Davao 4th in most competitive cities

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Friday, August 8, 2014


DAVAO CITY ranked as the fourth most competitive city in the Philippines based on the Cities and Municipalities Competitiveness Index (CMCI) 2014 of the National Competitiveness Council (NCC).

Davao is behind Makati City (1), Cagayan de Oro City (2) and Naga City (3) in the overall ranking, but ahead of Marikina City (5), Iloilo City (6), Cebu City (7), Manila City (8), Valenzuela City (9), and Paranaque City (10).

The NCC ranked the cities' competitiveness based on overall competitiveness score, which is the sum of scores on three main pillars -- economic dynamism, government efficiency and infrastructure-- which pool data from several sub-indicators.

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Davao City placed first in infrastructure. Among the sub-indicators under this aspect, the city placed high when it came to Department of Tourism (DOT) accredited accommodations (3), health infrastructure (10), education infrastructure (2), annual investments in infrastructure (1), number of automated teller machines available (3), and number of public transportations (3).

But the city placed lower when it came to distance of center to major ports (27), availability of basic utilities (107), and connection to information communication technology (ICT) (76). Existing road network is the only sub-indicator in infrastructure that has no ranking there is "no data available."

For economic dynamism, the city ranked 11th with high placements in size of the local economy (7), jobs generated (6), and presence of financial institutions (5). The city also performed quite well when it came to productivity (12) and cost of doing business (18). The city fared less when it came to presence of business and professional organizations (43), inflation rate (77), and growth of the local economy (67).

In terms of government efficiency, Davao City ranked 13th, placing first in the following sub-indicators: transparency score in local governance performance management system (LGPMS), investment promotion, and compliance to national directives for LGUs. The city also performed well when it came to ratio of LGU-collected tax to LGU revenues (18), LGU competition-related awards (20), and business registration efficiency (13). The placed lower when it came to economic governance score in LGPMS (65), security (39), health (43), and schools (82).

"I am glad that some of Davao City’s strengths and accomplishments were recognized. We were ranked number one in Transparency, in Compliance to National Directives, in infrastructure investments and in Investment Promotion," said Ivan C. Cortez, Davao City Investment Promotion Center officer-in-charge.

But he expressed disagreement with some rankings in the other sub-indicators.

"I would love to know the reason why we were ranked so low in Security at 39th even with the huge local government investments in peace and order programs and projects of the city such as the operation of 911 and the real time 24/7 monitoring of every street and intersection by the PSCC using top of the line equipment. We were ranked 67th in terms of economic growth. How can a city such as Davao City become a top 5 contributor to the national treasury in terms of taxes from businesses if its economic growth is just 67th overall in the entire country?" Cortez said.

He said the index of the NCC is still in the infancy stage.

"Understandably, I expect them to introduce refinements and accommodate some adjustments to gain more credibility and higher acceptability of their results. Surveys and rankings somehow provide a wake-up call to our leaders to do even better," Cortez added.

The CMCI 2014 ranked 136 cities and 399 municipalities throughout the country. This is up from 122 cities and 163 municipalities in the pilot run in 2013.

The top ten most competitive municipalities are: Daet, Camarines Norte (1), General Trias, Cavite (2), Kalibo, Aklan (3), Carmona, Cavite (4), Nabunturan, Compostela Valley (5), Lubao, Pampanga (6), Isulan, Sultan Kudarat (7), Polomolok, South Cotabato (8), Manolo Fortich, Bukidnon (9), and Taytay, Rizal (10).

Published in the Sun.Star Davao newspaper on August 09, 2014.

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