Philippines Needs to Expedite Its Digital Framework – World Bank

According to a recent study by the World Bank, the Philippines needs to expedite the expansion of its digital framework to accelerate the digitalization of its economy and narrow the gap in the digital divide among the locals.


The report denoted a vital gap in the country’s digital division, with approximately 60 percent of homes not having access to the Internet and helpless to take advantage of digitalization advantages.

As stated the World Bank-led report – Philippines Digital Economy Report 2020,

“As a result, face-to-face interactions and analog practices are still pervasive in the country, making social distancing economically costly.”

The article, launched last October 25, pointed out that the government could efficiently use digital technology to enable its parts and achieve services if organizations that ensure responsibility are established and reinforced. Furthermore, cash and checks are still the primary payment methods while applying for permits and licenses typically require exchanging documents in person.

It said people waiting in long lines are a typical fixture for Filipinos to secure goods and services. The report also pointed out that the Philippines performed worse than its regional peers in the government’s digital adoption.

The country lags most regional peers in high-speed fixed and mobile broadband penetration. The report recommended measures such as greater private sector participation to invest in the Philippine digital infrastructure to improve its digital infrastructure and connectivity.

Utilizing digital technologies will improve government workers’ monitoring and government-funded organizations that deliver services and help curtail absenteeism, operational inefficiencies, and corruption, it said.

The report stated that,

“Digital technologies can also improve electoral accountability, help uncover election fraud, and reduce election-related violence. Automation in business regulations, citizen feedback systems, and procurement systems also reduce the risk of corruption and poor services.”

Meantime, Globe Telecom President and CEO Ernest Cu announced during the launch of the study that he agrees with the recommended vital reforms and policy measures to help the Philippines leverage digitalization for economic and social resilience, especially in the face of the Covid-19 pandemic.

Cu stated that download speeds for fixed broadband have partially improved due to increased capital expenditures and network improvements by telecom companies. Quoting the August 2020 Opensignal report, he stated there was,

“a substantial 80.9-percent increase in download speeds and 4G availability, rising 19.5 percentage points from 63.75 percent to 83 percent over a period of 2.5 years.”

The Opensignal report pointed out that mobile 4G availability in the Philippines has been progressing for at least two and a half years and nearing the global average of 86.8 percent. Individualistic think tank Stratbase ADR Institute stated that the government should create an empowering policy and regulatory plan to expand access to broadband services to all Filipinos extensively.

Stratbase ADR Institute president Victor Andres Manhit stated that,

“Harnessing the expertise and resources of the private sector will greatly accelerate the pace of operationalizing these technologies that we must now rely on because of the health and economic crisis.”

Manhit added,

“The digital transformation of the government bureaucracy will have a game-changing impact that will have systemic benefits that will go way beyond the pandemic crisis.”

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