Business Bayani PH

The Philippines aims to become prosperous and free of poverty by 2040, but faces a big challenge. It needs to make people’s incomes three times higher in just 17 years.

According to World Bank Program Leader and Lead Economist for Central Africa Souleymane Coulibaly, this is a tough task, and the usual methods might not be enough. We need a smart solution.

To overcome this challenge, we can use digital services like online work and technology to boost the economy. This could be the key to reaching our 2040 goal and creating a better future.

In an article he wrote on October 3, he breaks down a number of crucial points.

A report from the International Monetary Fund (IMF) says using digital technology can help the Philippines trade more services and create better jobs. This means more people can do jobs like finance, engineering, and marketing, which can be done online. This shift towards digital work can help the Philippines grow even faster.

Around the world, countries are selling more and more services, especially online services. This creates jobs and helps the economy grow. Thanks to new technology, more services are being offered online, and developing countries like the Philippines are joining in.

But there are some problems to solve first. Coulibaly explains in his article: the Philippines needs better roads and other infrastructure, lower trade costs, and more foreign investment. Also, there’s a need for more people to have good access to electricity and the internet.

Fixing these issues is hard because there are not many companies competing in some areas, and some rules make it tough for new businesses to start.

But there’s some good news too. In the 1990s, changes in the telecom industry helped the outsourcing business, which includes call centers, to grow. This sector has become a significant part of the Philippines’ economy, employing many people. For example, Concentrix, a global technology company, is a big employer in the country, offering jobs in areas like finance, healthcare, and travel.

Even when COVID-19 was causing problems, it pushed the Philippines to speed up its use of digital technology. This is vital because it makes it easier for small businesses and those in places with weak infrastructure to join the global market by offering services online.

Teleworking, where people work from home using digital tools, is also becoming more common. It’s making it possible for people to do more high-paying jobs from anywhere, thanks to tools like video calls, virtual reality, and super-fast internet.

Using computers to automate some tasks is also helping. Companies like Concentrix are doing this to make their workers more skilled and efficient.

Experts say using digital technology and expanding high-skill jobs is crucial for the Philippines’ economic growth and its goal to become more prosperous by 2040.

So, while there are still challenges, the Philippines is on the right track. Using digital services to boost the economy could help the country face future challenges and create a better future for its people.