filipino entreprenuer may very well just have his banner year.
About Gerry D:
No comments yet.
RSS feed for comments on this post. TrackBack URI