Department of Tourism eyes more tourism investments in Philippines

MANILA, Philippines — To improve the country’s investment readiness and attractiveness, the Department of Tourism (DOT) has signed a memorandum of understanding with advisory firm PricewaterhouseCoopers (PwC).

DOT Undersecretary Alma Rita Jimenez and PwC chairman Alexander Cabrera signed the agreement that seeks to develop projects promoting tourism and enhancing the Philippines as a premier tourist destination.

Jimenez said PwC would be considered “knowledge partner” of the DOT for the purpose of Philippine tourism investment promotion.

“Part of our mandate is to boost investments in the country and through this partnership we are able to create a platform where people can take a look at investment prospects in tourism. It helps also that we partnered with an independent and credible partner,” she added.

PwC specializes in delivering audit, tax and advisory services. Its guidebooks in doing business and investing in the Philippines have been institutional business reference materials.

Among the initiatives included in the agreement are sharing of information, expertise and technical assistance, organizing and undertaking activities to improve investment-readiness and attractiveness.

The DOT is eyeing to make tourism a source of inclusive poverty reduction. In 2016, the tourism sector contributed 8.6 percent to the Philippine economy and employed 5.2 million Filipinos in various sectors, making up 12.8 percent of the total workforce.

But under the National Tourism Development Plan (NTDP), the tourism sector is projected to employ at least 6.5 million individuals when the Duterte administration ends in 2022.

Earlier this year, the DOT urged micro-small- and medium-sized enterprises to enter the local tourism market in a bid to create an attractive business environment that would lure in foreign investors.

Jimenez, DOT undersecretary for regulation, coordination and resource generation, earlier said the country’s rising arrival figures, combined with growth of the global travel and tourism sector, paints an attractive picture of the Philippine tourism market, which will encourage foreign investors to do business in the Philippines.

“You’ll have the confidence that when you put your resources in our shores, you can park your funds with us for the long term because it will give you steady and stable returns,” she added.

While the DOT is eyeing to attract foreign investments, Jimenez said opportunities still abound for local investors, driven by the need to address smaller accommodation requirements.

Colliers International Philippines research manager Joey Roi Bondoc earlier told The STAR the Philippines travel and tourism sector needs to improve on its competitiveness.

“The improved competitiveness of the Philippine tourism sector it should boost hotel occupancy rates and entice local and foreign businessmen to ramp up their leisure-related investments in the country,” Bondoc said.

In the 2017 Travel and Tourism Competitiveness report by the World Economic Forum, the Philippines slipped to 79th rank, five spots lower than its ranking in 2015.

Bondoc emphasized that the Philippines still remains at the bottom 50 percent of the 136 countries ranked by the report. He added that there are several categories where the Philippines needs to improve substantially, especially those in the safety and security category, where the Philippines ranked 126th.