Stronger public-private collaboration for inclusive digitalization and scaled upskilling of workers across the region are needed as the Association of Southeast Asian Nations (ASEAN) prepares to conclude a landmark digital economy pact under the Philippine chairship this year.

Two leading business groups in the United States and Southeast Asia — US-ASEAN Business Council (USABC) and the ASEAN Business Advisory Council Philippines (ASEAN-BAC Philippines) — made the recommendations during a high-level roundtable on ASEAN digital economy and workforce development in Pasig City on March 19.

“ASEAN’s digital economy is expanding faster than the policy environment can keep pace,” USABC’s Philippines chief representative Herminio Bagro said in a news release on Saturday.

“The opportunity now is to turn DEFA (Digital Economy Framework Agreement) commitments into interoperable rules, strengthen digital infrastructure, and align workforce development with industry demand so businesses can scale and growth translates into quality jobs across the region,” he added.

The member states of ASEAN are negotiating the DEFA, which is slated to be the world’s first region-wide digital economy arrangement, covering data flows, cybersecurity, e-payments, paperless trading, as well as artificial intelligence and blockchain.

In anticipation of the pact, stakeholders were encouraged to push for interoperable and trusted digital infrastructure, and establish “clear and predictable rules for cross-border data flows”

Technical Education and Skills Development Authority Secretary Kiko Benitez, who was present at the roundtable, said the Phililippines will use its chairship as a platform to shape regional direction towards digital transformation.

“At the center of this effort is an urgent recognition that workforce development will determine whether we succeed or fall behind in the digital economy,” he said.

In a recent interview, Foreign Affairs Secretary Ma. Theresa Lazaro said the DEFA is expected to be signed November when the Philippines hosts the second ASEAN leaders’ summit in Manila.

The USABC-ASEAN BAC Philippines’ series concludes with a final roundtable on Artificial Intelligence on April 14, with insights informing a Strategic Action Plan to be launched ahead of the May ASEAN Leaders’ Summit. (PNA)