IT-BPM revenues may reach $42 billion in 2026

MANILA, Philippines — The country’s information technology - business process management (IT-BPM) industry is expected to generate $42 billion worth of revenues and employ close to two million workers next year, according to the IT and Business Process Association of the Philippines.

IBPAP president and CEO Jack Madrid told participants of the International IT-BPM Summit that the Philippine IT-BPM industry is outpacing the global industry’s growth of three percent, with headcount rising by four percent and revenue increasing by 5.3 percent.

The industry has created 450,000 new jobs and generated an additional $10.5 billion in revenue since 2022.

“Now for 2025, that includes 80,000 new jobs and $2 billion in incremental revenue,” he said.

The IBPAP expects industry growth to be driven by demand for services in the banking and health sectors.

Madrid also said growth would be supported by global capability centers (GCCs), which could expand by more than five to six percent this year.

GCCs are offshore units established by multinational corporations to perform specific business functions.

While India is the global leader for GCCs, Madrid said the Philippines also has the potential to become a GCC hub.

“We have the talent, we have the scale, the cost efficiency and the ecosystem maturity to become the next global GCC hub,” he said.

As the Philippines is a trusted partner for IT-BPM services, Madrid said the challenge for the country is to remain indispensable by strengthening its value.

Given the opportunity to lead as an outsourcing hub and GCC hub, Madrid said there is a need for the government, private sector and the academe to work together.

He also cited the importance of building regional hubs of excellence to involve cities and provinces, as well as rewiring digital workers for artificial intelligence.