APPLIED ECONOMICS

TOURISM (HOSPITALITY & LEISURE).

THE TOURISM SECTOR TOOK GDP IN 2017 AND

ACCOUNTED FOR 21 PERCENT OF THE WHOLE
ECONOMY. A HEFTY P3.35 TRILLION IN TOTAL
(WORLD TRAVEL AND TOURISM COUNCIL). IT
ALSO GENERATED 2.3 MILLION JOBS. TOURISTS
SPENT A TOTAL OF PHP 379.7 BILLION IN 2017. AND
IT WAS PROJECTED THAT FOREIGN ARRIVALS
GREW IN 2018, WITH NUMBERS OF VISITORS FROM
KOREA, JAPAN, AND CHINA.
MANUFACTURING

MANUFACTURING IS THE CREATION OF PRODUCTS

SUCH AS FOOD AND BEVERAGE, PETROLEUM,
TRANSPORT AND INDUSTRIAL EQUIPMENT, TEXTILE,
AND OTHERS. THE MANUFACTURING INDUSTRY
RECEIVED THE BIGGEST FOREIGN DIRECT
INVESTMENT IN 2018 AT $169 MILLION (64.1% OF THE
TOTAL FOREIGN DIRECT INVESTMENT) RECEIVED BY
THE COUNTRY). AN INDICATOR THAT FOREIGN
INVESTORS SEE CONTINUOUS POTENTIAL IN THIS
INDUSTRY.
REAL ESTATE
THE GOVERNMENT’S BUILD, BUILD, BUILD (BBB)
PROGRAM TAKES OFF MORE COMMERCIAL AND
RESIDENTIAL UNITS TO GET BUILT. WITH
IMPROVED TRANSPORTATION INFRASTRUCTURE
AND CREATION OF MORE JOBS, THE FILIPINO
PEOPLE WERE PROJECTED TO HAVE MORE
SPENDING POWER. BUSINESSES COULD ALSO
EXPAND OUTSIDE OF METRO MANILA.
CONSTRUCTION
THE PHILIPPINE STATISTICS OFFICE REPORTS
GROWTH BY AS MUCH AS 16.1% IN THE 3RD
QUARTER OF 2018, BETTER THAN THE 4% GROWTH
POSTED IN Q3 OF 2017. THIS GROWTH CAN BE
CREDITED TO THE GOVERNMENT’S BUILD, BUILD,
BUILD PROGRAM. THE DEVELOPMENT OF THE
COUNTRY’S INFRASTRUCTURE, MORE JOBS AND
OPPORTUNITIES WERE CREATED IN THE
CONSTRUCTION INDUSTRY.
IT, BPO, AND BUSINESS SERVICES
AFTER ESTABLISHING THE INDUSTRY AS
THE PREMIER DESTINATION HUB FOR
INTERNATIONAL BUSINESSES WHICH
OUTSOURCED THEIR MANPOWER (CALL
CENTERS, BPOS, ETC.), THE PHILIPPINES
HAS CONTINUED TO HOLD A STRONG
POSITION IN ATTRACTING INVESTMENTS
FROM FOREIGN COMPANIES.
BANKING & FINANCE
ACCORDING TO THE BANGKO SENTRAL NG PILIPINAS (BSP), THE
PHILIPPINES EXPERIENCED SUSTAINED GROWTH IN 2017. THE
INDUSTRY STARTED TO TAKE ADVANTAGE OF THE DIGITAL
TECHNOLOGY TO MAKE THEIR SERVICES REACH MORE PEOPLE
AND PROVIDE MORE EFFICIENT SERVICES. PHILIPPINES IS SAID
TO HAVE 587 BANKS AND 11, 206 BRANCHES AT THE START OF 2018.
THERE ARE CURRENTLY MORE THAN 20,000 ATM MACHINES IN
OPERATION AND AT LEAST 70 BANKS RIGHT NOW FEATURE
ELECTRONIC BANKING SERVICES. OTHER FINANCIAL
INSTITUTIONS (NON-BANKS LIKE PAWNSHOPS, BROKERAGE
FIRMS, REMITTANCE BUSINESSES, INVESTMENT HOUSES, ETC.)
HAVE EXPERIENCED SUSTAINED GROWTH.
GAMING.
GAMING INDUSTRIES HAVE INTEGRATED TO
RESORTS, PROPERTIES WHICH FEATURED
CASINOS WITHIN ITS FACILITIES - RESORTS
WORLD, SOLAIRE, CITY OF DREAMS, OKADA, THE
LAST 3 MAKE UP “ENTERTAINMENT CITY”. MORE
INTEGRATED RESORTS WERE EXPECTED TO RISE
OUTSIDE OF MANILA, IN CEBU AND CLARK. THE
MASS-ORIENTED APPROACH OF THIS INDUSTRY
MAKES THE COUNTRY UNIQUE.
RETAILING.
RETAIL STORES DEPENDED ON CONTINUOUS PUBLIC
SPENDING TO DRIVE ITS GROWTH. ACCORDING TO
PHILIPPINE RETAIL ASSOCIATION, PRESIDENT, ROSE
ONG, ONLINE SHOPPING WAS A DRIVER OF THIS RISE.
MORE FILIPINOS UTILIZED MOBILE TECHNOLOGY TO
FULFILL THEIR SHOPPING NEEDS. ACCORDING TO ONG,
“IT’S EASIER NOW TO BECOME A RETAILER THROUGH
THE CONVENIENCE OF THE INTERNET AND CAN REACH
THOUSANDS OF CUSTOMERS THAT WOULD
OTHERWISE BE OUT OF REACH”.
ENERGY
THE PHILIPPINE STATISTICS OFFICE LISTS A 5% GROWTH
FOR ELECTRICITY, GAS, AND WATER SUPPLY FOR THE 3RD
QUARTER OF 2018. ELECTRICITY TAKES UP A HUGE
PORTION OF THIS GROWTH WITH AN INCREASE OF 4.5%
YEAR ON YEAR. PHILIPPINES WAS RECOGNIZED AS THE
NUMBER ONE (1) COUNTRY IN DEVELOPING COUNTRIES IN
ASIA IN TERMS OF SOLAR ENERGY ADOPTION AND USAGE
(2017). SOLAR ENERGY IS STEADILY RISING TO BECOME A
CHEAP ENERGY RESOURCE ALTERNATIVE. THE
PHILIPPINES HAS SECURED SIGNIFICANT SOLAR
PROJECTS, WITH MORE IN THE PIPELINE. IT HAS PROVEN
ITS POTENTIAL IN EXPANSION AND HAS BUILT MORE
HEALTHCARE
THE HEALTHCARE INDUSTRY SHOWED A TOTAL
HEALTH EXPENDITURE GROWTH BY 8% LAST YEAR
WHICH WAS WORTH PHP 712 BILLION, A 4.5%
OVERALL CONTRIBUTION TO THE COUNTRY’S
GROSS DOMESTIC PRODUCTS. THE PHILIPPINE
STATISTICS OFFICE REPORTED AN AVERAGE OF PHP
6,791 EXPENDITURES ON HEALTH BY EACH FILIPINO
PEOPLE IN 2017. RECENT ACQUISITIONS OF
MULTIPLE HOSPITALS BY METRO PACIFIC
INVESTMENTS AND INCREASING OPTIONS IN THE
INDUSTRY HAVE INDICATED BETTER HEALTHCARE
AUTOMOTIVE AND SHIPBUILDING
• THE INDUSTRY COVERING “TRADE AND
REPAIR OF MOTOR VEHICLES”
(AUTOMOTIVE/SHIPBUILDING) POSTED A
5.6% GROWTH IN Q3 OF 2018.
• THE INCREASING NUMBER OF VEHICLES
PURCHASED OVER THE LAST FEW YEARS
HAVE INDICATED FURTHER GROWTH IN
THIS INDUSTRY.
AGRICULTURE
• IN ECONOMICS, AGRICULTURE IS THE SCIENCE OR PRACTICE OF FARMING,
INCLUDING CULTIVATION OF THE SOIL FOR THE GROWING OF CROPS AND
THE REARING OF ANIMALS TO PROVIDE FOOD, WOOL, AND OTHER
PRODUCTS (SOURCE: THE FREE DICTIONARY BY FARLEX).
• “AGRICULTURE IS THE SCIENCE OR PRACTICE OF FARMING, INCLUDING
CULTIVATION OF THE SOIL FOR THE GROWING OF CROPS AND THE REARING
OF ANIMALS TO PROVIDE FOOD, WOOL, AND OTHER PRODUCTS”. (SOURCE:
QUIZLET)
• “AGRICULTURE IS THE COUNTRY’S ACHILLES’ HEEL IN COMPARISON TO
OTHER INDUSTRIES. IT DROPPED 0.4% FOR Q3 OF 2018, WORSE THAN THE
3.9% INCREASE FROM 2017. THE DEVELOPMENT ON AREAS LIKE PROVIDING
FARMERS WITH ACCESS TO CREDIT, TECHNOLOGY, EDUCATION AND DIRECT
LINKING BETWEEN PRODUCTION AND MARKET COULD HELP TO MAXIMIZE
THE COUNTRY’S STRONG AGRICULTURAL DEVELOPMENT AND
INVESTMENT” (PINEDA, A. 2020).