C R E D I T

NCC Vision Promote a more competitive Philippines and instill a culture of excellence through PUBLIC-PRIVATE sector collaboration REDUCE POVERTY THROUGH INCLUSIVE GROWTH as a means to REDUCE POVERTY THROUGH INCLUSIVE GROWTH

Work Program  Benchmark against key global competitiveness indices  Map each indicator to the agency responsible  Focus on lowest-ranking indicators  Track city competitiveness and key indicators  Working Groups concentrate on specific projects  Link work to Philippine Development Plan, National Budget, Legislative Executive Development Advisory Council, Cabinet Agenda

% Unemployment Rate 6.8% (2012) 7.6% (SI 2013) Real GDP Growth 20.3% (2012) 20.8% (SI 2013) Fixed Capital as ratio to GDP Unemployment rate 7.0% (2012) 7.3% (ave. of LFS’ 2013 Jan, Apr & Jul round) Underemployment rate 20.0% (2012) 19.8% (ave. Jan, Apr & Jul 2013) 27.9% (S1 2012) 28.6% (S1 2009) Poverty Rate Where are we now? Philippine Development Plan Targets 7-8% Gross Domestic Product 22% Investment/GDP ratio Poverty Incidence down to 16.6% Source: The Philippine Economy at a Glance, National Economic and Development Authority

Report 2013 Rank 2012 Rank 2011 Rank ChangeASEAN Next Report SourceTarget WEF Global Competitiveness Index 59/14865/14475/142 Up 66 of 10Sep-14WEF49 IFC Ease of Doing Business108/189138/185136/183Up 306 of 10Oct-14IFC63 IMD World Competitiveness Report 38/6043/5941/59Up 54 of 5May-14IMD20 TI Corruption Perception Index -105/179129/183 Up 245 of 10Dec-13 Transparency International 60 Economic Freedom Index97/177107/179115/179Up 105 of 7Jan-14 Heritage Foundation 59 Global Information Technology Report 86/14486/14286/138 no change 6 of 7Apr-14WEF47 Travel and Tourism Report82/140n/a94/139Up 127 of 8Mar-15WEF46 Global Innovation Index90/14295/14191/125Up 57 of 9Jul-14WIPO47 Logistics Performance Index-52/15544/155 Down 84 of 913-NovWorld Bank51 Failed States Index*59/17856/17751/177Up 37 of 10Jun-14Fund for Peace118 Global Competitiveness Report Card

Global Competitiveness Performance ReportChange 2013 vs 2012Change over 3 years World Economic Forum Global Competitiveness Index IFC/WB Ease of Doing Business Report IMD World Competitiveness Report +5+3 Transparency International Corruption Perceptions Index Not available until December Economic Freedom Index Global IT Report (WEF) 00 Travel and Tourism Report (WEF) +12 Global Innovation Index +5+17

COUNTRIES 2011 Out of Out of 144 CHANGE Out of 148 CHANGE SINGAPORE MALAYSIA BRUNEI DARUSSALAM THAILAND INDONESIA PHILIPPINES VIETNAM LAOS * CAMBODIA MYANMAR* (*) – New Economies added for 2013 report Global Competitiveness Index: Philippines VS ASEAN

12 PILLARS CHANGE CHANGE OVER 3 YEARS 1st pillar: Institutions nd pillar: Infrastructure rd pillar: Macroeconomic environment th pillar: Health and primary education th pillar: Higher education and training th pillar: Goods market efficiency th pillar: Labor market efficiency th pillar: Financial market development th pillar: Technological readiness th pillar: Market size th pillar: Business sophistication th pillar: Innovation Global Competitiveness Index: Philippine Rankings

INDICATORS2010 Indicators 2011 Indicators 2012 Indicators 2013 Indicators REDBottom 20% (111 th – 139 th) 25 (113 th – 142 nd) 21 (115 th – 144 th) 8 (118 th -148 th ) 7 PURPLE Ranked % (83 rd – 110 th ) 37 (85 th – 112 th ) 36 (86 th – 114 th ) 44 (88 th to 117 th ) 33 GREEN Ranked 41 – 50% (69 th – 82 nd ) 20 (71 st – 84 th ) 17 (72 nd – 85 th ) 12 (74 th to 87 th ) 19 BLACK Ranked 49% or higher (1 st – 68 th ) 29 (1 st – 70 th ) 37 (1 st – 71 st ) 47 (1 st to 73 rd ) 55 TOTAL Global Competitiveness Index: Philippine Rankings

Percentile Rank Philippines Rank No. of Economies Percentile rank Doing Business: Philippines ( )

100 Upper 1/3 Middle 1/3 Bottom 1/3 Based on Percentile Rank Doing Business: Philippines ( )

Economy CHANGE 1Philippines Ukraine Rwanda Brunei Darussalam Russian Federation Burundi Guatemala Brazil Iraq Kosovo Top 10 Most Improved in Terms of Rankings

Economy CHANGE2014CHANGE CHANGE OVER 3 YEARS 1 Kosovo Ukraine Burundi Poland Philippines Russian Federation Brunei Darussalam Uzbekistan Costa Rica Guatemala Most Improved Economies

Source: World Bank

Foreign Direct Investments, net inflows (US$) COUNTRY Indonesia13,770,580,77119,241,252,76219,852,569,230 Malaysia9,167,201,90712,000,756,384- Thailand9,103,993,9107,780,007,8298,616,301,338 Vietnam8,000,000,0007,430,000,000- Philippines1,635,000,0001,816,000,0002,797,000,000

Source: World Bank

GDP per capita (US$) COUNTRY Malaysia 8, , , China 4, , , Thailand 4, , , Indonesia 2, , , Philippines 2, , , Vietnam 1, , , Cambodia

In July 2013, the number of unemployed persons was estimated at about 3 million. Source: July 2013 Labor Force Survey National Statistics Office

Used to measure income inequality, the GINI coefficient ranges between 0 (perfect equality) and 1 (perfect inequality). Gini Coefficient

Source: The 2012 First Semester Official Provincial Poverty Statistics National Statistical Coordination Board

 Moving in the right direction but still have much work ahead of us  Public-Private Collaboration works  Biggest challenges – Institutionalization and the permanence / irreversibility of reform Next Steps