IT-BPM expects to attain revenue target for 2023

MANILA, Philippines — The $35-billion revenue target set by the information technology- business process management (IT-BPM) sector for this year is still within reach, driven by the interest from the North American market, according to the head of an industry group.

“At the beginning of the year, we expect that revenues for 2023 will cross $35 billion and our employee headcount will touch 1.7 million,” IT & Business Process Association of the Philippines (IBPAP) president and CEO Jack Madrid told reporters.

“I think the targets at the beginning of the year are within reach. I don’t think we will exceed it. It will be within that range,” Madrid said.

Based on Roadmap 2028, the Philippine IT-BPM industry expects to generate $35.9 billion in revenue this year,   10.5-percent higher than the $32.5 billion revenue generated by the industry last year.

Similarly, the roadmap expects to create 1.7 million employment this year, an 8.3-percent increase from the 1.57 million full time employment registered in 2022.

Asked for the growth drivers of the industry for this year, Madrid identified the continued interest from the North American market.

“It’ll continue to be driven by North America. I think the contact center will still lead the way. I just came from a healthcare investor roadshow and prospects are positive,” Madrid said.

“The Philippines is very strong in healthcare because of our large number of registered nurses. We’re the second largest supplier of US-registered nurses. I only wish we had more because they’re all getting hired to the point that we don’t even have enough nurses in our country. That is a very bright spot for the IT-BPM industry,” he said.

Results of an earlier survey by IBPAP showed that 83 percent of IT-BPM companies are expecting to post growth this year despite a potential global recession.

Results of the survey also showed that organizations would continue to outsource and use global business services this year as a lever to drive some of their cost optimization initiatives.

Based on the study, investments are seen to come from sectors such as Animation & Game Development, Contact Center, Cybersecurity, Financial Technology (FinTech), Healthcare, Internet Service Providers (ISPs), IT Solutions, and Shared Services.