The interest from banks to associate themselves with insurance companies and develop new products for cross-selling may also revitalize the sector. Private pension funds have an enormous potential as indicated by the growth of such funds in other emerging markets, where they have become important and in some cases, principal institutional investors and the main providers of long-term funds.
The Philippines’ GDP fell by 9.0 percent in the first half of 2020 after 21 years of uninterrupted growth. But we expect the economy to bounce back next year. In fact, there are early signs of recovery. Manufacturing indices have registered an uptick. The PMI improved from a low of 27.1 in March to 50.1 in September.