PH bizmen 2nd most optimistic in world

MANILA, Philippines – Filipino businessmen ranked second most optimistic in the world in the first quarter 2013 survey of Grant Thornton International.

Around 90% of Filipino businessmen said they were optimistic about the growth of the economy in the next 12 months, a boost of 18 percentage points from the last quarter of 2012, and the highest level recorded since early 2011.

The Filipino business community was the most optimistic next to Peru, which registered an optimism balance of 98%.

Optimism in the Philippines was also way higher than the ASEAN average of 29%, and the global average of 27%.

“Leading up to 2013, there were several positive forecasts for the Philippines, with independent economists projecting stronger growth for the next couple of years. So there is good foundation for this surge in optimism among business leaders,” said Marivic Españo, Chair and CEO of Punongbayan & Araullo, a member firm of Grant Thornton International.

Revenues, labor force

More were also expecting higher profitability and revenues in the next 12 months, at 74% and 76%, respectively, up 10 percentage points from the last quarter of 2012.

This was reflected in the hiring sentiment, with around 46% of Filipino respondents saying they had plans to hire new people in the coming year.

However, the businessmen surveyed cited the lack of availability of skilled workforce in the country, with 46% of respondents saying it would be a roadblock to growth. This was up from just 20% in the first quarter of 2012.

“Considering this picture, business leaders may run into problems filling positions in their organization,” said Españo. “It’s an unfortunate situation, because we have a 7.1% unemployment rate and yet executives are complaining that they can’t find talent. Perhaps the private sector and the academic community can work together to address this gap before it gets bigger,” he added.

Around 42% of businessmen cited transport infrastructure as a business constraint, up from 20% in the last quarter of 2012.

This survey results came after the Philippines won its first ever investment grade debt rating from global credit rating firm Fitch in April. – Rappler.com