PH’s Agility, Talent and Technology Cited by JLL in 2018 City Momentum Index Study
official press release.
The Philippines has made it to the Top 20 Asia Pacific cities ranked by JLL in their study Short-Term City Momentum Index (CMI) of 2018: Agility, Talent and Technology.
The cities of Hyderabad, Bangalore and Ho Chi Minh City take the top three spots. Manila made it to the Top 18 as one of Asia Pacific's destinations for global capital, business and innovation, with Jakarta, Kuala Lumpur and Bangkok, close on its heels.
JLL Philippines' newly-appointed Head of Research and Consulting Janlo de los Reyes says that these markets were recognized for acting as regional gateways and possessing the scale to compete for talent, visitors and innovation. He explains, "These cities made the cut because they are now considered key expansion markets for many corporates and are drawing particular interest from Chinese companies. They also boast of the highest levels of real estate completions across the globe as they build out the infrastructure to meet this demand."
Markets from the Asia Pacific region account for 25 of the Global Top 30 in JLL's report, which measures each city's short-term socio-economic and commercial real estate momentum. But more than that, the study also focuses, for the first time, on future proofing for longer term success. The Short-Term Momentum rankings identify the urban economies and real estate markets that are currently undergoing the most rapid growth. The Future-Proofing index, on the other hand, looks at the qualities cities require to manage and benefit from the rapid technological shift in the global economy.
"Asia Pacific's cities continue to experience phenomenal rates of change as they serve expanding domestic economies and act as gateways to the world's fastest-growing region for global investment and trade. Robust growth is contributing to higher real estate market activity across the region with modern stock being built, paving the way for record levels of commercial real estate investment", says Jeremy Kelly, Director, Global Research, JLL. "However, rapid growth can also lead to issues such as strains on infrastructure, affordability constraints and environmental degradation. In order to maintain their growth over the longer term, Asia Pacific's cities will need to focus on future-proofing their markets through improved livability and affordability, regulatory transparency and physical and technological infrastructure," he says.
JLL Philippines Country Head Christophe Vicic echoes the same sentiment. "It's always good when there is economic and industry growth. But as with any success, it comes at a price. It would mean higher infrastructure requirements, and a government that is keen on adapting technologies that will cater to these cities long-term. Manila is no exception. We are already experiencing strains on our airports, major roads and public services. The city must adapt to the rate of its own growth for the latter to be sustainable."
The report also identifies Singapore as being the only Asia Pacific city that is in the "sweet spot", scoring in the Global Top 30 on both measures. The city-state ranks 26th for short-term economic and real estate dynamism and 29th for its effort in future-proofing for longer-term success. Its robust economic growth and strong Foreign Direct Investment (FDI) volumes have supported a rebound in rental growth. Singapore is expected to record the largest rental growth of any major office market in 2018.
To view the entire report, you may visit http://www.jll.com/cities-research/City-Momentum