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The Philippines and the United Arab Emirates (UAE) target to put up data centers here with around 500 megawatts of capacity as the two countries signed a memorandum of understanding (MOU) to boost the digital infrastructure.

In a statement Friday, the Department of Trade and Industry (DTI) said Secretary Alfredo Pascual signed the MOU with the UAE Ministry of Investment in Abu Dhabi on Nov. 30 to strengthen the alliance of both countries in digital infrastructure development.

“This MOU serves as a framework for a stronger alliance of both countries in strengthening bilateral ties, particularly in the digital infrastructure sector. Through the development of these centers, the Philippines is poised to thrive further in the global digital economy as these will be critical for storing essential data and running applications aligned with the country’s vision of a robust growth in the digital ecosystem,” Pascual said.

He added that the agreement aims to strengthen the partnership of public and private sectors of the two countries to facilitate investments for the 500-MW data centers as well as the sharing of technical know-how in digital infrastructure.

“This transformative alliance exemplifies the country’s unwavering commitment to embracing innovation and fostering sustainable economic growth to facilitate the integration of the Philippines’ digital infrastructure into the global digital economy,” the DTI chief added.

For his part, UAE Minister of Investment Mohamed Hassan Alsuwaidi recognized the Philippines’ rapid adoption of digital technology and said the partnership with Abu Dhabi would help in accelerating digitalization in the Philippines.

For the first half of 2023, bilateral trade between the Philippines and UAE increased by 19.4 percent to USD506.1 million.

Manila and Abu Dhabi both said that through the MOU, economic ties between the two countries would further increase. (PNA)