Asean wraps up talks on pact to unlock $2T digital economy
MANILA, Philippines – The Association of Southeast Asian Nations (Asean) has finalized negotiations on the Digital Economy Framework Agreement (Defa), the region’s most comprehensive digital economy pact.
In a statement on Tuesday, the Department of Trade and Industry (DTI) said negotiations for the agreement were completed during the second Asean Senior Economic Officials’ Meeting held in Manila through May 29.
READ: Philippine digital economy to reach $36B
This clears the way for the agreement’s expected signing in November, when Southeast Asian leaders return to the Philippines for the 49th Asean Summit.
“The conclusion of Defa highlights how regional solidarity can unlock new avenues for growth and deliver tangible benefits to our people,” Trade Secretary Cristina Roque said.
The trade secretary added that the achievement not only sets a new benchmark for Asean’s digital transformation, but also builds a foundation for a more inclusive and innovative future for all.
A Digital Pact
Defa will accelerate Asean’s digital transformation and enhance regional economic integration by improving cooperation in digital trade, e-commerce, electronic payments, cybersecurity, and emerging technologies.
The expansion of Asean’s digital economy is projected to reach $2 trillion by 2030 from about $1 trillion under current growth trends.
“It will help attract new investments, encourage innovation, and improve productivity nationwide,” Roque said.
She added, “Most importantly, it will help ensure that the digital transformation is inclusive—so that more Filipinos can take part in and benefit from a safer, more connected digital economy.”
Moreover, negotiations for Defa started in 2023, involving over 2,000 micro, small, and medium enterprises, along with more than 60 leaders from large corporations.
Likewise, Ii builds on existing ASEAN initiatives, including digital payments, cross-border data flows, online consumer protection, and business and trade connectivity programs. /pai INQ
