“This trend is also reflected in the increasing percentage of wage and salary workers, which rose to about 58 percent in April 2013 from 56 percent in April 2012.”
“The wage and salary worker category is often seen as an indicator of the quality of employment. So when that category is rising in relative terms, it suggests that the quality of employment in the country is also improving,” he said.
“By linking manufacturing with agriculture, construction, and services, supply chain gaps will be addressed and forward and backward linkages will be strengthened. As these efforts continue, the objective of having a globally competitive manufacturing sector will be achieved,” said Balisacan.
“Improving access to transportation, energy, communications, and financing will enable closer interconnections between companies, suppliers, and industry sectors, thus increasing efficiency, reducing barriers to entry, and creating greater opportunities for innovation in products and processes.”
Balisacan said maintaining macroeconomic stability and a good business environment will help attract investments, thus creating employment opportunities and enabling more Filipinos to contribute to growth.
“It also demands development in the periphery through integration of the lagging areas or regions of the country with the fast-growing, leading areas or regions. Large-scale targeted programs also need to be in place to directly assist those who are unable to participate in the growth process.”
“Scientific and technological innovations can also promote inclusiveness, not only by promoting rapid growth, but through its direct benefits in improving quality of life, food security, and environmental protection,” Balisacan added
Philippine export earnings in May 2013 posted a slight drop of 0.8 percent to $4.891 billion from $4.932 billion recorded in the same period last year.
Accounting for 35.4 percent of the total exports revenue in May 2013, electronic products emerged as the country’s top export with total receipts of $1.731 billion, down by 9.3 percent from $1.908 billion registered last year.
Semiconductors posted earnings worth $1.39 billion, down by 1.9 percent from $1.41 billion registered in May 2012.
The Philippines has moved up five notches on the global list of the most innovative nations but it will have to redouble its efforts if it wants to catch up with Southeast Asian neighbors.
The country was ranked 90 out of 142 countries in the Global Innovation Index (GII) 2013, up from 95 in 141 countries last year. In 2011, the country was in the 91st position among 125 countries.
The GII 2013 report ranks world economies’ innovation capabilities and results in recognition of the key role of innovation as a driver of economic growth and prosperity.
It looked at 142 economies around the world, using 84 indicators including the quality of top universities, availability of microfinance, venture capital deals, and gauged both innovation capabilities and measurable results.
The Philippines garnered 31.2 out of a total score of 100 in the global innovation index compared to last year’s score of 29 to move up from 95th place to 90th this year.
In the Southeast Asia and Oceania region (SEAO), the Philippines was ranked 14th most innovative out of 16 economies, behind Vietnam ranked 76th and Indonesia (85th), but ahead of Sri Lanka (98th) and Cambodia (110th).
The top three innovators in the SEAO for this year are Hong Kong (ranked seventh in the world, from last year’s eighth place), Singapore, (eighth place from third), and New Zealand (17th place from 13th).
The rest, in order of regional ranking, are South Korea (ranked 18th in the world), Australia (19th), Japan (22nd), Malaysia (32nd), China (35th), Thailand (57th), Mongolia (72nd), and Brunei Darussalam (74th).
Based on innovation output, the Philippines got a score of 30 out of 100 to rank 77th in the world, and scored 32.3 to rank 108 in innovation input.
The country’s innovation efficiency ratio was regarded by the report as one of the country’s strengths. It earned 0.9 with the highest score of 1.13 given to Mali for a ranking of 24th globally.
The index also graded countries individually based on more than 80 indicators of innovation. Among the Philippines’ perceived innovation weaknesses are those dealing with political stability, business environment, ease of starting a business, ease of resolving insolvency, expenditure on education, research and development (R&D), ease of getting credit, and foreign direct investment inflows.
Cited as areas of strength include the percentage of graduates in science and engineering, market capitalization, business-financed R&D, joint-venture and strategic-alliance deals, the percentage of high- and medium-high technology manufacturers, and knowledge diffusion.
Making it to the top 10 of the GII 2013 are Switzerland with a score of 66.6 out of 100 in first place, followed by Sweden (61.3), the United Kingdom (61.2), the Netherlands (61.1), the United States (60.3), Finland (59.5), Hong Kong (59.43), Singapore (59.41), Denmark (58.3), and Ireland (57.9).
“The results of the GII provide testimony to the global nature of innovation today. The top 25 ranked countries on the GII are a mix of nations from across the world-North America, Europe, Asia, Oceania and the Middle East. While high-income economies dominate the list, several new players have increased their innovation capabilities and outputs,” said Soumitra Dutta, co-editor of the report.
Dutta added: “On average, high-income countries outpace developing countries by a wide margin across the board in terms of scores; a persistent innovation divide exists.”
Bruno Lanvin, the report’s co-editor, said: “Innovation is rapidly becoming a rallying symbol for forces of progress and reform around the world. Although our findings show that daunting challenges remain for many new players, we also see exciting examples of innovation success, including in some of the poorest countries. This is a source of optimism about the future of global innovation and economic recovery.”