Cheap labor still a major draw in RP for investors

A recent comparative survey of investment-related costs in the Asian region conducted by the Japan External Trade Organization (JETRO) showed Manila as being among the most cost-efficient business location.

In terms of wages, Manila rated higher than the key cities in China of Shanghai and Shenzhen.

The latest JETRO report conducted in January 2010 on 29 major cities in Asia pointed out that the average salary in Manila was $130 per month compared to Shanghai’s $141 and Shenzhen’s $139.

Higher wages in these Chinese cities can be attributed to the growing competition to secure much needed human resources, according to the survey.

When ranged against wages in other Chinese regions, Manila could still be competitive as wages are in the $ 117 to $141 range.

The results of this survey show that Manila is still one of the choice investment destinations in the Asian region in terms of cheap labor.

The Philippines also boasts of a generally liberalized economy particularly in the services sector where it already has considerable edge among others with the exception of India as a business process outsourcing (BPO) services site.

The survey was conducted by JETRO’s overseas offices in cooperation with Japanese chambers of commerce and industry, local government agencies and relevant companies in each country. –Daily Tribune