In a speech during the 26th Philippine Business Conference, World Bank vice president for East Asia and Pacific region Jemal-ud-din Kassum, however, said that utilizing the advantages of the globalization may not be that easy.
He said it would require deliberate efforts to improve the quality of government administration, transparency in decision making, and integrity of the judicial system.
While Kassum acknowledged the major structural reforms that have already been undertaken such as in retail trade, banking, securities market and E-commerce that would continue the process of Philippines structural transformation and integration with the global economy, this effort needs to be sustained over the long-term.
"In the long-term context, the Philippines has already some record of harnessing globalization for the development of its economy and has reaped benefits from exports so far," it said.
He also noted that countries with poor access to new information technology and knowledge would be left further behind. "Although the Philippines has made a good start in the IT field, the efforts need to be substantially increased if it has to avoid being left behind," he said.
He said foreign investors are shying away from countries where perceptions of policy inconsistency and governance problems exist. "This is true to some extent in the Philippines at this moment," he added.
But, the World Bank official pledged their continuing support in helping the country address some critical issues surrounding globalization.
He said they will help countries change their business environment to help the poor prosper and work to make foreign direct investment to provide more opportunities for the poor.
Kassum said the World Bank would also help governments to provide safety nets for the poor while pursuing innovative partnerships and collaborative approaches aimed at increasing the opportunities available for the poor.
Aside from this, the World Bank has also committed to encourage local businesses, and help them plug in to global markets.
Moreover, he said the World Bank would also help countries avoid the negative impact of globalization on market’s such as fostering competition to provide natural checks and balances; improving market regulation on health, safety, and environmental standards; and improving corporate governance and transparency.
"Now I know that all this is easier said than done-and that here in the Philippines, current market sentiment is poor. It is therefore all the more important that the Philippine authorities move forward decisively and urgently to act on this agenda, and we in the World Bank Group will continue to play its part and to be of assistance," he said.