Decent high-paying jobs await Filipinos

President Gloria Macapagal-Arroyo is confident that decent and high-paying jobs will be available to Filipinos. The President made the assessment after the chairmen and executive officers of the top 1,000 corporations of the world recognized the strong talent and capability of her administration to lead the economic progress of the Philippines during her visit in Davos, Switzerland where she attended the annual World Economic Forum.

The Chief Executive said, “the government will be able to realize its dream of providing more decent and high-paying jobs to the Filipino people now that the international businessmen have recognized the capability of the Philippines to become a developed country in the near future.”

In the local scene, Cebu software developers and programmer companies are starting to develop their niche in the software industry as they are now penetrating the nationwide market. Cebu has been known to have a pool of good software programmers that encourage international companies like Lexmark, NEC Software, EPSON among others to establish their research and development facilities here.

Mike Jurado, president of Cebu Software Development Industry Association Inc. said, “Cebu now has started to attract multi-national software development companies. They are now servicing offshore projects from companies abroad like Japan.”

Jurado added that Cebu has a lot of potential and good programmers and developers that can compete with the international players but most of them have been hired already by giant software companies here and abroad.

Jurado, who is also the president of Primary Software Development Corp., one of the pioneering locally-owned software companies in Cebu said that there are close to about a hundred software development companies in Cebu, majority of them are home-based operations servicing companies abroad.

The Cebu software developers and programmers are calling on the government for assistance and incentives, in order to encourage IT programmers to develop programs that will be proudly called “Philippine–made.”

Meanwhile, in a round table discussion with the President recently, DTI Secretary Peter Favila reported that the international community, especially the top businessmen, acknowledged the growing economy of the country under the Arroyo administration. Favila revealed that a leading business process outsourcing company in the world, Kenneth Tachman, CEO of Teletech announced his intention to expand their business in the Philippines.

It plans to establish five new call centers in Camarines Sur in Bicol, Valencia town and Dumaguete City in Oriental Negros and in Davao with the capacity of 5,000 seats each. Favila added that Prakash Hinduja, who owns big businesses in India and is one of the top 1,000 corporations in the world, also expressed his strong intention to expand his call center operations and establish a manufacturing company in the country (PIA)

Who's who in world business confident in RP developments

After gathering together some of the biggest names in the corporate world in what has been talked about as the most high-powered dinner meetings on the sidelines of the World Economic Forum (WEF) here, President Gloria Macapagal-Arroyo wrapped up her brief stay in this Swiss mountain resort Saturday buoyed by encouraging prospects for increased investments in the Philippines resulting from her meetings with top businessmen.

A major group of European companies expressed its desire to invest in the Philippines "in a big way," while the biggest business outsourcing firm in the country plans to further expand its operations in the provinces.

Similarly, the Philippines No. 1 exporter of computer chips has expressed continued confidence in the country.

"Overall, it was very encouraging. They asked about the policies, business climate, and so on," the President said, noting the enthusiastic response of the business leaders to her call for investors to take advantage of the imminent economic takeoff of the Philippines.

At the President's first individual meeting at the Arabella Sheraton hotel Saturday, Prakash P. Hinduja, the chairman of both the Europe-based Hinduja Group and the AMAS Bank of Switzerland, informed her of their plans to invest in the Philippines, either in agricultural transportation, logistics, or business outsourcing as well as the deregulated industries sector such as oil.

"They really wanted to go to the Philippines in a big way," the President said during a plane interview on her way back to Manila. "We'll definitely be hearing from them soon."

Hinduja, whose son runs the CQ business in the Philippines, told the President he likes the investment climate in the country and is upbeat on the economy.

The President's second individual meeting was with Kenneth Tucman, chairman and chief executive officer (CEO) of Teletech, who expressed his desire to expand his company's operations in the provinces.

The Chief Executive recommended Valencia town near Dumaguete in Negros Oriental for Teletech's expansion plans "to take advantage of the power subsidy given by the local government there."

Aside from operating the biggest call center in the country, Teletech is also into tourism and related businesses.

The President's final engagement here was a meeting with Craig R. Barrett, chairman and CEO of Intel Corp., the Philippines No. 1 exporter of micro chips, who likewise expressed his firm's continued confidence in her economic reforms.

During the dinner with a select group of CEOs worldwide at the Hotel Belvedere Friday, the President welcomed the confidence and optimism shared by the business leaders who took note of the reforms she has implemented in the economic front.

Among the dinner guests were Wiliam Rhodes of Citibank N.A.; Kakutaro Kitashiro of IBM Japan, Neville Isdell of Coca-Cola, Kevan Watts of Merryll Lynch, Martin Sullivan of AIG, Jim Goodnight of SAS, Peter Brabeck-Letmathe of Nesltle, S.A., and Prof. Michael Porter of Harvard Business School. (PNA)

DTI launches handbook on streamlining of business registration in LGUs

The handbook on Good Practices in "Streamlining of Business Registration in LGUs" was launched during the National Convention of League of Cities of the Philippines (LCP) held at the Manila Hotel on January 17 to 20.

In her launch message before the gathering of some 350 LGU executives and guests, DTI Undersecretary for SMED Development, Mel Alonzo said that the handbook is DTI's contribution to help local government units (LGUs) streamline their business registration and licensing procedures.

"This handbook is specifically designed to make it easy for LGUs to simplify their registration procedures so that micro, small and medium enterprises will be encouraged to formalize their business" she said. The development of the handbook was supported by GTZ (German Technical Co-operation), Asia Foundation as well as CIDA and IFC.

By formalizing their businesses, SMEs will be able to access programs offered by the government micro-credit, insurance, export guarantees and other business development services. In turn, the LGUs will be able to collect more revenues from business licenses, taxes, and fees. "This creates a "win-win" situation for both LGUs and government on one hand, and the business sector, particularly the SMEs on the other hand", Alonzo added. This was also testified by the Mayors from Ormoc and Bacolod in a respective audio-visual.

Under the broader economic reform program of the government, streamlining of registration and licensing procedures is part of the reduction the business transaction costs or anti-red tape campaign to increase the Philippines's competitiveness in attracting more foreign investments.

In response, Iloilo City Mayor and LCP National President Jerry P. Trenas thanked DTI and other organizations which helped in the production of the handbook. He emphasized that LGUs play a vital role in the promotion and development of SMEs that could become important drivers of economic development in the country. Recently, the Iloilo City government and the DTI Region 6 and the GTZ SMEDSEP Program signed a memorandum of agreement (MOA) for a technical assistance to streamline the city's business registration system.

GTZ Small and Medium Enterprise Development Sustainable Employment Program Manager Martina Vahlhaus noted that "streamlining of business registration and licensing is one aspect of business and investment climate reform under the donor agency's Private Sector Development Program in Asia Pacific region".

The handbook, together with case studies of streamlining done in the cities Bacolod and Ormoc in the Visayas, was presented in Bangkok during the business conference on enabling environment organized by various donor organizations in November and in the International Finance Corporation Conference in Hanoi in December last year. (PIA)

ASEAN to bat for resumption of DOHA Round of trade talks

Leaders of the Association of Southeast Asian Nations (ASEAN) will push for the resumption of the DOHA Round of the stalled World Trade Organization (WTO) talks.

During the ASEAN senior economic officials’ meeting at the Cebu International Convention Center (CICC), Director Jose Antonio Buencamino, special trade representative of the Bureau of International Trade Relations (BITR) of the Department of Trade and Industry (DTI), said the senior economic officials came up with a draft statement calling for progress in the DOHA negotiations.

Buencamino said that in their meeting, the ASEAN senior economic officials made only minor revisions of the draft statement which was circulated earlier on Jan. 5. Agreement on the draft was reached on Jan. 8.

He said ASEAN leaders are keenly looking forward to the resumption of the DOHA Round to accelerate and ensure economic security and development in the region.

"The ASEAN is open to regional groupings and is very much anxious to restart and negotiate the DOHA Round and push it through. I think this is the clear message of the ASEAN in relation to the Doha Round," Buencamino said.

He said that while ASEAN leaders will make their own contribution to the trade negotiations, they expect the major players to assume a vital role in getting the negotiations back on track.

He added that the broad thrust of the draft statement is based on the instruction of the ASEAN leaders to their ministers, senior officials and their representations to Geneva to intensify engagements on the DOHA Round.

"I think this is a big breakthrough that we achieved and this is one of the cornerstones of the chairmanship of President Gloria Macapagal-Arroyo of the 12th ASEAN Summit," according to Ambassador Victoriano Lecaros, spokesman for the 12th ASEAN summit.

The Doha Round of trade talks was suspended on July 24, 2006 after the negotiations of the ministers from the so-called G-6 -- European Union, the United States, Australia, Brazil, India and Japan -- collapsed over disagreements on farm subsidies and tariffs. (gov.ph)

Highly successful ASEAN and East Asia summits in Cebu end as PGMA thanks Asia Pacific leaders for their attendance

President Gloria Macapagal-Arroyo thanked the leaders of the Asia-Pacific region for attending the 12th Association of Southeast Asian Nations (ASEAN) Summit and the related summits, which the Philipines successfully hosted in Cebu from Jan. 10 to 15.

In her opening statement at the press conference held yesterday at the Cebu International Convention Center (CICC), the President thanked the leaders for the honor they have bestowed on the Philippines and for working in unity in establishing a one caring and sharing community in the region.

The President, who chaired all the meetings, said that the summits made the Filipinos proud as they emerged triumphant after the gatherings that produced several documents with far-reaching benefits for the peoples in the region.

"The peoples of Asia are the victors in these summits as we march forward in the collective spirit of hope within this century," the President said.

Aside from the 12th ASEAN Summit, which was attended by the 10 member countries of ASEAN, the President also presided over the summits of leaders of ASEAN and its dialogue partners, Australia, China, Japan, India, Republic of Korea and New Zealand. The President also chaired the ASEAN Plus 3 summit and the 2nd East Asia Summit.

The President said that the fact that leaders of 17 countries were in Cebu City for the summits "was a testament to the desire of leaders and their peoples for greater collaboration among nations" in the region.

Aside from President Arroyo, those who attended the summits from ASEAN were Sultan Haji Hassanal Bolkiah of Brunei Darussalam, Prime Minister Samdech Hun Sen of Cambodia, President Susilo Bambang Yudhoyono of Indonesia, Prime Minister Bouasone Bouphavanh of Laos, Prime Minister Abdullah Ahmad Badawi of Malaysia, Prime Minister Gen. Soe Win of Myanmar, Prime Minister Lee Hsien Loong of Singapore, Prime Minister Surayud Chulanont of Thailand, and Prime Minister Nguyen Tan Dung of Vietnam.

From the dialogue partners, those who attended were Prime Minister John Howard of Australia, Premier Wen Jiabao of China, Prime Minister Manmohan Singh of India, Prime Minister Shinzo Abe of Japan, President Roh Moo-Hyun of the Republic of Korea, and Prime Minister Helen Clark of New Zealand.

Prime Minister Jose Ramos Horta of Timor Leste also came to personally sign the ASEAN Treaty of Amity and Cooperation in Southeast Asia, the first step before his young country becomes a full-fledged member of the regional grouping.

According to the President, during the summits, the leaders of ASEAN and its dialogue partners broadened trade, tourism, energy security and political integration "at a pace and scale never seen before."

She said that the end result of all these initiatives would be "more prosperous and safe communities, a region of peace and stability, and a world of goodwill and friendship of all creeds, colors and culture."

"As the theme of this summit ‘One Caring and Sharing Community’ suggests, we want to advance the sense of community and our shared interests and look after each other in terms of social justice, economic development and common security," the President said.

In her closing statement, the President made special mention of the people-oriented agreements signed by the leaders, particularly the Cebu Declaration on the Protection and Promotion of the Rights of Migrant Workers and the Mutual Recognition Arrangement on Nursing Services that would greatly benefit Filipino workers.

The Philippines is now exporting some eight million Filipino workers to the different parts of the world and Filipino nurses are in great demand abroad.

The President said that the agreement on migrant workers is "a commitment to promote decent, humane, productive, dignified and remunerative employment from migrant workers" from and within the region.

She said that the MRA on nursing services would give Filipino nurses the opportunity to practice their profession in other ASEAN countries based on their professional competencies.

The President said that the ASEAN Convention on Counter-Terrorism, which is the product of common security concerns among the ASEAN members, provides a framework for regional cooperation to counter, prevent and suppress all forms of terrorism.

"The Philippines will benefit from the Convention in terms of training, intelligence sharing and networking with ASEAN member countries," the President said.

The President also lauded the Eminent Persons Group (EPG) for its valuable inputs into the blueprint of an ASEAN Charter aimed at making ASEAN into a more cohesive and efficient organization that would be better prepared to face the challenges of "one caring and sharing community."

"We are inspired by the determination to establish One Vision, One Identity, One Community and perhaps One Union within ASEAN," the President said.

Former President Fidel V. Ramos is the Philippine representative to the EPG whose report on the ASEAN charter was submitted to the leaders in the ASEAN Summit.

The leaders, the President said, also expressed "grave concerns" about recent developments in the Korean Peninsula and urged North Korea to abandon all nuclear weapons and to work toward the expeditious implementation of the United Nations Security Council Resolutions 1695 and 1719.

According to the President, through the Cebu summits, ASEAN made progress on issues of energy independence, human rights protection, economic integration and social justice.

She said that with the signing of the ASEAN-China Agreement on Trade in Services of the Framework on Comprehensive Economic Cooperation, the region is inching closer towards a free trade arrangement, cutting barriers on services such as telecommunications, transportation and tourism.

During the 2nd East Asia Summit held at the CICC, the President and the other leaders signed the Cebu Declaration on Energy Security that is expected to ease the energy pressure on most ASEAN countries because of continued rise in oil prices in the world market. (PNA)

Brighter future seen with ASEAN charter

The writing of a charter to create a closely-knit regional bloc similar to the European Union and to jointly combat terrorism and cross-border crimes and establish a free trade zone by 2015, are the agreements reached by the leaders of the Association of Southeast Asian Nations according to a draft obtained by The Associated Press.

The statement which will be released upon the culmination of the summit will include an agreement on counter-terrorism, protection of migrant workers -- a major issue in the region; increase in energy security, intensified fight against poverty and AIDS and a vow to create an "ASEAN Economic Community" with a free flow of goods, services, investment and capital by 2015.

Saying that regional partnerships are vital to ensuring that everyone benefits from globalization, Foreign Affairs Secretary Alberto G. Romulo called for a closer cooperation between ASEAN and China through the establishment of the ASEAN–China Center on the Promotion of Trade, Investment and Tourism.

He said that "people disadvantaged by economic factors beyond their control should not be forgotten. Managing the social impact of globalization and closing development gaps are crucial in this regard."

"The Philippines, therefore, seeks to conclude an MOU to establish the proposed ASEAN–China Center on the Promotion of Trade, Investment and Tourism by the 40th ASEAN Ministerial Meeting (AMM) in July this year in Manila," Romulo told the Foreign Ministers of ASEAN and China.
Similarly, Presidential Adviser on the Peace Process in Mindanao, Sec. Jesus Dureza, in an interview at the 3rd BIMP-EAGA Summit at Shangri-La Mactan Resort and Spa in Lapu-lapu City, disclosed that the governments of Brunei, Indonesia, Malaysia and the Philippines agreed to expand the air linkages within the BIMP East Asia Growth Area as well as to sell the area as one eco-tourism destination.

To spur tourism and trade, the BIMP foreign and transportation ministries and secretaries had signed a Memorandum of Understanding on Expansion of Air Linkages which designates 7 major international airports -- Bandar Seri Begawan in Brunei Darussalam, Pontianak and Balikpapan in Indonesia, Kota Kinabalu and Kuching in Malaysia and Davao and Zamboanga in the Philippines to be granted fifth freedom traffic rights.

The MOU provides for the multiple designation of airlines without restrictions on frequency and capacity and co-termination with stopover rights and code sharing arrangements.

President Gloria Macapagal-Arroyo said, “the future for the region looks brighter,” as the summit sets to undertake key goals. (PIA)

Apo Island in Oriental Negros declared 5-star diving site in the Philippines

The world renowned Apo Island in Dauin town in Oriental Negros and all marine sanctuaries in the said municipality have been declared as five-star diving sites, according to a survey conducted by a foreign organization.

In the same survey, Apo Island in Dauin recorded the highest number of marine species in the whole world with more than 550 species. Australia came in second.

With this development, the office of Mayor Rodrigo Alanano is strictly enforcing regulations on applications for berthing as it even denied application for fishing in the seawaters of Dauin.

Mayor Alanano on Friday denied the permit application of a Cebu-based dive boat operator to conduct fishing activities in the municipality.

He said even Manila beach resorts are already applying for mooring buoys in the municipality, which is allowed under their existing ordinance.

Beach resorts in Dauin were allowed to install their respective mooring bouys where visiting dive boats may drop anchor.

Alanano stressed that Dauin is not only gearing for tourism promotion but for the protection and preservation of its marine habitat so the people are assured of their livelihood.

In 2001, two sanctuaries were established by Silliman University in the coastal barangay of Lipayo and Apo Island.

Under Mayor Alanano’s leadership, it has grown to a total of 10 sanctuaries.

The revived Lipayo sanctuary is earning around P200,000 from diving fees and users fee, the mayor said. (PNA)

RP bats for borderless ASEAN community

The Philippines is expected to make a strong push for counter-terrorism measures and regional community building during the 12th Association of Southeast Asian Nations (ASEAN) Summit which opens in Cebu, a world famous tropical island resort, on Jan. 10.

This was indicated by Foreign Affairs Assistant Secretary Luis T. Cruz, who said the Philippines hopes the summit will be remembered as a watershed in the campaign for the establishment of a borderless community in the region.

Cruz, who is also the Director General for ASEAN Affairs, said that at no time has the need for expanding cooperation and networking among the ASEAN members been more important than now in the face of increasing terrorist threats not only in the region but in the world.

He added that on the regional level, the Cebu Summit should be remembered as an event that highlighted common efforts to build a regional community.

Cruz said among the possible issues that will be taken up is a convention on counter-terrorism, with the extradition of terrorists and criminals among member countries as one of its important provisions.

The ASEAN convention on counter-terrorism is one of six documents endorsed by ASEAN Ministers meeting during the preparatory meetings held last month before the Summit was called off on account of Typhoon “Siniang.”

The others are the Cebu Declarations on the Blue Print for the ASEAN Charter, Towards One Caring and Sharing Community, On the Acceleration of the Establishment of an ASEAN Community by 2015, on the East Asian Energy Security and on the Protection and Promotion of Rights of Migrant Workers. (PNA)

ASEAN summit leaders meetings and Sinulog festivities kick-off Friday

Foreign and Philippine media will have a field day on Friday as simultaneous to the start of the 12th Asean Summit and the 2nd East Asian Summit on that day is the launching of the Sinulog festivities, an annual tourist-crowd drawer in Cebu City.

Around 16 Heads of State including President Gloria Macapagal-Arroyo will converge in Cebu for the annual summit of the 10 Asean-member countries apart from the six dialogue partners from East Asia that will also attend the summit. The Heads of Governments are expected to talk on vital issues and concerns and come up with recommendations that seek to strengthen the region's placement in the world. The outcome of the agreements among the participating Heads of Governments will be known as the 'Cebu Declaration.'

Bilateral meetings between participating nations are also scheduled while as of the latest, there are 52 listed meetings that will be conducted during the summit period including ministerial meetings among senior officials, foreign and economic ministers.

As the Leaders Meetings officially begin on Friday, the Cebu City Government will launch the Sinulog Festival with a street dance of 10 participating-contingents from 10 local universities at 3:00 p.m. The street dancing will start in the vicinity of Sto. Niño Church to end at the Cebu City Sports Center.

Every year, 'balikbayans' across the globe, foreign visitors and domestic travelers alike have flocked to Cebu making the month of January a vibrant tourist period. Around 5,500 police forces are now in Cebu to help secure the summit and the Sinulog event.

With two big events happening here where foreign delegations and tourists will attend, police and military authorities have stressed that they are ready for any terrorist attacks amid the travel advisories issued by the countries of Canada, Australia and Great Britain against specifically going to Cebu.

Cebu Task Force Head on Security Gen. Silverio Alarcio said the police and military are prepared and that security measures are already in placed. The armed forces are likewise reinforcing the police in securing the meeting venues.

National Organizing Committee (NOC) secretary general Ambassador Marciano Paynor Jr. earlier bared that there is "no specific threats" as of now that have come up to alarm security personnel.

It has been reported that starting Wednesday until the 16th, a 32-kilometer no-fly zone will be enforced around Mactan airport and the main venues in the cities of Cebu, Mandaue and Lapulapu. (PIA)

Breakthrough in Philippine Tourism

For the year 2006, the Department of Tourism (DOT) had integrated insights on how to win in core markets and how to maintain interest and awareness in investment markets.

DOT Secretary Joseph “Ace” Durano said, “We are now in the process of realigning the organization’s set-up redeploying resources across the globe, and building the organizational capabilities necessary.”

”We continue to lay the foundation of a healthy development of the tourism sector over the long-term, to foster greater collaborative coordination between the public and private sector and ensure that tourism contributes disproportionately to the Philippine economic development.”

In 2006, the DOT laid new groundwork to expand its focus. It is now investing across a broader portfolio of markets in a measured, disciplined and systematic way to yield growth today and tomorrow, through the following:

*Accelerate demand in existing core markets (China, Japan, Korea, Filipino-Americans) by developing the lion’s share of resources and people;

*Increase investment and focus on strategic markets (Australia, Russia, Germany, US/Canada);

*Reinvigorate investment markets (Hong Kong, Taiwan, Singapore) by focusing efforts on addressing key barriers to growth and improving our effectiveness with the trade; and

*Monitor other markets on an annual basis for low-hanging fruit (Scuba diving market of UK, Italy, Spain and France).

”Through improved use of online assets, we can drive awareness, preference and closure among international travelers, provide differentiated services to travelers and the trade, and meet requirements for the media,” Durano said.

Driving Growth in Arrivals

Based on unique insight on the markets, the DOT would spend on marketing and trade activities most likely to convince travelers to visit the Philippines. For example, the DOT has prioritized China because of its untapped potential, robust growth in travelers, and the proximity to the Philippines.

China has now become the Philippines’ fourth largest market, up from the 11th in 2004.

Through 2006, the DOT continued to see strong growth in the number of arrivals from China, which is double the overall rate for other countries. To further engage and excite the trade and consumers in China, a combination of both offline support and online programs will be implemented.

The DOT will continue to work on evaluating and addressing unmet needs, such as improving Chinese language capabilities, increasing direct air access to key tourist locations, and enhancing the overall quality of tourism infrastructure to support continued growth in the China market.

Another major initiative centers on Japan, which is the third most important tourist market after the United States. The DOT is now focusing its attention and offering to activate these segments and its Japan team on investing in appropriate trade channels.

As a result, the H.I.S., a travel wholesaler in Japan, reported that January to May 2006 sales of Philippine package increased by 117 percent compared to the same period in 2005.

Over the last four years, the USA remained as the major tourists source-market for the Philippines, with 467,066 (January to October 2006) followed by Korea, 452,839: Japan, 357,743; China, 110,525; Taiwan, 98,180; Hong Kong, 79,557; Australia, 77,015; Singapore, 69,948; Canada, 60,271; and United Kingdom, 54,127.

Visitor Arrivals to the Philippines

Visitor arrivals to the Philippines grew at an average of 4.9 percent per annum during the last 10 years. After experiencing turbulent times from 1998-2003, the tourism industry was able to show substantial growth in 2004 as arrivals grew by 20 percent.

During the period 2004-2005, tourist inflow grew at an average of 17 percent per annum way above the growth projected by the United Nations World Tourism Organizations (UNWTO) for the Asia Pacific region by seven percent.

With the continuing growth in intra-regional travel and projected increase in outbound travel from long-haul markets to the Asia Pacific, visitor arrivals to the Philippines is projected to grow at an average of 14 percent per annum to reach five million in 2010.

The breakdown is as follows: 2007, 3,206,731 with a growth rate of 12 percent; 2008 -- 3,655,673 with a growth rate of 14 percent; 2009 -- 4,240,580 with a growth rate of 16 percent; and 2010 -- 5,003,884 with a growth rate of 18 percent.

Occupancy Rates in Metro Manila and selected Regional Destinations:

Average occupancy rate of classified hotels in Metro Manila continued to grow during the period 2001 to 2006. De Luxe and First Class hotels hit as high as 70 percent occupancy while the standard and economy accommodation facilities reached more than 60 percent.

On the other hand, occupancy rates of hotels in selected regional tourists destination grew from 2001 to 2005.

Region VII, most especially Cebu consistently experienced high percent occupancy rate. The total for 2006 are as follows: De Luxe, 69.99 percent; First Class, 70.04 percent; Standard, 69.63 percent; and economy, 62.61 percent.

International Flights to the Philippines.

At present, there are 556 weekly flights to the Philippines with 142,354 available seats.

Hong Kong accounts for the biggest bulk at 17 percent, followed by Singapore at 17 percent for 97 and 75 weekly flights, respectively. Flights to Korea and Japan have a share of 10 percent while Taiwan and the USA accounted for seven percent.

Long haul traffic to Europe from Amsterdam and Frankfurt provide a combined share of three percent to the total weekly seat capacity.

As of October 2006, major airlines servicing the Korean, Japan, China, Hong Kong and Singapore have experienced load factor of more than 70 percent, Korean Air and Asiana have full flights reaching as high as 89 and 88 percent load factor.

China Airlines and China Southern, on the other hand, which have flights from Beijing, Xiamen, Shanghai and Guangzhou to Manila and Laoag are also full with load factor of 81 and 70 percent, respectively.

Accommodation Capacity:

The robust growth in occupancy levels in the last five years have encouraged more investments in the accommodation sector. In addition, expansion and rehabilitation of existing hotels are underway to provide more sophisticated environment and amenities suitable to the demand of diversifying tourist markets.

The DOT has endorsed a total of 44 accommodation projects amounting to P25.7 billion during the last four years. The bulk or 59 percent were hotel projects amounting to P18.6 billion. The operations of these projects will increase total room supply by 5,780 rooms.

In October 2006, hotels/resorts in selected destinations were expanded. In Boracay alone, there are 4,077 existing facilities with the expansion of 344 and the construction of 1,002 more bringing the total to 5,423.

In Cebu City, existing ones totaled 5,859, with the expansion of 32 and the construction of 435 more for a total of 6,327 facilities; In Mactan (Cebu City) existing ones totaled 2,536; expansion, 38; under construction, 758 for a total of 3,332; and Palawan, 2,394 existing; 249, expansion and 161 under construction bringing the total to 2,804.

Building Sustainable demand for the Future:

The DOT will continue the momentum of the past two years by building sustainable demand, by strengthening the tourism cluster, and by building organizational and leadership capabilities.

Performance across a broader portfolio of markets will be ensured -– reaping growth today, but also investing for future growth. Continued effort will be pursued to deepen credibility with the domestic and international trade as well as the broader business community by communicating a clear tourism vision for the Philippines and by strengthening the Philippines brand with the targeted travelers.

The DOT will continue to address supply constraints around accommodation and aviation capacity through specific investment projects -– new resorts, internationalization of airports, new air routes and frequencies, improving tourism experience -– to pave the way for continued growth.

The department will remain focused on performance, achieving the highest return with its available resources. (PNA)

Tourism and ICT seen to fuel Cebu's growth in 2007

Cebu’s tourism and information and communication technology (ICT) sectors are expected to fuel the province’s economic growth this year, senior officials said.

Cebu Investments and Promotion Center (CIPC) managing director Joel Mari S. Yu said improved infrastructure catering to Cebu’s tourism and ICT sectors may result in the doubling or tripling of the province’s growth within the year.

”The games for 2007 will be played by ICT, and tourism,” Yu said.

Cebu will be one of the major cities in the Philippines and is bound to win this game, as this has been the priority sectors for Cebu in the last couple of years, he noted.

According to Yu, Cebu’s infrastructure has been established to accommodate these two winning industries. In 2007 where ICT and tourism are the main players, he said “Cebu is already ahead of everyone.”

He noted there are a lot of factors that will lead to robust economic improvement for the year 2007, despite the upcoming elections in May.

Department of Trade and Industry (DTI) Cebu provincial office director Nelia F. Navarro said “the action for 2007 will be in the export services sector.”

According to Navarro, the export services sector will push employment, revenue generation and economic boost for 2007 includes ICT, tourism, business process outsourcing (BPO), construction services, computer-aided design (CAD), ship crewing, among others.

This means that more and more Cebuanos will be able to earn dollars without having to go abroad, because of this emerging export services industry sector.

Cebu Chamber of Commerce and Industry (CCCI) president Francis O. Monera said the year 2007 will bring intense excitement for Cebu, as active business activities will never be as profound and fruitful.

”I am excited for 2007, we cannot think of something that can be a burden or problem, for Cebu in climbing up to the international level of competencies," Monera said.

Banker Prudencio Gesta said the good management of President Gloria Macapagal-Arroyo in curbing the government’s huge budget deficit is a big plus for Cebu to in the international investment community. (PNA)