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#PhilippinesWorldfolio Our World

See this report at worldfolio.co.uk Monday, June 17, 2013 Rise and shine with the Philippines

EDITOR IN CHIEF: ALBERTO LEANDRO LLARYORA This supplement to USA TODAY was produced by United World Ltd., Suite 179, 34 Buckingham Palace Road, London SW1W 0RH – Tel: +44 20 7409 3106 – [email protected] – www.unitedworld-usa.com Economic growth is strong, social programs successful, and transparency improved. The Philippines is becoming more than just a picture-perfect vacation spot

he current Presi- dent of the Philip- pines Benigno S. Aquino III, son of well-loved former Tpresident Corazon Aquino, has been steadfast in his cam- paign to serve his real “boss”, the people of the Philippines. Curtailed corruption, im- proved transparency, eco- nomic growth, welfare programs, peace talks with lo- cal rebel groups, job creation, and infrastructure develop- ment are key points on the agenda that President Aquino has actively pursued since be- ing elected in 2010. After years of practically un- controlled corruption in the Philippines, he certainly has his work set out for him; how- ever, he views corruption erad- ication as key to solving another pressing problem. “I was put into office by the people who believed in my idea that corruption is the root of poverty; that an end to cor- ruption would mean an end to poverty,” he said in 2010. A few months later, he ex- panded on this idea, saying: “The time for patronage is over. Now is the age of profession- alism, meritocracy, and gov- ernment institutions that are committed to the people… We will leave a country less poor, easier to invest in, and where people trust their government and all of its entities to work for their interests.” Perhaps due to its recent in- stability, the Philippines has lagged behind its neighbors in terms of foreign investment. From 2000 to 2011, FDI only totaled $25.59 billion. In con- trast, Malaysia attracted $114.56 billion and Thailand, President Benigno Aquino III has traveled to Washington twice (in September 2011 and in July 2012) to meet with President Obama and other world leaders $146.12 billion. Nevertheless, this is set to change owing to Filipino workers that in turn median age of 22, the work- Currently, 3 million poor time when economies all ing significant portions of our the country having achieved lead to strong domestic con- ing-age population is grow- households receive small around the world face great budget on social services – two investment grades from sumption, a rapidly expand- ing at a rapid rate, while job monthly grants for keeping uncertainty, ours thrives. Both most prominently our Fitch Ratings and Standard & ing business process outs- creation remains low still. their children healthy and en- the investor market and our Pantawid Pamilya Program, Poor’s – a sign that President ourcing (BPO) industry, and The Aquino administration roled in school. people are working with a which is helping 3 million Aquino’s efforts are paying off. minimal exposure to troubled has earmarked large sums for President Aquino and his newfound confidence that has households from sinking fur- GDP growth has been in the international securities. infrastructure (an area it “boss” have much to celebrate led us from success to suc- ther into poverty, and is giv- black throughout his term, Presently, the Philippines’ would like to see further de- despite the ongoing chal- cess. And we have done this ing them the resources to lift with 7.6% in 2010, 3.9% in 2011 economy is the world’s 46th veloped under the public-pri- lenges inherent in a fast-grow- despite the significant deficit themselves out of their situ- and again a strong 6.6% last largest. By 2018 it’s forecast- vate partnership program) as ing emerging market we inherited, and without ations. We are giving their year (placing it at the forefront ed to rank 31st. well as for social programs, economy. In July 2012, he il- raising taxes. children the chance at prop- of economic growth in South- Not all is rosy, however. Un- namely in health and educa- lustrated his administration’s “These past two years, we er education. We are requir- east Asia). The economy has employment stands at 7%, tion. success. have also breathed new life ing them to see medical remained strong throughout while underemployment in One of the government’s “These past two years, we into the idea that government professionals for regular the global recession, mainly almost 20%. Moreover, it’s es- most successful social pro- have proven that, as a nation, is there to work for its people. check-ups. In short, govern- due to its low dependence on timated that over 40% of em- tection schemes to date is we can make possible what We have focused on fulfilling ment is finally giving our peo- exports, its huge remittances ployed Filipinos work in the Pantawid Pamilya, or Family was once thought of as im- our mandate to uplift the ple what they rightfully from 4 to 5 million overseas informal sector. And with a Subsistence, piloted in 2007. possible. For example, at a common Filipino by spend- deserve.” Navigating through the proper channels

The Philippines has decided to take China to a UN arbitral tribunal to resolve a territorial dispute in the South China Sea, a move that many countries unbiasedly support The South China Sea has been overlapping claims to. Now, af- to settle issues that will clarify to the Philippines-China situa- benefit [from the pivot] in that a certain bone of contention be- ter years of attempting to re- not just our own territory, but tion, the United States’ pivot to we are a treaty ally of the U.S. tween the Philippines, China solve the issue diplomatically, also the territorial boundaries of Asia, a strategy to strengthen and have a strong military and and their ASEAN neighbors for the Philippines has decided to other countries, using the UN U.S. military partnerships security alliance.” a number of decades. The rea- take China to a UN tribunal in Law of the Sea as the Basis.” throughout the Indo-Pacific re- With the announcement son for the territorial dispute is an effort to settle things once While the Philippines and the gion, has led to a big improve- that 60% of the U.S. Navy Fleet simple: much of the trade be- and for all. ASEAN nations are simultane- ment in relations with the will be deployed to Asia by tween Europe, the Middle East Despite China’s refusal to take ously pushing for a code of con- Philippines in the areas of de- 2020, the significant number of and Asia passes through these part in the proceedings, Philip- duct, which they hope will fense, and beyond. extra troops is expected to waters, acting as a crucial in- pine Ambassador to the U.S. likewise help put an end to the “The relations between the bring broad benefits to the ternational shipping lane. Jose L. Cuisia, Jr., believes their numerous disputes in the South U.S. and the Philippines have Philippines, not just in Perhaps more importantly, failure to reach an agreement China Sea that have long ham- never been better than they are strengthening naval capabili- there are thought to be vast oil identifies a legal route as the on- pered multilateral relations in today,” remarks Ambassador ties, but boosting the country’s and natural gas reserves in the Ambassador of the Philippines to ly way forward. the region, the U.S. has also ex- Cuisia. We of course stand to economy as a whole. area which are primed for eco- the U.S. Jose L. Cuisia, Jr. “We have of course made it pressed its support for UN in- nomic development, chiefly clear to China, as well as the volvement, although wishing to explaining why this particular more than 100 miles from the U.S., that this arbitration is a remain neutral with regard to A UNITED WORLD maritime boundary is so hot- Philippines and 500 miles from peaceful means of settling the any particular country’s claims. SUPPLEMENT PRODUCED BY: ly contested. China – is the stretch of reef dispute” says Mr. Cuisia. Aside to their encouragement Fatima Ruiz, Enrique Abascal and Chantal Hesp Scarborough Shoal – little which the two countries lay “The tribunal should be able for a quick and lawful resolution

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2 Monday, June 17, 2013 THE PHILIPPINES Distributed by USA TODAY

After enjoying GDP growth ing a strong economy, as they of 6.6% in 2012, the government are the official entry points hopes the investment grade will for the billions of dollars sent attract funding to the tune of home from overseas Filipino Two investment $17 billion for infrastructure workers (OFWs). development, which in turn From January to March this would boost growth to as much year, remittances topped $5.1 as 7% in 2013. billion, up 5.6% over the same The third global credit period in 2012. Estimates watcher, Moody’s is yet to up- from BSP show that BDO grade the Philippines to in- Unibank Inc. leads the bank- grades secured vestment grade. Currently, it ing sector in remittances, cap- stands at one notch below turing 27.8% of the total in (Ba1) with a stable outlook. 2012. Bank of the Philippine A new era for The first upgrade came on ready recognize – that our Nevertheless, Mr. Purisima Islands (BPI) came in a close business and March 27 from Fitch, and Stan- economy’s underlying sound- holds that the market rates second with 25%, while investment in the dard & Poor’s followed just over ness is on par with countries the country “at least two Philippine National Bank Philippines has a month later, lifting the Philip- rated investment grade or notches above investment (PNB), Metropolitan Bank & arrived, thanks to pines out of the junk bond sta- higher,” he added. grade and based on Moody’s Trust Co. (Metrobank) and Fitch Ratings and tus and placing it among the Governor of Bangko Sentral own bond implied ratings, we Rizal Commercial Banking S&P having lifted world’s elite 70 nations deemed ng Pilipinas (BSP), the country’s are among the most under- Corp. (RCBC) accounted for the country’s suitable for business, where central bank, Amando Tetang- rated countries by Moody’s.” market shares of 15%, 11% credit rating to government and the private co Jr. said the S&P decision “ce- He adds that he is confident and 6%, respectively. investment grade sector both are capable of pay- ments the Philippines’ status as Moody’s will soon add a third Thanks to the increasing (BBB-) with a ing their obligations. Ultimately, an economy with one of the star to the Philippines’ record, skills levels of Filipino work- stable outlook this translates into lower bor- brightest prospects globally.” especially since a recent ers, especially in the health- rowing costs and, of course, S&P cited the country’s fis- Moody’s Analytics report stat- care sector, salaries are on higher investor confidence. cal flexibility, healthy forex ed that “the Philippines has the rise, as are remittances, Thanks to robust GDP buffer, resilient remittances and been among the brightest which grew 6.3% to $21.39 growth, the number of bank manageable inflation as rea- parts of a generally gloomy in 2012. This figure repre- loans has increased, while as- sons for the upgrade. global picture.” sents around 10% of the set quality has improved, says Actual investments over the For their part, Philippine country’s entire GDP. the report. short to medium term would banks are also enjoying re- The largest source country In early May, after receiving materialize, he said, and help silience and the benefits of a by far is the United States, ac- the second upgrade, Finance the country boost foreign di- growing economy. An S&P re- counting for 42.6% of total re- Secretary Cesar Purisima said, rect investment (FDI). port published earlier this year mittances, followed by “We are very pleased that S&P, “With our investment grade predicted that bank loans Canada at 8.2%, Saudi Arabia along with Fitch, has also now rating, we are more confident would carry on growing at a at 7.9%, the U.K. at 5.7% and affirmed the Philippines’ strong that these inflows, particu- double-digit rate in 2013, af- the UAE, with 4.5%. Gulf economic and fiscal gains.” larly of more FDIs, will swing ter having grown approxi- countries have of late in- Amando Tetangco Jr., “This investment grade rat- toward increasing the coun- mately 10.7% last year. creased their share, as many Governor of the ing is another resounding try’s productive capacity, Aside from their tradition- of the traditionally stronger Central Bank (BSP) vote of confidence on the thereby generating more em- al roles in the financial sector, economies of the West are Philippines and an affirma- ployment and higher in- banks in the Philippines also still recovering from the eco- tion of what the markets al- comes,” said Mr. Tetangco. play a key part in maintain- nomic recession. Double-digit growth at BPI Highly respected and widely regarded as one of the best banks in the Philippines, the Bank of the Philippine Islands, BPI, has received a multitude of awards and blazed numerous firsts in the country’s banking industry that have been designed to support entrepreneurism and spur socio-economic development through private-sector enterprise

Founded in 1851 and based in from P28 billion to P47 billion, overseas market during the 90s, cial and credit management, Makati, BPI is the oldest bank in and 12% CAGR on net income and the following decade it tar- which are held in key cities Southeast Asia and the largest from P8.4 billion to P16.3 bil- geted small and medium-sized nationwide through half-day receiver of overseas Filipino lion. enterprises (SMEs). teach-ins with financial experts worker (OFW) remittances. Its “BPI’s average return on equity Management at the bank now from the bank along with the operations fall into three main was 14.5% during the past eight have a greater BPI presence in participation of the Department segments: consumer banking, years, while total return to share- Asia in their sights and are also of Trade and Industry. corporate banking, and invest- holders over the same period experimenting with micro- The foundation has also col- ment banking. It is also heavily was at 214%. Our share price finance. Mr. Montinola adds: laborated with the Institute involved in micro-enterprise ended 2012 at P95 for a year- “BPI is a steady improver. Maybe for Social Entrepreneurship development and encouraging end market cap of P338 billion, in terms of satisfaction, we at BPI in Asia (ISEA), a learning Filipinos to work under their the highest among the banks on have helped the banking indus- action network of social own initiative. the PSE in 2012.” try in the country become one resource institutions and Having served as the Presi- of the best in the world today.” social enterprises aimed at dent and CEO of BPI since 2005, Progress through teamwork strengthening the capacities of Aurelio Montinola III received Mr. Montinola has long been a BPI Foundation social entrepreneurs. Such ini- a standing ovation from BPI firm proponent of achieving The corporate social responsi- tiatives fall right in line with investors and executives after results through teamwork and bility initiatives at the bank are the bank’s affirmation that “the giving his retirement speech in expanding the business organi- handled by the BPI Foundation. life we want does not depend April and formally passing the cally. During his tenure at the Established in 1978, its programs on what we have. It’s what we reins on to his successor, Cezar helm, Mr. Montinola oversaw and activities are based around do with what we have.” Consing, at the Annual Stock- various acquisitions by the Ayala- improving Philippine life in three In education, BPI invests in holders Meeting. owned bank – including those core areas: entrepreneurship, various programs that promote According to BPI’s Chairman, of Prudential Bank and ING’s education and the environment. academic excellence as well as Jaime Augusto Zobel de Ayala: investment unit – and grew BPI Its drive to take a more active efforts to uplift the quality of “Over the past eight years under to become the third largest bank role in strengthening the capa- education. Mr. Montinola, BPI delivered in the country by assets. Former President and CEO of BPI, Aurelio Montinola bilities of the nation’s entrepre- BPI adopts the attitude double-digit compounded “We always check the busi- neurs led BPI to be the first that the responsible use of annual growth rates (CAGR) ness model in an area and then the employees, the business what the market opportunities commercial bank to support resources is the key towards amidst many macroeconomic we always try to improve the cus- results will follow.’ My own pref- are. You are able to mobilize your microfinance institutions (MFIs) sustainability. So by helping challenges and changes in the tomer experience and to get peo- erence for organic growth is that resources and then you can move through the provision of devel- protect the environment and banking industry landscape: 10% ple to work together,” says the I feel it’s easier to handle, and the forward.” opmental loans. preserving Philippine her- CAGR on resources from P529 former CEO. bank’s acquisitions are good from In the 1980s, BPI focused on To help create a vibrant SME itage through the arts, BPI billion to P985 billion ($12.9bn- “So we have a statement: ‘If time to time. The advantage of its consumer banking arm. It sector, the foundation conducts is helping secure the future $24bn), 10% CAGR on revenues you focus on the customers and organic growth is that you see then turned its attentions to the learning sessions on basic finan- of the next generation.

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Distributed by USA TODAY THE PHILIPPINES Monday, June 17, 2013 3 A trusted flagship in Philippine banking

Metrobank is one of the Philippines’ most successful banks, while staying true to its brand promise of “You’re in Good Hands” For over a decade, the Asia- Metrobank remains to Metrobank has been consid- kind hearted, and a good per- Pacific region has been be adequately capitalized. ered as one of the institutions son, especially as a banker,” he regarded as the world’s Metrobank reported total in the Philippine banking says. “So we set up a founda- dynamic economy and this equity of P120.0bn and total industry having one of the tion to show this. And true year’s investment grades from capital adequacy ratio of 16.3% most stringent risk manage- enough, when people talk Standard & Poor’s and Fitch with Tier 1 CAR at 13.7%. ment policies, procedures and about Metrobank, people say Ratings prove that the Philip- standards, which have, in turn, we are proper businessmen, pines is no exception. The entrepreneurial banker made the bank more stable not just ones trying to make In 2012, the Philippines Established in 1962 and head- and secure. money. So this foundation to exceeded market expectations quartered in Makati City, the Another key focus of me is not just a foundation, with a GDP growth of 6.6% bank was founded by the Metrobank that contributed but also a good sense of who thereby reaffirming what ana- Chairman of Metrobank to its success is its emphasis we are.” lysts say about the country being Group, George S.K. Ty. on enduring banking rela- In 1979, the Metrobank Asia’s sweet spot for investors. “Banks at that time were tionships. Foundation was established to The Philippines boasts of very conservative and as a “We established Metrobank implement social development having the youngest popula- young entrepreneur, I had dif- to be a customer-focused insti- projects in the Philippines tion in the region and with a sig- ficulty in getting funds to com- tution that is responsive to the focusing on education, visual nificant part of the workforce plete our family’s flour mill,” needs and concerns of its stake- arts and healthcare. being highly educated and flu- recalls Mr. Ty. holders” says Mr. Ty. “The foundation’s programs ent in English, the country is a Backed by his entrepre- This client-centric approach embody our commitment to a goldmine for investors, espe- neurial expertise and a diffi- has been very evident and culture of excellence, a means cially in outsourcing. cult experience in getting effective as some of the com- of empowering Filipinos that The local banking industry financial support from banks, pany’s key clients have been allows them to inspire and pos- is thriving as increased stabil- he then envisioned to put up with them for years, some even itively influence their peers and ity means confidence is riding his own bank. as long as the bank has been in constituents,” says Mr. Ty. high. Banks are recording high “Had it not been for one existence. As the heart and soul of the growth and are well positioned state-owned bank, I would not Metrobank Group of Compa- to take on international com- be able to get enough capital to Corporate citizenship nies, the foundation is a help- petition. In fact, seven Philip- fund our family business. From According to the founder ing hand in nurturing a culture pine banks are featured in the then on, I was determined that and group chairman, since of excellence, and its philan- Top 1,000 World Banks 2012 there should be a bank that Metrobank was established half thropic arm in contributing to rankings compiled by The would lend support to busi- George S.K. Ty, Chairman of Metrobank a century ago, there has always human well-being. Banker magazine from the nessmen and the community,” been a thrust towards enabling As the company looks for- Financial Times. Leading the says the bank’s founder. Ty considers himself very much automated teller machines its stakeholders. At first, it was ward to banking in the Philip- charge of the country’s top per- “It was very difficult. I never a Filipino. As his way of giving (ATMs) all over the archipel- to provide financial access to pines for another 50 years, Mr. formers is the Metropolitan gave up. That’s why Metrobank back to his second home, he ago. It also has 34 foreign sustain the business growth of Ty shares his vision for Bank & Trust Company, became a reality. made sure that Metrobank not branches, subsidiaries and rep- entrepreneurs, but the bank Metrobank. known as Metrobank. “Fifty years ago, the bank- only catered to Chinese busi- resentative offices around the has since expanded this focus “Regardless of what techno- Buoyed by business and con- ing scene in the country was nessmen, but especially to the world in cities such as New onto various programs that logical innovations or retail- sumer confidence, Metrobank different. I started something Filipino people. York, Chicago, Madrid, Rome, build capacity and provide based changes occur in the registered a net income of that was more unique com- Metrobank expanded its Tokyo, Seoul and Hong Kong. incentives to key groups in soci- industry, a bank must retain P15.4 billion ($377 million) in pared to other banks. Back reach early on by establishing In 2012, Euromoney maga- ety that are crucial to national the very reason for its existence: 2012 for a 40% increase over the then our competition were branches in the countryside zine named Metrobank the development. public trust. We must, above all, P11 billion recorded in 2011. well established banks that and slowly inched its way to ‘Best Bank in The Philippines’ From the outset, Mr. Ty has continue to advocate that a Metrobank assets breached the had been in operation for the global scene to cater to Fil- for the third consecutive year. stated that trust is a funda- bank is entrusted with a per- P1-trillion mark, ending the more than 75 years. ipinos wherever they are in It has demonstrated a capa- mental component of any bank son’s hard-earned money.” year with P1.04 trillion ($25.5 “But from the very start, I the world. bility to excel not only in bank- and as part of Metrobank’s Mr. Ty adds, “We envision a billion) in total resources. The humbled myself. I made sure ing, but it also has considerable operations, he would set up a Metrobank that continues to bank’s growth was supported that I earned the trust of our A flagship bank stakes in real estate, power gen- foundation so he could give cater to the next generation of by the 8% hike in deposits to customers; I ensured that each Today, Metrobank is the coun- eration, life insurance, hospi- back to the people and serve the our tenured customers – a bank P738.7 billion which in turn and every Metrobanker tows try’s premier universal bank tality and the automotive community. that is trusted by generations fueled the 15% expansion in the line of trust and credibility.” and has the largest consoli- industry. “You have to convince peo- of families, entrepreneurs and net loans and receivables to Although he comes from a dated domestic network of Aside from providing bank- ple, one way or the other that businessmen to take care of P525.7 billion. family of Chinese migrants, Mr. over 828 branches and 1,760 ing products and services, you are honest, trustworthy, their banking needs.”

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4 Monday, June 17, 2013 THE PHILIPPINES Distributed by USA TODAY The private sector as the engine for economic growth The Philippine private sector is reinforcing growth in an already healthy economy and foreign investors are taking increasing notice of the benefits of doing business in the archipelago

When Benigno Aquino III be- SM INVESTMENTS ings Inc., and countless others came the 15th President of the “THERE ARE ONLY have all contributed towards THREE THINGS THAT CORPORATION’S Philippines in June 2010 the INFLUENCE ON the redevelopment and con- country entered into a state of ARE IMPORTANT TO tinued growth of the Philip- US: FINANCIAL AND PHILIPPINE SOCIETY socioeconomic and political MENTAL INTEGRITY, AND ECONOMY IS pines on a social, political and stability. Since then the econo- COMPETENCE, AND UNIQUE, AND ITS economic level. These compa- my of this Asian archipelago PASSION. QUALITY DEDICATION TO nies, and others, have become has been strong with early signs DECISIONS ARE CSR, FAMILIES AND examples of successful entre- indicating a steady growth for MADE BY QUALITY FREEDOM OF preneurship and innovation the foreseeable future. PEOPLE. PEOPLE CHOICE MIRROR within the Filipino population. The economy of the Philip- HAVE GOT TO HAVE THE MINDSET OF Large multinational corpo- pines is currently ranked as the THE NATION rations have also played a part th THE DRIVE AND 40 largest in the world ac- DETERMINATION TO in the complete redevelopment cording to statistics released by SUCCEED” of the country. Companies such the International Monetary as San Miguel, Jollibee, Insular Fund in 2012, when it was also MANUEL V. PANGILINAN, Chairman of TERESITA SY-COSON, Vice-Chairperson Life, Megaworld, Rustan’s, recognised as one of the emerg- the Board of PLDT of SM Investments Corporation Bench, Century Properties, BPI, ing markets of the world. Metrobank, Vista Land and As a newly industrialized AS MUCH AS $8.5 “ONCE UPON A many more have become am- country, the economy of the BILLION WILL BE TIME WE USED TO bassadors within the economy Philippines has been steadily INVESTED OVER THE RELY ON THE of the Philippines, opening the transitioning from an agricul- NEXT DECADE TO MARKETS IN doors for other large multina- tural economy to one based RESTORE PHILIPPINE EUROPE AND THE tionals by showing them the more on services, manufactur- AIRLINES AS A TOP U.S. TO A GREATER potential that lies within the Fil- ing and, most importantly, the CARRIER IN THE EXTENT. IF YOU ipino economy. private sector. The estimated REGION AND TO STEP LOOK AT THE Personally appointed by Pres- gross domestic product (GDP) UP SAN MIGUEL’S STATISTICS OF THE ident Aquino in 2012, Arsenio for the Philippines in 2012 was TRANSFORMATION PAST FIVE YEARS, Balisacan is the current Secre- over $424 billion. According to INTO A MORE ASIAN tary of Socioeconomic Plan- American multinational in- MODERN, ECONOMIES ARE ning of the Philippines. Former vestment banking firm, Gold- INFRASTRUCTURE TRADING WITH Dean of the University of the man Sachs, by the year 2050 EACH OTHER Philippines School of Eco- th AND CONSUMER the Philippines will be the 14 BASED MUCH MORE THAN nomics, Mr. Balisacan has be- largest economy in the world. RAMON S. ANG, President and CEO of CONGLOMERATE JAIME AUGUSTO ZOBEL DE AYALA, EVER BEFORE” come a key player in the The firm has previously in- Philippines Airlines and President and Chairman and CEO of Ayala continued growth and stabili- cluded the Philippines in the COO of San Miguel Corporation Corporation ty of the Filipino economy. Next 11, a projected list of the However, Secretary Bal- 11 countries with the highest an area which is proving to be vestors, stating, “In the VIP mar- capita is approximately the number of graduates (50,000) isacan is concerned not just potential of becoming the increasingly attractive for private kets, the influx of investment same as Japan when it was dur- from science and engineering with growth and stability, but world’s largest economies in the sector investors. According to from overseas, which is indis- ing its high-growth period, and universities out of all countries with the distribution of wealth 21st century. British multina- Toshihiko Takamoto, the Lead pensable for economic growth, VIP is only in the initial stages in the Association of South- and the responsibility of gov- tional banking and financial ser- Manager of the DIAM VIP Fo- has quickly grown in recent of growth.” east Asian Nations (ASEAN). ernment to ensure the devel- vices organization HSBC has cus Fund, these areas are at- years. If the accumulation of The Philippines is surpris- Investment from the private opment of the Philippines as also projected strong growth tractive for a number of reasons. capital continues in this way, ingly accessible for foreign in- sector has played an important a whole. for the Filipino economy, with “To begin with, they have an even longer period of growth vestors, with both Filipino and role in the continued socio- A recent statement from the their figures indicating that by large populations. Indonesia has can be expected.” English languages used offi- economic development of the Secretary reveals the aims set the year 2050 the economy of 230 million people, the Philip- Mr. Takamoto finished by cially. Mr. Takamoto believes Philippines. out by President Aquino: “Cer- the Philippines will be the 16th pines 83 million and Vietnam comparing the VIP market to the abundant human resources Family holding companies tainly, the Philippine economy largest in the world, fifth largest nearly 80 million. On top of that, the giants of Asian economy. will support the continued such as Ayala Group, Yucheng- is growing, but we need to make in Asia and largest in the South- the average age is low, under 25, “We expect these markets to growth of business process out- co Group, SM Investments it grow faster and to sustain East Asian region. so you have a large, young and follow a similar growth path to sourcing (BPO) in areas such Corporation, Lopez Group, high growth for the long term. Together with Indonesia and cheap labor force,” he says. China and India. GDP per capi- as IT services and call centers. DMCI Holdings, Metro Pacif- There is also no question that Vietnam, the Philippines forms The well known economist ta is very low still, in the range There is also an abundance of ic Investments, Aboitiz Cor- we need the growth to be more the Asian VIP (Vietnam, In- then went on to talk about the of $700-$1,700 across the three engineers with the Philippines poration, Robinsons Land inclusive, across and within sec- donesia, Philippines) market, potential for international in- economies. VIP’s GDP per producing the largest annual Corporation, JG Summit Hold- tors and areas of the country.” Veterans Bank, banking for a cause

Entrusted with caring for the financial welfare of veterans and their descendents, PVB has also become an important local partner in development

The Philippine Veterans Bank (PVB) was first conceived in 1956, after a reparations agree- ment as part of a peace treaty had been signed with Japan. A portion of the $20 million pro- vided by Japan, which invad- ed the archipelago in 1941 during World War II, was put into a trust fund for veterans of the war. This fund was eventually used in 1963 by the Veterans Federation of the Philippines to establish the PVB. The bank was born out of a deep sense of social responsibility towards the Philippines’ WWII veter- ans, as a symbol of gratitude and reverence. Its vision: to en- sure, through its growth and profits, that veterans – as well as their widows, orphans and heirs – were provided with ad- equate care and a good quali- ty of life, through healthcare, pensions and other provisions. Of PVB’s profits, 20% is set aside for the bank’s Board of Ricardo A. Balbido, CEO and President of Philippine Veterans Bank (PVB) Trustees. The board in turn in- vests this money in projects or lending to LGUs has helped to investments deemed advanta- AS OF SEPTEMBER evolve infrastructure projects, geous to the interest and wel- 2012, VETERANS transport terminals and other fare of veterans. BANK HAD developments. In recent years, the bank has ALREADY LENT OUT There are two unique char- been growing from strength to P7 BILLION acteristics of the bank that dis- strength, in tandem with the ($168 MILLION) TO tinguish it from other country’s economy. Between LOCAL commercial banks in the coun- 2001 and 2011, it managed to GOVERNMENT try. First is the fact that it can increase the value of its assets UNITS, MAINLY FOR accept government deposits, a from P14 billion ($345 million) INFRASTRUCTURE- privilege that was bestowed to P57 billion. RELATED PROJECTS upon it in its original charter. PVB is a successful, yet small Through this, the bank built a bank. That is why in recent two – rendering efficient ser- strong relationship with gov- years, it has shifted its focus vice and competitive products ernmental agencies. from corporate lending to lo- that are adaptable and recep- “Since we can accept gov- cal government unit lending tive to their development ernment deposits, a good num- (LGU) to support local devel- needs,” CEO and President of ber of government agencies opment projects. Now, between PVB Ricardo A. Balbido states. and LGUs have supported us,” 30% and 40% of its loan port- “The needs of LGUs are very adds Mr. Balbido. folio is comprised of LGU loans. suitable to the size of resources The second unique trait of “Outside of the two govern- that we can invest for them,” the bank is that it is owned, ment-owned commercial he adds. and can only ever be owned, banks, nobody is really looking It is in this market niche that by the veterans, their widows at the needs of local govern- the bank found a place where it or descendents. Therefore it ment. PVB positions itself as a could support the development is, essentially, a “closed-end viable alternative bank to these of the Philippine economy; its equity bank.”

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Distributed by USA TODAY THE PHILIPPINES Monday, June 17, 2013 5 Construction and AG&P: Leading the way with ModstructionTM industry reach AG&P Chairman Joseph Sigelman has built and transformed start-ups in Latin America and India into large corporations, creating thousands of jobs. In 2010, he turned his attention to the Philippines – one of the fastest growing emerging economies in Southeast Asia Established in 1900, Atlantic, where they are needed, performs driving international business to new heights Gulf & Pacific Company operation and maintenance ser- its local yards, and providing op- (AG&P) is synonymous with vices, and, ultimately, decom- portunities for its people to gain A rebirth and a renaissance: two words that have been tied to the Philippines’ the Philippines’ construction in- missions and disassembles experience abroad through its construction and industrial sectors this year dustry, working across the en- modules at the end of the their Overseas Manpower Division. gineering and construction useful lives. “Our obligation to the com- Construction industry says that demand for ce- spectra on key projects ranging “AG&P’s Modstruction also munity doesn’t stop at employ- experts BCI Asia hailed ment grew 18% in 2012 from the country’s first steel allows for parallel processing at ment in our yards. Education is 2013 as the year that and is expected to grow bridge, Manila’s water and multiple facilities so that pro- the most powerful way to in- would see the “birth of 10% this year. sewage systems, a major con- jects are finished faster than in fluence the future of the coun- new construction” in the Manufacturing overall vention center, skyscrapers and a normal construction setting, try and our employees receive Philippines, predicting is going through some- national monuments. where they are constrained by ongoing training to maximize that the value of the sec- what of a “renaissance” in In just over two years, NYC- a linear progression. This means their potential,” says Mr. Sigel- tor would climb to around the Philippines, according born Joseph Sigelman, Chair- that our clients can drive revenue man, who adds that Filipinos ex- $27.7 billion, a staggering to renowned Filipino man of AG&P since 2010, has from projects far sooner than hibit “unrivalled passion and 264% increase on 2012. economist, writer and transformed the 112-year giant with traditional approaches,” ex- dedication to their work.” The boom is mainly thinker, Bernardo Villegas, into the only Philippines-head- plains Mr. Sigelman. “There is a Philippine flag fly- due to a surge in infra- and will see “an avalanche quartered multinational com- AG&P modularizes infra- ing on top of some of the most structure and real estate of investment this year,” pany providing modular structure, some as large as sev- complex infrastructure projects projects. For a country with revenues forecasted engineering, fabrication, mod- en stories tall and weighing in the world,” he says. “Our em- that has been criticized to reach $1 billion. ular construction and asset sup- thousands of tons, which leave ployees are proud to be a part for a lack of public ex- A country that has port services to the oil and gas, the fabrication yards for job of these projects and the impact penditure on infrastruc- grown out of its agricul- mining, power, and civil infra- sites all over the world via they are having on the reputa- ture, the Aquino tural routes, the 7,000- structure sectors. heavy-lift ship tion of the Philippines the world administration has com- island nation is home to From 300 people working in or container. over.” mitted $11 billion this year on ROGELIO LAZO SINGSON, Secretary of the world’s top car manufac- the company’s heavy fabrica- The com- A man driven not by money ports, airports, roads and Public Works and Highways turers, such as Mercedes-Benz, tion yards in December 2010, pany is but by the passion for making a bridges. The government is BMW, Volvo, Ford, Toyota, Mr. Sigelman has grown support- difference and a meaningful planning to dig even deeper in- Mitsubishi, Nissan, and Toy- AG&P to a base of over 3,000 ing the change where it matters the to the coffers over the coming “WITH OUR PRUDENT ota. More evidence of the Fil- people. country’s most, Mr. Sigelman is revolu- years, with infrastructure in- UTILIZATION OF ipinos’ growing spending It is in its 150-hectare growth by tionizing how the construction vestment set to jump to almost TAXPAYER MONEY power and affluence came in state-of-the-art yards in training and infrastructure worlds do $17 billion by 2015. AS WELL AS 2010, when sales of vehicles Batangas, the largest heavy fab- and em- business and at the same time, The dense collection of IMPROVED hit a record high of 162,000. rication yard in Southeast ploying Fil- catapulting the Philippines on to cranes that dominate Manila’s PROCUREMENT Electronics manufacturing Asia, where AG&P em- ipinos, the global stage. skyline is evidence of the coun- PROCESSES AND also plays a large part in the ployees make the com- try’s thriving real estate sector. OPEN, industrial sector, which con- pany’s modular New office and residential TRANSPARENT, stitutes around 31.3% of GDP. construction, or “WE PARTNER WITH buildings, shopping malls and COMPETITIVE The Philippines plays host to “Modstruction” SOME OF THE LARGEST hotels are sprouting up all over BIDDING AS OF DEC. top multinational electronic magic happen. MULTINATIONAL the capital. 31, WE WERE ABLE firms like Intel and Toshiba Going be- CUSTOMERS Socio-economic develop- TO SAVE OVER and can also boast of supply- yond the tradi- ON CRITICAL ment has caused skyrocketing P12 BILLION WHICH ing 10% of the world’s semi- tional steel and RESOURCE AND demand for housing in recent CAN BE UTILIZED conductor manufacturing pipe definition of INFRASTRUCTURE years. A surge in bank lending FOR OTHER PRIORITY services and produce 50% of modularization, PROJECTS AT to the Philippines’ real estate DEVELOPMENT world’s HD televisions. Modstruction is a HOME AND IN sector is indicative of the mar- PROJECTS” Filipino exports are fore- holistic approach to NORTH ket’s potential in a favorable casted to rise 10% to 17% this global infrastructure AMERICA, environment of low interest year, thanks mainly to a surge projects. The company AUSTRALIA, rates and strong economic uses its vast knowledge SOUTHEAST ASIA, in outside demand for manu- LATIN AMERICA, growth. Demand for housing construction boom on the factured goods, with electron- of modular fabrication EUROPE AND is not only coming from citi- manufacturing sector has been ics – making up of 40% export to help customers plan, AFRICA” zens, but also from expatriates strongly felt by the country’s ce- revenues – due to climb around design, engineer, and con- that have come to work in the ment manufacturers. The 10%, while machinery and struct large infrastructure bustling country. Cement Manufacturers’ As- transport equipment exports projects. It delivers and JOSEPH SIGELMAN The knock on effect of this sociation of the Philippines will grow 12%. assembles the modules Chairman of AG&P CCAC knows how to keep it cool

A Philippine-U.S. partnership leads the A/C industry in the Philippines

The Philippines’ largest air con- conditioning, but rather, we are ditioner manufacturer and dis- also focused on dealing with tributor is a family-run business people. Our mission is that with a vital North American ‘we’re not just about air-condi- tie. In 1998, local firm Con- tioning – we’re about solutions.’ cepcion Industries, Inc. joined We come in and we see how we forces with Carrier Corpora- can help you create a healthy tion to become Concepcion- environment rather than just Carrier Air Conditioning Co. selling boxes and pieces of air- (CCAC), the undisputed leader conditioning units.” in A/C, ventilation and heat- CCAC combines this deep ing in the archipelago nation. local touch and knowledge with Raul Joseph Concepcion, a a U.S. business mentality to gar- third generation CEO at CCAC, ner a 45% market share and a says that his family’s original large portfolio of customers company had built up a solid abroad who source their prod- reputation even before the ucts from them. union, thanks to its good cus- “Our American partners tomer relations, a trait it’s main- brought the discipline on how tained through the 21st century. to manage our businesses and Raul Joseph Concepcion, CEO of CCAC “Our business has been com- how to look out for our finan- and grandson of the original founder mitted for 50 years because our cials and fundamentals,” says of Concepcion Industries, Inc. business isn’t just about air- Mr. Concepcion.

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6 Monday, June 17, 2013 THE PHILIPPINES Distributed by USA TODAY The “father of construction in the Philippines” builds value David Consunji set out in 1951 with a cement mixer and a truck. Today his group stands behind some of the country’s most important real estate, infrastructure and mining projects Who better to head one of Power Corporation (Sem- attribute that sealed a suc- the Philippines’ largest con- Calaca). In other words, Mr. cessful future for Mr. Con- struction and real estate con- Consunji cemented a small “BUSINESS IN sunji’s venture; in 1951, he glomerates than a former empire of construction, real BEYOND finished a Coca-Cola plant concrete inspector? David estate, mining, power, and wa- EARNING for Don Andres Soriano (of Consunji, now in his early 90s, ter utility. MONEY. WE the family that established the made the transition from in- “Since DMCI became pub- ALWAYS START San Miguel brewery) nearly spector to entrepreneur, in a lic, we have evolved into an in- WITH TRUE half a year ahead of schedule. move that would literally al- frastructure company using SERVICE; THAT IS Apart from residential ter the skyline of many of the our competencies in engi- WHAT WE STAND properties – which are main- country’s cities. neering and construction. For FOR” ly offered through DMCI Between 1951 and 1995, me, our direction towards Homes, a firm that by year- Mr. Consunji’s construction business synergy has been re- end 2011 had sold more than firm DMC Consunji, Inc. En- alized,” he says. 31,000 units worth some gineers and Contractor (DM- The group’s wholly-owned “WE FIND WAYS $1.45 billion – DMCI’s im- CI), held steady operations mining subsidiary is DMC, TO SHORTEN pressive portfolio includes that left in its wake dozens up- which is engaged in nickel, AND LIGHTEN Ayala Triangle Tower I at the on dozens of satisfied clients chromite and iron laterite ex- CONSTRUCTION Philippine Stock Exchange and successfully completed ploration and mining. How- WORKS WITHOUT Plaza, the Citibank Tower, the projects. Young David had ever, the real mining SACRIFICING SM Megamall, and Shangri- made a promise to his aunt breadwinner is Semirara, QUALITY. THIS La’s Mactan Island Resort and that he would go out and be- which enjoys a supply con- RESULTS IN Hotel Manila, as well as the come his own boss and make tract with the state-run Na- BIGGER SAVINGS kilometer-long Magat Bridge, his family proud. tional Power Corporation. FOR OUR the Gibong Diversion Dam, “I promised her that I would Semirara is the Philippines’ CLIENTS” the Narvacan Power Trans- work with honesty and in- largest coal producer, with ex- mission Lines, and the three tegrity in running my own clusive rights to explore, mine DAVID CONSUNJI, interchanges on Metro Mani- business,” he recalls. “Business and develop the coal re- Founder and Chairman of la’s main thoroughfare. in beyond earning money. We sources on Semirara Island, DCMI Holdings, Inc. Other notable completed always start with true service; a 13,600-acre island some 200 projects are the San Miguel that is what we stand for.” miles south of Manila. Ac- Corp. North Brewery, the His firm’s integrity certain- cording to Mr. Consunji, coal Motorola Plant, the Dingle ly did not go unnoticed. In mining accounts for 40% of we just recently finished re- gy and water. Nevertheless, Like his integrity, DMCI’s Diesel Power Plant, and the 1979, Mr. Consunji was the group’s net profit. habilitating in the second half building remains closest to focus on quality is a big sell- U.S. Navy’s hangar in Subic, named Outstanding Citizen “Our coal production is at of last year – is now in its test- his heart. “The construction ing point. “We are happy to which is the largest contract of the City of Manila for En- 7 million metric tons (MMT) run stage. Today, we can say business in not only an occu- note that we are one of the the U.S. government has ever gineering and was brought in a year, of which we supply 2 that we are indeed in the pow- pation – it is a calling. Con- fastest growing real estate awarded to a Philippine con- to government to serve as MMT to our own power er generation business. We are struction is a task with a huge companies because of the tractor. All in all, DMCI has Secretary of Public Works, plant. Although the export not just putting up power social value, ethics and oblig- promise of quality and af- completed more than 500 var- Transportation and Commu- demand is still robust, we pri- plants; we run them.” ation to clients,” he says. fordable housing that we of- ious projects to date, many of nications. oritize servicing our local DMCI Power Corporation, Nicknamed ‘the father of fer,” adds Mr. Consunji. which have been for repeat In late 1995, DMCI went markets which command another 100% owned group construction’ in the Philip- Quality aside, however, customers. publicly listed on the Philip- higher prices,” he says. subsidiary, is building the pines, Mr. Consunji never DMCI is also renowned for Nevertheless, for Mr. Con- pine Stock Exchange as Indeed, Sem-Calaca Pow- Masbate Diesel Power Plant, compromises quality. its pioneering the usage of ad- sunji the group’s impressive DMCI Holdings, Inc. DMCI er Corporation became an im- through which it will supply “We provide quality homes vanced construction tech- portfolio isn’t a mere list of remained as the group’s con- portant client two years ago power to the island of Mas- to families who want decent nologies in the Philippines. It completed projects. “Our struction subsidiary and was when the first of the two pow- bate for 15 years, thanks to a and affordable houses to call was one of the first companies achievements are not mea- joined by DMCI Project De- er plants went online. tender DMCI was awarded their own. We put quality in to use precast, pre-stressed sured by how many structures velopers, Inc. (PDI), Semirara “We won in the bid for the by the National Power Cor- all our projects; that is the and high-strength ready- we have built, but rather by Mining Corporation, DMCI two 300 MW power plants in poration. most important thing for us,” mixed concrete, for example. how many lives we have Power Corporation (DPC), Calaca, Batangas,” explains Mr. DMCI’s Chairman says that he states. “We find ways to And, not only do projects touched. Beyond every struc- DMCI Mining Corporation Consunji. “We finished reha- diversifying one’s assets is a shorten and lighten con- receive DMCI’s hallmark ture that we build, there is a (DMC), DMCI-MPIC Water bilitating the first unit in 2011, sure way to guarantee a flow struction works without sac- quality and innovation, compelling social value in- Company, Inc. (DMWCI), and which now runs at 250-300 of income, hence his group’s rificing quality. This results in they’re often completed ahead stilled by the hard work of our most recently, Sem-Calaca MW. The other unit – which investments in mining, ener- bigger savings for our clients.” of schedule. In fact, it was this men in DCMI,” he concludes.

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Distributed by USA TODAY THE PHILIPPINES Monday, June 17, 2013 7

from now, we need to build investment in railway, high- the infrastructure.” way and airport projects. Under PECR 4, 38 coal As well as increasing taxes blocks were opened to a and royalties on sales of re- Making the most round of bidding, which sources, the Philippines is tak- prompted an “overwhelming” ing a harsher stance on response from would-be in- corruption and illegal min- vestors. Coal production is ing, two traits that had expected to increase by up to plagued the country’s mining 250%, as new companies industry for decades. come into the sector and ex- In eliminating illegal min- of its resources isting coal operating contracts ers from the equation, the field move from exploration to de- will be clearer for responsible velopment. players who understand that The Philippines is stepping up oil, gas and coal exploration while at the same time boosting renewable power The Philippines currently transparency and sustainable sources. The government is also putting the mining sector into shipshape imports around 7 million tons methods will bring longer- of coal a year, around 75% of lasting rewards, for everyone – With demand for power grow- ergy by the year 2030, for its domestic requirement; shareholders, government and ing but supply tight and prices which it will need some P556.7 over the next 20 years, coal is communities, alike. high, the Aquino administra- billion ($13.2 billion) in in- expected to remain the major The sincerity of the Aquino tion knows that economic vestment, says Energy Secre- fuel for power generation. administration’s mining sec- growth and national prosper- tary Carlos Jericho Petilla. The archipelago is ex- tor reforms have borne fruit in ity rests on the future devel- Fossil fuels, of course, still tremely wealthy in other min- terms of international recog- opment of the energy sector. hold a prominent place in the eral resources, as well. In fact, nition. The Extractive Indus- The 2009-2030 Philippine energy matrix. it is believed to possess some try Transparency Initiative Energy Plan (PEP) is the gov- Areas for exploration and of the biggest mineral reserves (EITI) – an internationally de- ernment’s blueprint for ener- development of oil, gas and in the world – at least $840 veloped standard that ensures gy development over the next coal are being offered up for billion in gold, copper, nick- greater transparency and im- two decades. It sees conven- bidding in an ongoing series el, chromite, manganese, sil- proved governance of coun- tional fuels like oil, gas and of Philippine Energy Contract ver and iron. tries’ mining resources – coal remaining “indispens- Rounds (PECRs). Through Investments in exploration accepted the Philippines’ can- able”, and development of these, it is hoped to provide and mining projects totalled didacy in May this year. those sources is being accel- the country with the means to $3.8 billion from 2004 to “When President Aquino erated. But, at the same time, be energy self-sufficient. 2010, and the industry gen- issued Executive Order 79 alternative sources of energy The national production erated P9.1 billion ($215.2 [closing certain zones to min- will also be developed. level target set in 2009 for oil RAMON PAJE, Ramon Paje, Secretary CARLOS JERICHO PETILLA, Secretary million) in taxes, fees and roy- ing applications], the EITI Already, approximately half and gas for 2030 is around of Department of Environment and of the Department of Energy alties in 2010, according to Board must have read the of fuel inputs for power gen- 78.5 million barrels, 2,694 tril- Natural Resources the Department of Environ- move as unequivocal state- eration come from renewable lion cubic feet of gas and con- ment and Natural Resources’ ment of the government’s in- sources, namely hydropow- densate of 87.58 million become a major component swing. I personally believe (DENR) Mines and Geo- tention to implement Eiti,” er, according to the Depart- barrels. in the energy mix. there is a lot more gas than oil sciences Bureau. said Ramon Paje, Secretary ment of Energy. Former Energy Secretary “As hydrocarbon supply in our area. Knowing that we The Aquino administra- of the DENR. Nevertheless, the Aquino Jose Rene Almendras (now starts going down, with 50, are going to use natural gas as tion, however, would like to The Philippines hopes to administration would like to Cabinet Secretary to the Pres- 75, 125 years left, we are now a major component for our further boost state revenue achieve EITI membership by triple its capacity in clean en- ident) believes natural gas will seeing natural gas on the up- energy mix five to 10 years from the mining industry for 2015. State-of-the-art healthcare Spearheading the country’s emergence as a leading destination for medical tourism in the Asia-Pacific region by providing advanced technology, lower costs and shorter waiting and recovery times, St. Luke’s Medical Center showcases the future of global healthcare with its cutting-edge medical equipment, world-class expertise and impeccable patient care

The Philippines is emerging as Cortez, President and CEO of “Patients should come to St. tal in the Philippines and the a major destination for global St. Luke’s Medical Center. “For Luke’s because here we promise second in Asia to achieve inter- medical tourism and reputable investors to maximize their to give them the best treatment national accreditation by Joint sources suggest the achievable profit, it is important to invest in terms of healthcare. I call it Commission International (JCI), returns from tapping into its full at the right time. If you go too state-of-the-art healthcare a subsidiary of JCR, which is the potential are set to be huge. The early you will earn later, and if through compassionate, effi- global arm of JCAHO – the old- country is rapidly becoming an you go too late your margin will cient processes with good clin- est and largest health care international first choice for be small. If you go at the right ical outcomes and results. And accrediting body in the U.S. Dr. combining healthcare and vaca- time, like now in the Philippines, this is what we deliver; we are Cortez attributes the constant tions due to its world-class physi- you can realize that your mar- making the patient as safe as push to raise standards with the cians, cutting-edge technology, gins will be the maximum you possible,” says Dr. Cortez. latest technology as a major fac- high levels of widely spoken Eng- could ever get.” The high standards at St. tor in gaining JCI approval. lish, and its uniquely Filipino Considered one of the best Luke’s have been recognized True to form, St. Luke’s has brand of caring and compassion hospitals in Asia, St. Luke’s Med- internationally. For example, introduced a breakthrough in – all at great value for money ical Center was founded in Que- last year it won its fourth con- surgical technology offering a and a fraction of the cost in other, zon City in 1903 and now has a secutive Reader’s DigestTrusted more precise and less intrusive more developed countries. second hospital in Global City. Brand Platinum Award, which way of doing surgery: robotic In a study by healthcare busi- Over the past century it has goes to companies that scored surgery, which dramatically ness intelligence firm Health- gained a reputation for supe- three times or more than their reduces recovery times. Core, earnings from foreign rior healthcare service rooted in nearest rival. St. Luke’s in Global Dr. Cortez adds, “We were tourists’ spending on health- five pillars: high levels of pro- DR. EDGARDO R. CORTEZ, MARILEN TRONQUED-LAGNITON, City was also distinguished last also the first to have PET and care and wellness services fessional expertise in its staff, President and CEO of Vice-President of St. Luke’s Medical year as being ranked 11th among PET CT scans, which have fast totaled $1.3 billion from 2006 to state-of-the-art technology, St. Luke’s Medical Center Center’s Patient Experience Division the ‘25 Most Beautiful Hospitals become part of the usual diag- 2010. The report further reveals guaranteed patient safety, excel- in the World’ by the editors of nostic procedures for cancer, that the country has the poten- lent success rates, and passion- U.S.-based Healthcare Man- protecting cancer spread and tial to earn as much as $1 bil- ate customer service. Experience Division, which was sonal patient experience asso- agement News and Insights. recurrence.” lion annually by 2018 – or earlier “Medical tourism in the created when the hospital ciate for our patients that is on “Awards for us are secondary. Success rates are high at St. – with strategic investment in Philippines is coming of age; we decided to get back to the basics standby 24/7, as well as a Actually, in reality we do things Luke’s, being around 99.99% for healthcare infrastructure. are ready. St. Luke’s Medical of care provision and really concierge and a pick-up service right because that is the right open-heart surgery, 37% to 45% “I believe today is the best Center offers total care with looked into what a patient needs from the airport.” thing to do,” says Dr. Cortez. for fertility treatments, and a time to come; people should compassion, and the Patients to feel comfortable and safe. An insistence on the highest “We always want to improve so 68% cure rate regarding col- invest when a business is grow- Experience Division stands for “We also looked at the service professional standards is integral we have a lot of activities to orectal cancer. “Expertise, tech- ing, not when it is fully grown, not just curing, but caring,” says five-star hotels give to their to the hospital’s focus on mak- make sure there is continuous nology, well-trained staff: we and the health sector today is Marilen Tronqued-Lagniton, guests and implemented that ing patients feel at ease when innovation in what we do.” promote everything as a pack- growing,” says Dr. Edgardo R. Vice-President of the Patient in our hospital. We have a per- faced with medical treatment. St Luke’s was the first hospi- age,” says the CEO.

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8 Monday, June 17, 2013 THE PHILIPPINES Distributed by USA TODAY Word spreads about tourism’s potential A major push to boost tourism numbers and infrastructure is in full swing as record numbers of visitors are flocking to the island paradise through innovative branding and investor-friendly policies If you are looking for a whole lion mark for the first time in and host communities to come different experience on your its history. World Travel and together and create fun-filled next vacation, head east of Tourism Council figures show experiences.” Vietnam and try the beautiful that the $4.484 billion that trav- In addition to attracting island nation of the Philippines. el and tourism directly con- more foreign arrivals, the gov- Lapped by the Luzon Strait tributed to the country’s GDP ernment is also targeting 56.1 and the South China, Celebes, in 2011 rose almost 14% in million domestic tourists by Sulu and Philippine Seas, this 2012 to $5.108 billion. 2016 and has stated that an es- tropical archipelago of 7,107 In the first two months of timated 37,000 more hotel islands covers a land area 2013, tourist arrivals in the rooms will be needed in slightly larger than that of Ari- Philippines hit a record high of tourism hotspots by 2016. zona and is packed with de- 854,187. According to Tourism Potential investors in the lights to discover. Secretary Ramon Jimenez, Philippine tourism industry Favorite haunts for visitors Jr.: “Our tourism numbers are can also take confidence from range from the truly spectac- now reaching unprecedented the ongoing improvements ular beaches of Boracay and heights. We have a target of in the overall business cli- impressive UNESCO World 5.5 million this year and 10 mil- mate in the Philippines. Heritage Site rice terraces of lion by 2016. Our efforts are in Among these include better Banaue, to world-class diving full swing to raise greater de- protection of property rights, in Palawan and one of the mand, facilitate entry and greater openness toward for- world’s best preserved his- access to the different desti- eign investment, and fewer toric sites from World War II nations, and for our suppliers visa requirements for foreign on Corregidor, in addition to visitors. The world-famous 2,000-year old Banaue Rice Terraces cover 4,000 square miles of countryside others in Leyte and around Tourism also has the full the country. support of President Benigno each other can be seen in a have been recognized by the ing on the sector as a percent- Traditionally popular with TO SATISFY Aquino III, who hopes to convergence task force in place World Economic Forum age of GDP now being “first in visitors from North America GROWING build up a vibrant tourism between the Department of (WEF) tagging the country as the world, and tourism mar- and Europe – the U.S. is the DEMAND AND sector, identifying it as a top Tourism and the Department the “most improved” in the keting and branding cam- Philippines’ second-largest TOURIST priority industry. The De- of Public Works and Highways Asia-Pacific region earlier this paigns are seen to be tourist market by nationality, NUMBERS, AN partment of Tourism points for the construction of tourism year. In its Travel & Tourism increasingly effective.” just after South Korea and ADDITIONAL out that almost half of the gov- roads, bridges and other such Competitiveness Report 2013 The country’s popular ‘It’s ahead of Japan – the Philip- 37,000 NEW ernment’s infrastructure pro- projects. Closer coordination analyzing 140 economies, the More Fun in the Philippines’ pines is expecting a surge in HOTEL ROOMS jects have been aligned to among all sectors to stream- WEF ranked the country 16th tourism campaign currently near-haul arrivals from around ARE NEEDED BY support access to the coun- line the tourist experience at in the region and 82nd globally in full sway taps into the pow- the region, as neighboring THE YEAR 2016 IN try’s cluster tourist destina- all major ports is additional – the latter result represent- er of promotion via social countries’ economies expand KEY tions. Being an archipelago, evidence of a unified deter- ing a 12-place leap. The report media channels and aims to and their middle classes’ trav- DESTINATIONS the sector will need the sup- mination to build up and sup- found the prioritization of the raise the country’s interna- el budgets follow suit. AROUND THE port of a reliable transporta- port the expansion of travel and tourism industry tional profile to show the Last year, the Philippines ARCHIPELAGO tion network in particular. Philippine tourism. was “very strong”, with the world that the Philippines is welcomed almost 4.3 million An example of government Such efforts to develop the country’s 15th place ranking not just a place to see, but a visitors – breaking the 4 mil- initiatives complementing Philippines’ tourism potential coming as government spend- place to experience.

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