The Philippines’ warm relationship with the United States makes it an ideal destination for investors that are looking to diversify their businesses outside of China amid ongoing global trade uncertainties, HSBC Global Research said.
But apart from friendlier ties with America, Aris Dacanay, economist at HSBC, said the potentially lower tariffs on the Philippines and the attractive demographic of the Southeast Asian country “should give all the right signals to global investors.”
The government’s aggressive infrastructure push should also increase the country’s appeal to foreign investors, Dacanay added.
Amid the growing trends of “nearshoring” and “reshoring” due to global trade uncertainties, the HSBC economist said that investors adopting the “China +1+1” strategy might find the Philippines interesting.
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