best countries for living

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Gartner's criteria

The story comes in many versions. As the plot thickens, so is the rivalry. So what countries are the best for offshore staff leasing? Like all "best" lists, we need to lay out the criteria: availability and quality of workforce, cost of infrastructure, tax agreements, and skills and technology match, and quality of work to meet specific services.

India versus the Philippines

In terms of the best tax incentive for offshore companies, Belize and Seychelles top the list for offering absolute tax exemption to non-resident companies. British Virgin Islands grants exemption from business and capital taxes regardless of your nationality. Cyprus, the Netherlands, and Barbados offer advantageous tax treaties with foreign investors.

Indian offshore experts concede that the Philippines is fast catching up because the country's demands for outsourcing, offshore and staff leasing are at an all time high in spite of the global recession. Manila's BPO revenues are half of India's even if Manila's workforce is not nearly half of India's.

Filipinos are culturally flexible. The Philippines is no stranger to foreign culture as it has been under foreign rule for centuries. The Philippines has one of the highest literacy rates in the world (92.6 %)-Filipinos value good education. They are as IT savvy as the rest of the first world. Finally, the Philippines offers tempting tax incentives to foreign investors, while the cost of living remains low. This translates into a very manageable operation cost. The Philippines is poised to grab the title from India.

Why the Philippines is the next Offshore and Stall leasing Destination

Gartner rated these countries' offshore worthiness using the poor, fair, good, very good, and excellent scales. Using these and the over-all offshore and leased staff competency, India and Mexico emerge as the best offshore destinations in the world today. But that doesn't means countries that get a poor rating do badly. In a similar survey made by Global Services Magazine and Business Standard, India has 6 cities perfect for offshore and leased staff service, Dublin ranks 4th, and Manila (the Philippines) ranks 6th over all. In yet another list of "Emerging Global Outsourcing Cities" India has 4, but the Philippines's Cebu gets the number one spot.

Meanwhile, offshoring analyst Gartner proposed ten criteria for a country's offshore operations worthiness. These are government support, language, culture, skills match, education, economic and political viability, infrastructure, cost, and security (covering intellectual and privacy rights), and global competitiveness. Gartner then sectioned the countries into regions: the Americas, Africa and the Middle East, Asia Pacific, and Europe. Argentina, Brazil, and Canada got the top three places (in that order) in the Americas, while New Zealand, Australia, India, and the Philippines got the top four places (in that order) in the Asia Pacific region.

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