The Philippines can join the ranks of its robust neighbours Singapore, South Korea and Japan if it concentrates on developing one key industry in the business sector: manufacturing.

Global consultancy IHS Asia-Pacific Chief Economist Rajiv Biswas said that OFW remittances and profits from business-process outsourcing (BPO) companies will double the Philippine economy from ‘$280-billion to $680-billion’ by 2024. However, Biswas stressed that a $1 trillion economy by 2030 is reachable if there are growths in the manufacturing sector.

Businesses that are under the manufacturing sector include:

• Chemical and chemical products
• Food manufacturing
• Manufacturers of electronic parts like radio, television and communication gadgets
• Furniture and fixture producers
• Metal products manufacturers

Trade Secretary Gregory Domingo noted that the manufacturing sector could be a major promoter of economic growth in the next years. The sector was the fastest-growing industry in 2013, doubling figures from 2012.

Biswas said that government must concentrate on enticing more foreign and local investors into the manufacturing sector by improving the business climate, which includes streamlining bureaucracy and loosening up investment laws.

He added ‘The Philippines economy has undergone a remarkable transition from a pussycat into a tiger economy over the last decade.

‘However, sustained rapid growth will require continued economic reforms to improve the business climate of the Philippines, making it more attractive for foreign direct investment into sectors, such as manufacturing.’