MANILA - At least $1.25 billion worth of trade and investment pledges were made during the trip of President Rodrigo Duterte to India, Malacañang said Thursday.
Presidential spokesperson Harry Roque said the new Indian trade and investment pledges to the Philippines are expected to generate about 105,500 jobs.
Trade Secretary Ramon Lopez said this figure was just the “minimum” as some of the firms who have signed their letters of intent to invest or expand their operations in the Philippines have yet to give more details about their plans.
“Indian companies, there a lot of already in the Philippines… We have talked to them. They intend to come in a bigger way,” Lopez said in a news conference in New Delhi, India where Duterte is on an official visit to attend a summit between Southeast Asian and Indian leaders.
“It is emerging to be a substantial commitment on the investment side as well as job generation side. And much of it will be coming from the IT-BPM (Information Technology - Business Process Management), renewable energy and other infrastructure projects including pharmaceuticals,” Lopez said.
Lopez said seven Indian companies have signed letters of intent to start or expand operations in the Philippines, among them renewable energy firm Adani Green Energy Ltd., aviation, travel and hospitality firm Interglobe Air Transport Ltd., and Narra Wellness Resorts Inc., which operates the luxury resort The Farm at San Benito in Batangas and partly owned by Indian Naresh Khattar.
Majority of the business pledges involve IT firms, Lopez said.
Interglobe Technologies, which provides IT and business process management services to travel and hospitality companies, plans to expand its operations in the Philippines by building one or two more business process outsourcing centers which are expected to created thousands of jobs.
KG Information Systems Private Ltd., which specializes in IT consulting and services delivery, also plans to start operations in the Philippines.
Hinduja Global Solutions, which already has a major presence in the Philippines, also plans to expand its operations with 2 to 4 additional sites.
The IT and Business Process Association of the Philippines (IBPAP), meanwhile, vowed to increase growth and employment for the Philippine IT-BPM industry, which is projected to generate 1.8 million jobs by 2022 and an estimated $38.3 billion in revenue.
Aside from the letters of intent the governments of the Philippines and India also signed a memorandum of understanding which aims to “facilitate direct investment” through the Philippine Board of Investments and the Invest India.
A memorandum of understanding was also signed between the National Association of Software and Services Companies and the IBPAP.
The business-to-business MOU is intended to extend the cooperation between NASSCOM and IBPAP to promote development and growth of the global IT-BPM industry.