Call centers are calling for the retention of tax incentives in economic zones, despite proposals to overhaul income tax holiday and other fiscal perks enjoyed by investors.
“We’ve initiated talks with the government. We told the Finance Department that our position is status quo. I believe that our incentives are just the perfect package for investors. Not too frugal, not too grand,” Contact Center Association of the Philippines president Benedict Hernandez said in a news briefing Wednesday in Pasay City.
Members of CCAP will hold the 11th International Contact Center Conference and Expo at Marriott Grand Ballroom Hotel on Sept. 27 to 28, 2016.
Hernandez said compared to other countries where incentives could go over the hill to attract investors, the Philippines kept its package unchanged over the last 18 years to promote a steady, reliable and predictable investment environment.
“India remains the biggest in terms of information technology/business process management accounts. The Philippines, though somewhat expensive than India, banks on its pool of exceptional talents that bodes well for clients,” he said.
The sector also seeks government support for marketing and promotional activities to increase the country’s visibility overseas.
Malaysia, which has little capability to upscale, is spending a fortune to promote its IT-BPM services worldwide, the group said.
The information technology-business process management sector is preparing the IT-BPM roadmap 2022 that calls for government support in having more visibility abroad.
CCAP and the Information Technology and Business Process Association of the Philippines set an ambitious goal to generate 5 million direct and indirect jobs over the next six years under the new roadmap.
The Philippines remains the top global destination for contact centers, expanding twice faster than the average growth of the global IT-BPM in the last five years.
The global industry is expected to post a 6-percent compounded annual growth, from $166 billion to $250 billion by 2022.
Bangko Sentral ng Pilipinas expects that by 2017, the IT-BPM sector will be the Philippines’ largest source of foreign exchange, outpacing remittances.
From 525,000 employees and $8.9-billion revenues in 2010, the industry now has 1.3 million jobs with $25 billion in annual revenues.