For BDO Unibank, the largest lender in the Philippines, now is the perfect time to team up with Japanese financial institutions.
A growing number of Japanese companies are looking to expand into the country, while President Rodrigo Duterte has made wooing foreign investment and creating manufacturing jobs key policy priorities.
On July 13, BDO signed a business alliance agreement with Japan’s Shizuoka Bank in Manila. Under the agreement, BDO will provide Shizuoka Bank’s corporate clients doing business in the Philippines with various services, such as account openings and introductions to potential partners. The tie-up will also allow Shizuoka Bank customers to remit foreign currencies and borrow pesos from BDO.
BDO is hoping the alliance will help expand its customer base among Japanese companies eyeing the Philippines. Shizuoka Bank Deputy President Akihiro Nakamura said he has high expectations for the country’s growth potential, and pointed out that well-known Japanese manufacturers, such as Yamaha Motor and Suzuki Motor, are headquartered in Shizuoka Prefecture.
With a population of more than 100 million and an average age of 23 — the lowest among members of the Association of Southeast Asian Nations — the Philippines is drawing keen attention from manufacturers. Lower labor costs and slower wage growth than neighboring countries are also a plus for the manufacturing industry.
Source and image: Nikkei