To answer the OP, yes we are already left behind by our neighboring countries. The 2003 TIMSS showed this. Unfortunately we opted out to join the 2007 TIMSS.
That we have seen foreigners going to our country to study can be simply explained that it is because we have a good command of English.
@holydevil: That's actually a wrong reasoning... The very reason why we have OFWs the world over is because our economy could not create enough jobs for them, which means that our education system failed to produce innovative and inventive graduates, who could move the economy forward.
@vinceli: Please don't generalize. Even in public schools, students being asked to memorize entire books is an exception rather than a rule. I have friends that have worked as teachers here in the Philippines and transferred abroad, and apparently our students here learn faster than those in the U.S.
Increase the Salary of Our Public School Teachers! - http://tinyurl.com/teachersalary