MANILA, Philippines — The Philippines can look forward to some potential growth areas after the pandemic in line with digital transformation and health investments, the Asian Development Bank said.
In a presentation during the BusinessWorld Virtual Economic Forum, ADB country director for the Philippines Kelly Bird said e-commerce stands to receive a boost in the post-pandemic world as more workers work and shop from home.
Increased use of digital technology and the implementation of the government’s national ID program would also fast-track digital transformation in the country, increasing demand for e-governance services and other digital services.
The national ID is a foundational ID system that is now on a a multi-year rollout with priority placed on the registration on low-income households to promote financial inclusion.
With a valid proof of identity, they will be able to access formal financing channels such as banks and will be able to receive financial assistance from the government with ease.
Another wave of outsourcing from North America and Europe is also expected to boost the country’s business process outsourcing (BPO) Industry.
As countries worldwide ramp up investments in the health sector, more jobs for Filipino professionals here and abroad can be created, said Bird.
Among the challenges expected to remain in a post-pandemic economy, however, is the weakness in the tourism sector, a major contributor to the economy as well as a large employer of Filipinos in the regions.
“The tourism sector will experience a much slower recovery than other sectors,” said Bird. “So, therefore, it has to look for ways to reinvent itself to attract domestic tourists and, when borders are open, attract foreign tourists and provide safe experiences.”
As more companies become more comfortable with allowing their employees to work from home, there will also be less take up of office spaces in business districts.
“This will be one of the challenges in property markets, there will likely be a slowdown in the next decade or so,” said Bird.