Now that the tough-talking Mayor Duterte is the President Elect of The Philippines Islands, the world’s fastest-growing economy and the largest,new American investment haven in the world, American investments are pouring in.
Duterte often compared to the US Presidential Candidate, widely hated and seemingly racist, Donald J. Trump, if proving to be nothing like Trump at all.
“The peso has surged 0.7 percent this month to 46.555 per dollar… while all of its 11 Asian counterparts have weakened. The Philippine currency dropped 1.7 percent in April, before jumping 1.1 percent in the two days after the election… the biggest back-to-back advance since May 2014…Rodrigo Duterte is reinvigorating financial markets in the Philippines with his transformation into a business-friendly leader.”–Bloomberg May 2016
The historical facts, surrounding Duterte’s success in his own city:which meant profit-generating jobs, infrastructure, growth in small-business sectors, lower-crime rates, economic gains and subsequent higher-consumer welfare, has foreign investors inspired. Despite much of the main-stream media propaganda, foreigners who live in the region of and around Davao City, speak highly of the lifestyle, beauty, safety and true-Philippines lifestyle it offers.
Duterte promises the world, to tackle many of the Philippines’ concerns which have (despite the successful numbers) kept foreign investors from investing even more in the country’s economic future. Foreign investing groups such as Americans, Expats, Balikbayans and FilAms are anxious to see how the climate of the Philippines will change.
The new Philippines President, has another advantage as well –the exchange rate.
In main stream media, the sliding Peso rate is misconstrued to work ‘against’ the Philippines economy; which is not the case to the international-market. A strategy Duterte seems to understand very well.
A ‘favorable global exchange rate’ for the Philippines attracts millions of potential global tourists, investors and returning Balikbayans who benefit from the 50-times earning the Philippines currently boast to the West. It also keeps the Philippines pegged above markets such as Japan, India, Nigeria and even Mexico where in which Filipinos can invest Pesos at a higher-rate.
The power of 50-times earnings was exposed –to detriment of India- when the Philippines took over as the world leader in the outsourcing and BPO Industry –even though the Philippines is up to 25% higher in cost to outsources than India is.
“There is no doubt that the Philippines was going to beat-out India, and there is no doubt that the Philippines will remain the world’s fast-growing Mega market. Just as in the United States, when slavery was abolished and racism shunned; an entirely new middle-class America emerged. Now Minority/Black America is the world’s richest consumer market. And, we have learned names such as Dr. Martin Luther King, Oprah Winfrey, Michael Jordan, Obama and Kobe Bryant. People who would have been poor slaves just a generation ago. When Duterte cleans house, and can alleviate the corruption, the Philippines will hit the Second World and a new ‘Peoples Economic Renaissance with happen. Investors, are beating on that outcome.” -Kareem Jackson, Principle at KA&CO America, a US-based business development group. Jackson is also, The US Exec. Publisher of The Philippines Magazine International and The Philippines American International Lifestyle Ambassador.
In addition, the new Philippines administration is on the radar for middle-class Americans who would not be afforded the opportunities to many medical procedures, real estate opportunities, business investments, retirement options and philanthropy efforts in the current US economy. Many of these people(over 500,000 American residents now in the Philippine Islands) are US military retirees, disabled and discharged vets, creatives, as well as young US entrepreneurs, early retirees and Americans living on Social Security benefits.
An inspired, empowered and liberated poor and middle-class Masa Philippines, would eventually grow into tens of millions of additional consumers. The disbursement of wealth Duterte talks about; however slight, would mean trillions in Dollar-value, annually re-allocated to ‘the people’ of the country.
Specifically, millions in money extorted from the ‘poor and middle-class’ Filipinos and Expats, in the form of bribes or padded fees, which would then be available for food, education, savings and/or investments. It would also transfer -literally overnight- billions of ‘pork barrel’ or un-categorized privately used, lost or embezzled monies, which would now be available for roads, education, The Philippines Arts & Culture, as well as, welfare-type social programs.
Another perhaps more attractive aspect to the Duterte Economic Plan(s) is the uplifting of the Philippines Provinces. This would mean an expansion of the Philippines booming economic growth. Just as in the United States just a few decades ago; before marketing campaigns such as “Got Milk” and conglomerate-ization of farmers like ‘Future Farmers of America’ US farmer’s where also considered irrelevant in the US economy, and subsequently-largely poor.
“…I’m open to greater foreign ownership of businesses and will seek to eliminate corruption in the tax system.” –PH President Rodrigo Duterte after his May 9, 2016 election win.