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Filipino expats lift home investments
Overseas money flow into philippines rises 30% to a record $1.5b in June.
- By Cleofe Maceda, Staff Reporter
- Published: 23:49 September 8, 2008
- Filipino expats at a restaurant in Dubai. To attract more inflows and promote the country as a property investment destination in the Asia-Pacific region the Philippines is holding its first property show in the Middle East on September 26 and 27 at the Crowne Plaza Hotel in Dubai.
- Image Credit: Gulf News archive
Dubai: Amid rising remittances, more money from Filipino expatriates in the UAE will be pouring into the real estate market in their home country this year, as the Philippines' property prices remain relatively low compared to other Asian countries, an industry source said.
The country's stable currency and favourable investment climate are also encouraging investments both from overseas workers and foreign residents alike.
Jose Tuano, chairman of the Philippine Business Council-Abu Dhabi chapter, said they expect a 20 per cent increase in investments from Filipino expatriates in the UAE alone. Investments from foreigners are likewise projected to expand.
"I'm very optimistic that UAE-based Filipinos will continue to buy residential properties in the Philippines as it is everyone's ultimate dream to have a home for their families when they return instead of renting or staying with relatives," Tuano told Gulf News. "Those who have plans to migrate elsewhere still consider buying in the home country for security of long-term investment with stable returns," Tuano added.
Industry experts have noted that overseas Filipinos spend about 30 per cent of their income on real estate. Either they buy a new house, rent a property or refurbish their existing homes.
"For all expatriates, shelter is considered a basic need other than food, clothing, energy. Remember that one of the critical reasons why there are many overseas Filipinos in any part of the globe is financial in nature. Sending one's children to school and having one's own home are the ultimate objectives," Tuano said.
The Central Bank of the Philippines reported that money inflows from overseas Filipinos coursed through banks accelerated year-on-year by 30 per cent in June this year to reach a record $1.5 billion. The amount is said to be the highest monthly remittance that has been recorded since 1989.
The bulk of remittances came from the UAE and other countries such as Saudi Arabia, the United States, United Kingdom, Italy, Canada, Singapore and Hong Kong.
To attract more inflows and promote the country as a property investment destination in the Asia-Pacific region, the Philippines is holding its first property show in the Middle East on September 26 and 27 at the Crowne Plaza Hotel on Shaikh Zayed Road in Dubai.
The show, directed at Filipino expatriates and foreign investors, will offer a rare opportunity for anyone planning to invest in emerging markets to transact business directly with top developers from the Philippines. Organisers said foreigners are allowed by law to buy and own residential condominiums in the Philippines.
The first Philippine Property Show will feature the latest residential projects from noted developers like Megaworld of Alliance Global, SM Development and Hamilo Coast of SM Group and Aboitizland of Aboitiz Group of Cebu, among others.
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