"Tourism is one of the sectors with the highest growth in the Philippine economy, posting an annual growth rate of more than 13 percent since my assumption of the presidency," Mrs. Arroyo told the businessmen in a meeting here Thursday night.
Speaking in Spanish, the President said that in developing tourism, the hotel sector would be requiring 20,000 additional tourism-quality rooms by 2010.
"To sustain and maintain growth in tourism, we will also need investments in the building of roads, the modernization of our airports and sea ports and the development of our transport system that will link our islands and give access to remote areas," she said.
Mrs. Arroyo said she was grateful to hear that the Spanish government had put the Philippines on its priority list of countries aside from strong economies like Japan, China and South Korea.
"The strategic location of the Philippines in relation to these three big economies reinforces our potential as logistic hub and we offer the Philippine as Spain’s gateway to the economies in Asia," the President said.
Mrs. Arroyo noted the "many attractive advantages" for Spanish investors in the Philippines including an "English-speaking, highly literate, hardworking, most adaptable and most congenial workforce."
"Our competitive edge in tourism also comes from the quality of our workforce, as well as from the natural beauty of our islands, our Hispano-Asian culture, and the hospitality of our people," Mrs. Arroyo said.
The Chief Executive also pointed to the growing medical tourism industry in the country and said it was an endeavor with a lot of potential to succeed because of well-trained Philippine doctors, nurses and caregivers known worldwide for their professionalism and efficiency.
Mrs. Arroyo also invited the Spanish businessmen to invest in the energy and communication industries.
"We hope that our deep historical and cultural roots will translate to a stronger and more heightened economic cooperation," Mrs. Arroyo said.
Earlier, Tourism Secretary Ace Durano said the builders of the large hotel chains, Occidental and Ramasa (not Ramada as earlier reported), were eyeing investments in the Philippines to establish a presence in Asia.
Representatives of Spanish companies Spanair and Iberia airlines, Mella Hoteles and Occidental have met with the President to discuss business prospects in the Philippines.
Earlier, Durano said he met with Qatar airlines and the six largest travel agencies here to map out plans to get scuba divers and beach lovers to visit the Philippines.
He was told earlier that Spanish tourists no longer find the Philippines exotic enough and thus the need to focus promotions where the Philippines had an advantage. Only 8,000 Spanish tourists visited the country last year.
"Europeans go on cultural tours and since we are seen as more western than oriental, that’s why we’re not very strong in that particular segment," Durano said.
"But as far as scuba diving in Europe is concerned, we are one of the preferred destinations," he added.
Durano said to be able to attract two million of the 10 million Spanish tourists traveling each year would boost the country’s tourism industry tremendously.
The country’s main tourists are Americans, Japanese, Koreans and Chinese.
Among Europeans, Germans are the number one tourists in the Philippines, with 50,000 visiting last year. Next are Britons, followed increasingly by Russians.
Durano said it would be good to get hotel investments for the Philippines since the country could only accommodate three million tourists each year at present based on inventory of rooms.
He said the target was to have 10 million tourists visiting the Philippines each year by 2010.
"Based on our agreement with Qatar, we will be rolling out our joint program by the end of the year and all throughout next year. Those 8,000 arrivals (from Spain) would be with minimal intervention or engagement on our part," Durano said.