As the cost of Healthcare in the U.S. continues to rise, the Philippines is fast becoming a prime medical tourism destination for Americans and foreign nationals.  The Philippine Department of Tourism reports that the number of overseas patients visiting the Philippines is increasing by as much as 88%, from 60,000 clients in 2007 to 600,000 in 2009. The Philippine Medical Tourism industry has registered a gross revenue of $350 million since it's establishment in 2006. Furthermore, the DOT expects a $3 billion profit by 2015, with as much as 1,000,000 foreign patients arriving annually.

Statistics from the National Coalition on Healthcare in the U.S., indicate that between 500,000 and 750,000 Americans received medical and dental treatment abroad in the year 2007. The number increased to 1.3 billion in 2008, and is expected to double by 2010. The United States currently has the most expensive healthcare system in the world, with over 61 million Americans either uninsured or under-insured.  American patients who opt to undergo treatment abroad save as much as 50-80% on medical expenses.This has contributed to the popularity of medical tourism in other countries.  Experts predict that by 2012, medical tourism will become a $100 billion/year enterprise, catering to over 780,000,000 patients. A 2008 McKinsey and Co. Report states that 40% of medical tourists seek advanced technology, 32% better healthcare, 15% faster medical services, while 9% seek lower healthcare costs. The Philippines boasts all of these attractions, and is considered a top medical tourism destination in Southeast Asia. Due to strong political, economical and cultural connections between the U.S. and the Philippines, most Americans prefer medical tourism in the Philippines, and regularly visit the country to address their healthcare needs.  Although the Philippines remains a minor player in the global medical tourism industry, local advocates predict that it could become a premier global destination by 2015.

Since its establishment in 2006, the Medical Tourism Bureau has succeeded in catapulting the Philippines as a choice healthcare destination for foreign nationals. The country not only boasts a large number of highly-trained, English-fluent medical practitioners, it also houses over 2,000 hospitals, all of which are duly accredited by the Philippine Department of Health. Medical treatment in the Philippines is also cheaper than in other countries. Overseas patients can save as much as 70% on medical procedures, without compromising on the quality of medical treatments. For example, kidney transplants in other countries cost about $140,000, but hospitals in the Philippines offer the same procedure for only $60,000. The same is true for surgical procedures like the coronary artery bypass graft, which costs only $10,000 in Philippine hospitals. Knee replacement surgery costs about $50,000 in the U.S., but the same treatment is worth only $6,000 in the Philippines. The medical tourism industry in the Philippines offers a large selection of medical, dental and cosmetic procedures for overseas patients, including cardiology, knee replacements, bone marrow transplants, rheumatology and cataract surgery.

According to Gregory Kittelson of Philippines consulting firm Kittelson & Carpo Consulting, "Although medical tourism in the Philippines is still in its development stage, the economical outlook for the industry has never looked brighter. We're seeing an annual increase in both local and foreign nationals setting up medical tourism businesses in the Philippines . Although Thailand and Singapore are still considered the top medical tourism destinations in Southeast Asia, Philippine medical tourism is expected to undergo further development in the coming years, and be a top competitor."

Although medical tourism in the Philippines is primarily dominated by American patients, the Department of Tourism is now encouraging foreign nationals from other countries to visit the Philippines for medical treatment. The Joint Foreign Chambers (JFC) recently issued recommendations to increase inbound medical travel in the country, including the elimination of foreign airlines tax, the development and implementation of national destination plans, the issuance of longer medical tourism visas for overseas patients and other incentives. Medical Tourism packages, including everything from visas and airfare, to hospital costs and medical treatments, have also become readily available to foreign nationals in the Philippines. And as the U.S. Healthcare system continues to deteriorate, medical tourism will continue to gain popularity among uninsured and under-insured Americans. This bodes well for affordable medical tourism destinations in Southeast Asia, especially the Philippines. As more and more Americans venture abroad for medical treatment, industry advocates in the Philippines expect an increase in the inflow of patients from the U.S. This not only translates to an increase in government profits, it also sets the stage for the Philippines to emerge as one of the foremost competitors in the global medical tourism industry.

A legacy of the Arroyo government, the National Tourism Act (R.A. 9593) has brought Philippine tourism to greater heights, boosting industry growth to 6.64% in the first quarter of 2010. According to statistics from the Department of Tourism, foreign arrivals increased by 7.89%, and domestic tourism by 6.09%. Metro Manila ranked first as the most visited destination in the Philippines, with a 37.10% growth rate and over 437,170 tourists. Cebu placed second with a 3% growth rate and 435,987 tourists, while Camarines Sur was in third place with 348,139 tourists. According to tourism secretary Joseph "Ace" Durano, the government expects at least 5 million visitors in 2010.

Republic Act 9593, or the National Tourism Policy Act of 2009, was ratified by the Senate and House of Representatives on March 4-5, 2009. The law aims to strengthen the tourism industry in the country, and promote the Philippines as a premier tourist destination in Asia. Some of the law's components include the upgrading of international competitiveness through the institution of an accreditation, standard-setting, and classification system. Under this law, the Philippine Convention and Visitor's Corporation (PCVC) would be reestablished as the Tourism Promotions Board (TPB), which would be responsible for marketing the Philippines as a global tourist destination, and emphasizing its other products and services. The law also provides for the establishment of the Tourism Infrastructure and Enterprise Zone Authority (TIEZA), an institution tasked with the designation, regulation, and supervision of tourism enterprise zones (TEZs) in the country. The National Tourism Policy enables the creation of "tourism enterprise zones" in strategic areas in the country, including Cebu, Davao, Laguna, Bohol, etc.

The institution of R.A. 9593 has established the Philippines as a premier tourism destination in Southeast Asia. This was evidenced by extensive growth in the Philippines' tourism industry; according to statistics from the Department of Tourism, over twenty cruise ships docked in the Philippines in 2009. Foreign arrivals in these cruise ships increased by 2.24%, from 17,516 passengers in 2008 to 17,908 in 2009. Tourist arrivals in Puerto Princesa likewise increased by 21%, while tourist volume in Boracay rose by 20%, with 190,094 tourists during the first quarter of 2010. The tourist count in Bohol also increased by 4.20%. Through the coordinated efforts of the Arroyo government and the private sector, the Tourism industry in the Philippines has reported an extensive amount of growth in the last five years. American tourists continue to dominate the Philippine tourism demographic, with Canada coming in at second, and China placing third.

According to Gregory Kittelson of Manila business consulting firm , Kittelson & Carpo Consulting, "We're not only seeing an increase of visitors in the country, more and more foreign investors are also setting up tourism businesses in the Philippines . This bodes well for the long-term growth of Philippine tourism, which is expected to rise by 15% in 2010. Through the coordinated efforts of the Arroyo government and the private sector, the Philippines has emerged as a noteworthy competitor in the global tourism industry, specifically in Asia."

As the global Business Process Outsourcing “BPO” market continues to expand, outsourcing destinations like Latin America and the Philippines are seeing more foreign investors and increasing annual revenue. These areas expect a 30-40% profit upswing from BPO for the first quarter of 2010.

Latin American BPO is poised for growth, with large multinationals like Citigroup, Pfizer, and Ford setting up operations in the area. Other international offshore players in the area include TCS, Convergys and IBM. Latin American countries offer a number of fragmented domestic IT and BPO services, which enable bigger companies to capitalize on local acquisitions. Proximity to the United States and similar time zones may have led to 32% growth in voice transcription services in 2009 for the region. Whatever the reason, the tides are shifting toward Latin American shores and away from India, the traditional leader in the voice transcription field.

The Philippine BPO sector dominates 15% of the global market, and is the third largest in the world. Call centers comprise 80% of Philippine outsourcing, which relies on the local workforce to supply voice transcription services for foreign multinationals. The Philippine BPO market is expected to overtake India as a global outsourcing provider, with revenues expected to reach $13 billion by 2010. A more mature BPO market , English speaking workforce, government support, fiscal incentives, special tax zones, and strategic location translates to better service providers and more cost efficient service gives the Philippines clear advantages over Latin American BPO.

According to BPO Consultant Gregory Kittelson of Kittelson and Carpo Consulting, “The Philippine BPO industry is one of the fastest growing in the world. Many foreign companies prefer the Philippines because of its low operational costs, educated workforce, and numerous tax incentives. Not only does this bode well for the country’s economy, it also sends a message to the rest of the world, that the Philippines is indeed a force to be reckoned with.”

Both markets are competitive and have unique advantages and disadvantages. By analyzing the nature of both industries, as well as their respective geographical locations and legal environments, it is possible to determine which country is best suited as an outsourcing location for your enterprise. The right information is key.

The Philippine Mining Industry is a thriving enterprise, thanks in part to the Arroyo government’s aggressive investment policies.
 
According to data from the Mines and Geosciences Bureau (MGB), the government recently issued 20 new exploration permits in the first three months of 2010 alone. An exploration permit enables mining companies to tap the mineral resources of a particular area, and open them up to mining activities.

The government recently opened over 122,000 hectares of undeveloped land for mining exploration. This has stirred interest among foreign investors in the country, resulting in an increase of government revenues. The Arroyo government expects as much as $2 billion in foreign investments for the year 2010.

Foreign companies have already set-up partnerships with a number of mining corporations in the country, such as  Philex Mines and the Lepanto Consolidated Mining Corporation. According to statistics from the Department of Environment and Natural Resources (DENR), mining companies rake in an average 50,000 tons of ore per year. Under the 1995 Mining Act, foreign companies are entitled to as much as 60% ownership in large-scale exploration and development of the country’s mineral resources.

The Philippines has some of the richest mineral resources in the world, including abundant copper, chromite, nickel, and gold deposits. Government estimates put the country’s mineral ore deposits at over 83 billion tonnes.

According to Leslie Martin, corporate labor lawyer of Kittelson & Carpo Consulting , “The Philippine mining industry is fast becoming one of the largest moneymakers in the country. Foreign investors are coming in on a daily basis, establishing partnerships with local mining companies, and applying for exploration permits to different parts of the country. The outlook of the country’s mining industry has never looked brighter.”