Investments kept pouring into Davao City’s businesses in 2011, creating a P184 billion economy for the city. The total value is P1 billion more than 2010 levels.
According to Dwight Domingo of Davao City Business Bureau, a large chunk of fresh investments came from large companies — classified as those with capitalization of more than P10 million — with total declared capital of P155.37 billion. They include commercial bank branches, agricultural plantations, large commercial properties and shipping offices.
However, the largest group of businesses — 31,728 micro-scale businesses or cottage industries—only had a total capital value of P10.82 billion.
Small scale businesses — those with market capitalization of between P500,000 and P2 million — came in as the next big group, accounting for P10.4 billion in total investment value. There are 340 companies with market capital of between P2 million and P10 million; they have an aggregate declared capital of P11.317 billion.
Meanwhile, 1,585 micro-scale businesses with capitalization of less than P500,000.
The city saw a boom in commercial and property development. At least five mid-rise hotels are being constructed to meet the needs of MICE events slated next year. A second SM shopping mall in the city is scheduled to open in the middle of this year while an accompanying hotel and convention center is scheduled for construction. Another hotel inside the Ayala-owned Abreeza Mall is more than 50 percent completed.