The large number of businesses in the Philippines that use digital payments and processes is a major factor in how the country will benefit from the proposed ASEAN Digital Economy Framework Agreement (DEFA).

Trade and Industry Secretary Ma. Cristina Roque, on the sidelines of the ASEAN Tech Summit in Pasay City Wednesday, said the scope of the DEFA is big and financial technology firms are among the major factors.

“It’s the entire digital space, including cybersecurity, (and) trade within ASEAN, including the payment platform,” she said.

DEFA is among the priorities of the Philippines, being the chair of this year’s ASEAN Summit, citing the measure’s transformative role in unlocking ASEAN’s digital economy’s full potential.

Negotiations for the DEFA concluded last May, and the pact is expected to be signed in November.

The region’s digital economy is forecast to hit USD1 trillion by 2030 based on current trends.

Roque said DEFA will greatly benefit the trade sector since electronic commerce (e-commerce) will allow more businesses to sell to the entire region freely.

Asked for any figure on how much the Philippines will benefit from it, Roque decided not to give any number but stressed that “it’s big because the e-commerce business in the Philippines is one of the strongest in ASEAN” at around top two to four.

“So, with those rankings, it shows that there’s really big potential for us. Especially now we’re 7,600 islands. So at least it’s easy for us to move the goods to sell to the other ASEAN countries,” she added. (PNA)