Investments in agri, energy, ICT to propel Davao economy

By Reuel John F. Lumawag Sunday, March 9, 2014 

INVESTMENTS and opportunities in agriculture, energy, information and communications technology (ICT), tourism, and wholesale and retail will continue to drive and boost the economic growth of Davao Region, an executive of the Philippine Bank of Communications (PBCom) said.
PBCom executive vice president and head of Trust & Wealth Management Patrick D. Cheng said during PBCom's Proudly Made in Davao at Marco Polo Hotel that Davao Region is one of the prime growth drivers in the economy of the Philippines and these sectors will propel growth of the region.
He said the region having large tract of land with good soil and a great weather provides a lot of opportunity in the agricultural sector. 
"There are also a lot of opportunities and potentials in the energy sector because of the continued plans to industrialized not only Davao but the whole of Mindanao as well," Cheng said. 
He said there are opportunites for power companies to invest in the region in order to sustain the momentum of growth. Davao's ICT sector is also showing potentials and opportunities as growth driver in the economy. 
Davao City was cited as the most viable city for business process outsourcing (BPO) by Cushman & Wakefield and being one of the Top 100 outsourcing destinations in the world. Cheng said the ICT sector will spur economic activity and increased purchasing power. 
"In a micro level, if you have a 1000 seater BPO company and you pay P16,000 monthly, that is around P200 million per year, produces a lot of economic activity and increases purchasing power," he said. 
Cheng also said the tourism industry could increase the influx of tourists in the area with continued development. 
"With the influx of tourists, spending will go up because they will buy services and products here. Also if they bring in conventions in the area, there will stronger spendings among the delegates," he said. 
Cheng said the industry has a strong multiplier effect with industries developing to cater to these tourists. 
He also said with an increase in the purchasing power of Davaowenos, there will be bigger opportunities and potentials in investing in the wholesale and retail trade sector. 
Cheng also said that Davao Region will strongly benefit from the Asean Integration since it is the gateway to the south. 
"Manila to Jakarta is quite far but from Davao to other southern parts of Southeast Asia, makes it strategic for trade and investments to those coming from the southern parts," he said. 
PBCom president and chief executive officer Nina D. Aguas, for her part, said Davao's strong business climate was brought by the partnerships among the public and private sectors and the discipline among Dabaweños. source