Some best countries for outsourcing in 2025 are India, Vietnam, the Philippines, Poland, Malaysia, and China. These nations have affordable labour, skilled talent, and strong English language proficiency.
You can’t work on everything! Having realised this business secret, many companies started “outsourcing” their routine tasks. In the 1970s, outsourcing was a popular business strategy among manufacturers of automobiles, soft drinks, consumer products, and athletic shoes.
And, its effectiveness just fails to dull. Studies show that by 2030, the global business process outsourcing (BPO) market is expected to reach $525 billion. This approach allows businesses to access skilled labour without hiring full-time employees, which helps in substantial cost savings.
But, the US doesn’t have cheap labour! Where are the businesses outsourcing? To gain the most, organisations usually delegate tasks to specific countries. These places have an affordable workforce that can offer quality work at a lower cost.
Want to know them? In this article, let’s have a look at the best countries for outsourcing tasks.
10 Best Countries for Outsourcing in 2025
In 2025, outsourcing continues to be a major strategy for companies. It lets them access skilled labour and achieve operational efficiency. Below is a list of the best countries for outsourcing where you can delegate your non-core business tasks:
1. India
Literacy Rate | Human Development Index (HDI) | GDP per Capita | Unemployment Rate |
77.70% | 0.644 | $2,980 (nominal, 2025 estimate) | 6% |
According to the Kearney Global Services Location Index (GSLI), India is the most attractive country for outsourcing business services. The country has a large and educated workforce. Also, India enjoys a superior reputation in technology and business services.
Let’s learn why outsourcing to India can be an ideal choice:
- Skilled Talent Pool
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- India has a large number of highly educated professionals (particularly in technology and software development).
- It is one of the best countries to outsource software development.
- Many companies in India are ISO-certified.
- This certification indicates their commitment to maintaining international standards in quality.
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- Strong Employment Opportunities
- The employment rate for software engineers in India is 93.5%.
- This makes India a strong source for technical expertise.
- As a business owner, you can hire developers and engineers at lower costs compared to Western countries.
- Entry-level positions start at approximately Rs. 2,20,831 annually, while experienced professionals earn around Rs. 6,58,750 annually.
- Strong Employment Opportunities
- English Language Proficiency
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- India has the second-largest English-speaking population after the US.
- This reduces communication barriers and makes it easier for foreign companies to work with Indian teams.
- Cost Advantage
- The cost of living in India is much lower than in Western countries.
- This results in lower labour costs.
- As a result, your company can save significantly on wages without compromising on quality.
2. Philippines
Literacy Rate | Human Development Index (HDI) | GDP per Capita | Unemployment Rate |
98.18% | 0.720 | $4,350 (nominal, 2025 estimate) | 3.9% (March 2025 estimate) |
The Philippines has been the “BPO capital” of the world for over a decade now. Studies show that companies can cut labour costs by up to 70% by outsourcing to the Philippines.
Let’s learn in detail why the Philippines is one of the best countries for outsourcing:
- English Language Proficiency
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- The Philippines ranks 20th globally in English proficiency.
- This makes it easier to communicate with international clients.
- Also, Filipino workers are known for their neutral accent and familiarity with Western culture.
- This further makes them ideal for customer-facing roles.
- Work Ethic and Cultural Compatibility
- Filipino workers are recognised for their strong work ethic.
- They are accustomed to:
- Working flexible hours
and
- Handling tight deadlines
- These qualities make them suitable for international projects.
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- Government Support
- The Philippine government actively supports the BPO sector.
- It regularly runs policies to improve training and infrastructure.
- For example, the country launched “Republic Act 11927”, which focuses on workforce development.
- This act also ensures a steady supply of skilled workers for the BPO industry.
- Government Support
- Industry Growth
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- The BPO industry in the Philippines is valued at $38.7 billion and employs approximately 1.3 million people.
- The country is home to major BPO companies like:
- Teleperformance
- Sitel
- Accenture
3. Vietnam
Literacy Rate | Human Development Index (HDI) | GDP per Capita | Unemployment Rate |
95.8% | 0.726 | $4,986 (nominal, 2025 estimate) | 3.3% |
Vietnam is a strong outsourcing destination due to its young workforce and growing tech industry. Labour costs in Vietnam are up to 90% lower than in the U.S. and 50% lower than in India and the Philippines. This makes it one of the best countries to outsource software development, IT services, and digital marketing.
Let’s see in more detail why Vietnam could be one of the best countries for outsourcing:
- Growing Talent Pool
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- Vietnam has a strong pool of tech professionals.
- The country has approximately 5,30,000 software developers.
- About 57,000 new tech graduates are entering the workforce each year.
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- Industry Focus
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- Vietnam is known for its strengths in:
- Software development
- IT outsourcing
- Digital marketing services
- The IT outsourcing market is projected to reach $880 million by 2028..
- Vietnam is known for its strengths in:
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- Strategic Location and Infrastructure
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- The country is located in Southeast Asia and is well-positioned to serve major markets in Asia, Australia, and the U.S.
- Even the government has invested in infrastructure and made policies that support the outsourcing sector (such as Resolution 02/NQ-CP).
4. Malaysia
Literacy Rate | Human Development Index (HDI) | GDP per Capita | Unemployment Rate |
95% | 0.807 | $14,423 (nominal, 2025 estimate) | 2.925% |
Malaysia is a strong outsourcing destination in Southeast Asia. The country has an educated workforce, with professionals skilled in:
- Finance
- IT
- Customer support
Let’s see why Malaysia could be one of the best countries for outsourcing:
- English Proficiency
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- Malaysians rank high in English proficiency among Asian countries.
- This skill makes them suitable for:
- Customer service
- Content creation
- Other roles that require strong communication skills.
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- Affordable Labour Costs
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- The cost of living in Malaysia is relatively low compared to Western countries.
- Wages for outsourcing roles are also lower.
- For example,
- A call centre representative earns an average of RM 2,603 per month (about USD 586).
- This lets you save money without compromising on quality.
5. Argentina
Literacy Rate | Human Development Index (HDI) | GDP per Capita | Unemployment Rate |
99% | 0.842 | $10,729 (nominal, 2025 estimate) | 7.0% |
Argentina is a top outsourcing destination in Latin America, particularly for IT and tech-related services. It is considered one of the best countries to outsource software development. Let’s see why:
- Tech Expertise
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- Argentina is known for its skilled software developers and IT professionals.
- As a business owner, you can hire developers specialising in:
- Python
- Java
- C++
- Other programming languages
- These hirings can be made at lower costs than in the U.S. and Europe.
- Cost Savings
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- The average monthly salary for a developer in Argentina is USD 1,183, which is significantly lower than in the U.S.
- This cost advantage lets you reallocate savings to core activities like marketing and sales.
- Strong Educational System
- Argentina has reputable universities that produce graduates in engineering, business, and law.
- Here, you can access highly skilled professionals for tasks such as:
- Legal management
- Business development
- Back-office support services
6. Mexico
Literacy Rate | Human Development Index (HDI) | GDP per Capita | Unemployment Rate |
95.4% | 0.758 | $10,046 (nominal, 2025 estimate) | 3.5% |
Mexico is a strategic outsourcing destination due to its proximity to the U.S.. The country has lower labour costs and a stable workforce. Below are some reasons you can consider when outsourcing to Mexico:
- Time Zone Alignment
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- Mexico shares similar time zones with the U.S.
- This makes communication and collaboration easier.
- Also, it is beneficial for businesses that require:
- Real-time support
and
- Regular interaction with outsourced teams
- Employee Retention
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- The outsourcing industry in Mexico is relatively new.
- It leads to lower employee turnover.
- This stability lets you maintain consistent service quality.
- Also, it reduces disruptions to ongoing projects.
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- Cost-Effective Labour
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- Wages in Mexico are significantly lower than in the U.S.
- For example, a call centre representative earns approximately 22,800 MXN per month (about $1,140 USD).
- This wage differential makes outsourcing to Mexico financially attractive.
7. China
Literacy Rate | Human Development Index (HDI) | GDP per Capita | Unemployment Rate |
96.8% | 0.768 | $12,556 (nominal, 2025 estimate) | 5.0% |
China has long been a global outsourcing leader. It has a strong focus on manufacturing and technology services. Some key outsourcing cities you can consider are:
- Beijing
- Shenzhen
- Shanghai
All of them have advanced infrastructure and technology. Let’s see why China could be one of the best countries for outsourcing:
- Manufacturing Powerhouse
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- China is well-established as a manufacturing hub.
- It offers cost-effective production capabilities for various industries.
- As a business, you can outsource manufacturing processes to China and reduce your production costs.
- Also, you can access large-scale facilities at a fraction of the cost.
- Robust Infrastructure and Latest Innovation
- Most of the Chinese cities have modern infrastructure.
- They can easily support large-scale back office support services.
- Also, the Chinese government invests heavily in technology and infrastructure.
- This makes China a reliable outsourcing partner for complex projects.
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- Global Leadership
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- China is a global business leader.
- It dominates the outsourcing market through:
- Cost savings
- Skilled labour
- Advanced infrastructure
8. Poland
Literacy Rate | Human Development Index (HDI) | GDP per Capita | Unemployment Rate |
99.8% | 0.880 | $21,123 (nominal, 2025 estimate) | 3.1% |
Poland is a leading outsourcing destination in Eastern Europe. It is known for its expertise in software development and finance services. Let’s understand why outsourcing to Poland could be a smart choice:
- Data Security
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- Polish companies follow strict data security regulations under the General Data Protection Regulation (GDPR).
- Such GDPR compliance ensures that your sensitive business data is protected from unauthorised access.
- Skilled Workforce
- Poland has a large pool of skilled professionals specialising in:
- IT
- Software development
- Web development
- Many developers are proficient in programming languages such as PHP, Python, and Java.
- Such an availability of talent makes Poland one of the best countries to outsource software development.
- Poland has a large pool of skilled professionals specialising in:
-
- Economic Stability
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- Poland’s economy has remained stable and resilient (even during global economic challenges).
- The country has experienced steady GDP growth since 1991.
- This makes it a reliable outsourcing partner for long-term projects.
9. Brazil
Literacy Rate | Human Development Index (HDI) | GDP per Capita | Unemployment Rate |
93.2% | 0.754 | $9,130 (nominal, 2025 estimate) | 7.9% |
Brazil is a popular outsourcing destination in Latin America. It offers a favourable business environment with modern infrastructure. Let’s see how you can do cost savings by outsourcing to Brazil:
- Regulatory Framework
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- In 2017, Brazil introduced certain new regulations.
- They allowed businesses to outsource both non-core and core business functions.
- This flexibility now makes it easier for international companies to outsource tasks (such as IT support, customer service, and administrative work) to Brazilian firms.
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- Infrastructure and Technology
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- Brazil has invested heavily in its digital infrastructure.
- It has established over 90 technology parks and 35 business accelerators.
- These facilities are loaded with the latest technologies and offer several tax incentives.
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- Competitive Labour Costs
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- Wages in Brazil are lower than in the U.S. and Western Europe.
- For example,
- A customer service representative earns around 1,610 BRL per month (about USD 312)
- While software engineers start at 10,500 BRL per month (USD 2,038).
10. Ukraine
Literacy Rate | Human Development Index (HDI) | GDP per Capita | Unemployment Rate |
99.8% | 0.773 | $4,828 (nominal, 2025 estimate) | 9.5% |
Ukraine is a top outsourcing destination for software development and IT services. It is backed by a strong technical workforce and competitive rates. Let’s see why Ukraine could be one of the best countries for outsourcing:
- Skilled IT Talent Pool
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- Ukraine has a well-established tech sector.
- It has a large number of software developers, engineers, and IT specialists.
- Many professionals are highly skilled in complex technologies.
- This makes Ukraine one of the best countries to outsource software development and even advanced software projects.
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- Cost Advantage
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- Labour costs in Ukraine are lower than in Western Europe and the U.S.
- In Ukraine, you can hire experienced IT professionals without incurring the high costs associated with hiring locally.
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- Tech Hubs and Innovation
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- Key cities like Kyiv and Lviv are major tech hubs in Ukraine.
- They attract:
- Startups
- International companies
- Skilled professionals
- These cities are known for providing a conducive environment for IT outsourcing projects.
Exploring Outsourcing Options? Try Atidiv! We have a 98% QA Score and a 4.8 CSAT Rating
In 2025, outsourcing continues to be a powerful strategy! Through it, you can significantly lower your operational costs. To maximise your cost savings, you can think of these best countries for outsourcing:
- India, the Philippines, and Vietnam offer skilled talent pools at lower costs
- Poland and Ukraine provide advanced tech expertise
- Mexico shares a similar time zone to the US
- Brazil and Argentina have strong regulatory frameworks
- China is a global manufacturing hub
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Recently, Atidiv saved $1.3M for a U.S. tire retailer and $500K annually for a UK firm by managing over 230,000 support tickets. Partner with Atidiv today and achieve up to 60% cost savings!
FAQs On Outsourcing BPO in 2025
1. How can I save money from outsourcing without losing work quality?
Through outsourcing, you can access skilled professionals in countries with lower labour costs. This reduces expenses without sacrificing quality.
You can pick any of the best countries for outsourcing (like India, Philippines, Malaysia) and delegate routine tasks like:
2. Are there communication challenges with outsourced teams in different time zones?
Many outsourcing destinations, like Mexico, align with the US time zones. Whereas, other best countries for outsourcing offer flexible work hours.
Also, English proficiency is high in countries like India and Malaysia, which reduces communication barriers.
3. How do I protect my business data when outsourcing internationally?
Ideally, you should only choose the best countries for outsourcing that comply with international data protection standards, such as GDPR.
Also, partner with top call centre outsourcing companies, like Atidiv, that implement strict security protocols and safeguard sensitive business information.