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PHL could harvest P2.6T annually from AI – Balisacan
THE PHILIPPINE ECONOMY could gain P2.6 trillion annually as adopt domestic companies arartificial intelligence (AI), the The National Economic and Development Authority (NEDA) said this.
“The technology is estimated to contribute $15.7 trillion to the global economy by 2030, with the Philippines potentially gaining $2.6 trillion annually as companies adopt AI-powered solutions,” NEDA Secretary Arsenio M. Balisacan said during the launch of the National AI Strategy. Roadmap 2.0 and Center for AI Regardingsearch (CAIR) on Wednesday.
“Sectors such as retail, logistics, manufacturing and FFinancial services can revolutionize business operations and improve performance through the use of AI,” he added.
The AI roadmap and the CAIR were launched on Wednesday by the Department of Trade and Industry (DTI) and the Asian Development Bank. The center is tasked with “transforming the Philippines into a premier destination for AI-driven innovation and investment.”
“This enhanced roadmap incorporates the latest technologies, recalibrates our strategic actions and addresses emerging issues such as ethics and governance,” Trade Secretary Alfredo said. E. Pascual said during the event.
The roadmap, expected to be finalized next month, will focus on strategic imperatives such as building a networked environment, improving access to data, transforming education and nurturing future AI talents, upskilling and reskilling of the workforce, building an AI ecosystem ‘conscience’. pushing the boundaries of AI and accelerating innovation.
In terms of immediate priorities, Mr Pascual said the DTI is focused on increasing the country’s gross expenditure on research and development, which is only 0.3% of gross domestic product (GDP), to cater to the UNES objectives.CO’s recommended target of 1%.
“Another immediate priority is the upskilling and retraining of our current workforce. At the same time, increasing the number of AI and data science graduates is crucial and an imperative priority,” he said.
Mr. Balisacan said the roadmap would help ensure a fair transition to AI adoption by supporting displaced workers through upskilling, reskilling and training.
“We should have done that earlier,” he told reporters on the sidelines of the launch. “As with any disruptive innovation, preparing well should be a blessing. [If] if you don’t prepare properly, it will become a curse.
In 2023, the Philippines ranked 65the out of 193 countries in Oxford Insights’ Government AI Readiness Index.
The NEDA chief said the integration of AI into education will equip Filipinos with the necessary skills to “capitalize on emerging technologies, giving the country a competitive advantage, attracting more investments and boosting economic growth.”
“By integrating generative AI, the Philippines can play a leading role in creative industries, software development and other high-value-added services, further expanding our economic potential.”
Mr. Balisacan also said the proposed Open Access in Data Transmission Act or the Konektadong Pinoy Bill would help the Philippines maximize benefits.Fit’s from AI. The House of Representatives approved the bill in 2022, while an opposing bill is still pending before a Senate committee.
“By promoting access to affordable, better quality internet services, this legislation will enable the country to reap the full benefitsFit is from AI,” he added.
Mr. Pascual said the DTI is also leading the formulation of a national AI governance framework in collaboration with the Analytics Association of the Philippines. It is planned to be ready by the end of 2024.
“The ethical use of AI must be addressed. In government policy, the fast diFThe merger of AI innovations requires governance frameworks that balance AI innovation and responsible adoption,” said Mr Pascual.
The National AI Governance Framework will set the approved scope and limitations of what developers and stakeholders can do, he said.
UPPER MIDDLE INCOME COUNTRY
Meanwhile, gross national income (GNI) per capita would need to grow by at least 6.7% this year for the Philippines to become an upper-middle-income country next year, Mr. Balisacan said.
“We are now at $4,230 [in terms of GNI]. So you only need 6.7% (GNI) growth,” he told reporters.
According to the latest World Bank income classificationFThe Philippines remained a lower-middle-income country, with a GNI per capita of $4,230 in 2023, according to the data.
To become an upper-middle-income country, the Philippines must have an estimated GNI per capita of $4,516 to $14,005, according to the World Bank.
Nevertheless, Mr. Balisacan said achieving upper middle-income status by late 2025 or early 2026 is still “within reach” as the government expects economic growth of 6-7% this year.
The World Bank has classiFhas considered the Philippines a lower-middle-income country since 1987. It was previously said that the country was likely to cross the upper middle-income threshold by 2026. Beatriz Marie D. Cruz And Justine Irish D. Table
