We are our greatest enemy
The question often asked today is if we are ready for a freer, more open global market. Might I stress that in many more ways than we realize, it is quite free and open? Many ask: Can we compete? Will our SMEs (small and medium enterprises) survive? Will the Philippine economy benefit, or will it be buffeted by the larger and more powerful wings of our Asean neighbors?
In the continuing discourse on readiness and amidst a sometimes mad scramble to prepare for the Asean Economic Community in 2015, a possible Trans-Pacific Partnership (TPP) and the just as possible Regional Comprehensive Economic Partnership, perhaps it will be good to step back and assess where some of our strengths lie.
Our political and business leaders have said many times that our greatest resource is our people. And indeed, it is because of Filipinos that this country is No. 1 in business process outsourcing. It is because of Filipino seafarers that many huge cargo and cruise ships are operating at peak efficiency. It is because of Filipino domestic helpers that parents all over the world are able to entrust their children to the best care as they help turn the wheels of their respective economies. It is because of Filipinos that the tourism industry in many countries is enhanced by friendly service that speaks the global language clearly. This list can go on and on, to include Filipino scientists, teachers, accountants, welders, and so forth.
After Super Typhoon “Yolanda,” the world praised the resiliency of Filipinos. Truth be told, that resiliency was also displayed after “Pablo,” after “Santi,” after “Sendong,” after countless other storm tragedies experienced by our country. Being in the typhoon belt as well as the ring of fire is probably what molded Filipinos into such a tough bunch of people. As a disaster-molded people, Filipinos are probably better equipped to deal with climate change. I do not for one moment intend to challenge the potential threats of climate change; I am simply saying that we may have a bit of an edge in facing the worsening scenarios. Resiliency will most certainly be a good thing going for us.
With the Makati Business Club’s role in promoting trade and investment, I have had the privilege to travel to various countries for the meetings of the Apec Business Advisory Council (Abac) and to join business missions to the United Kingdom, France, Singapore and Malaysia. Aside from almost always encountering world-class Filipino workers during these trips abroad, I have met more and more Filipino professionals and experts in various fields and in various global institutions. Such Filipino experts are helping craft the future global community and are addressing global concerns in infrastructure, population, water, liveable cities, climate change, regional economic integration and other complex international matters. They are certainly another reason to make us all proud to be Filipino.
In the SME and entrepreneurship arena, have you been observing the phenomenal growth of social enterprise across the country? Rags to Riches is probably the most familiar to many. The enterprises spawned by Gawad Kalinga that are sustaining communities are another. There are the Negros Women for Tomorrow Foundation and CARD MRI, which have been funding community-based enterprises, particularly those run by women. If you seek innovative models for business, we have it here in the Philippines. Those leading this charge are now globally recognized. Their projects and programs are now models being replicated. In the Abac, the Philippine members are trying to help spread the word about such social enterprises as a pathway to inclusive growth.
My proposition is that there are reasons for us to take a more confident posture in the coming freer and more open global community. In the trade in goods and services, we have strengths to build on. Unfortunately, the Philippines has tended to be hesitant to push forward our own agenda for free trade. We decided not to participate in TPP negotiations when other countries dominated by state-owned enterprises, such as Vietnam, quickly jumped in. Our neighbors chose to become part of the negotiations to understand better and, more importantly, exercise the ability to influence the final outcome of this agreement of the highest standard. We immediately focused on the reasons why we could not become part of such an agreement and stayed “outside the kulambo” so to speak.
At a recent meeting of government and business in preparation for the Philippines’ hosting of the Apec (Asia-Pacific Economic Cooperation) in 2015, the Philippine agenda was presented and discussed. Business representatives noted the need to push for a services agenda, including the management of the movement of workers and professionals across borders. Although cognizant of the sensitive nature of this agenda for some countries in the Apec region, we must view trade in services as a key Philippine agenda that builds on one of our strengths. Let’s not be our own worst enemy yet again and shy away from making an aggressive push.
Peter Angelo V. Perfecto is executive director of the Makati Business Club.
