ASEAN framework seen boosting investment in PHL digital economy

THE recently-signed Association of Southeast Asian Nations (ASEAN) Digital Economy Framework Agreement (DEFA) is expected to attract investment that supports transformation and increased participation in the Philippine digital economy, the Department of Trade and Industry (DTI) said.

“For the Philippines, the DEFA is set to bring real benefits to everyday Filipinos,” Trade Secretary Ma. Cristina A. Roque said in a statement on Tuesday.

“The DEFA is expected to empower local businesses, especially MSMEs (micro, small, and medium enterprises), by opening up more opportunities and supporting job creation,” she added.

Ms. Roque noted that the DEFA will help ensure greater participation in a safer and more connected digital economy.

The DEFA is projected to double the value of ASEAN’s digital economy to $2 trillion by 2030, the DTI said.

Marie Sherylyn D. Aquia, director IV of the DTI-Bureau of International Trade Relations, said in a forum on Tuesday that the DEFA is on track for signing at the 49^th ASEAN Summit in November.

The DEFA seeks to accelerate regional digital transformation and economic integration by strengthening cooperation in digital trade, cross-border electronic commerce, electronic payments, digital identities, cybersecurity, data governance, and emerging technologies. This would help empower businesses and consumers to participate more confidently in the digital marketplace, the DTI said.

The DEFA is among the Priority Economic Deliverable (PED) for the Philippines, which chairs ASEAN this year.

Also on Tuesday, Ms. Aquia said ASEAN is negotiating the upgrade of the ASEAN-India Trade Agreement, and has started talks on upgrading the ASEAN-Korea Free Trade Agreement (FTA).

The bloc also started discussions on the possible upgrade of the ASEAN-Japan Comprehensive Economic Partnership Agreement, she noted.

Ms. Aquia added that ASEAN is looking to complete negotiations for an FTA with Canada this year. It has also started discussions for a possible ASEAN-Gulf Cooperation Council FTA. — Beatriz Marie D. Cruz