MANILA – The National Economic and Development Authority (NEDA) has emphasized the transformative potential of artificial intelligence (AI) in propelling economic growth, increasing productivity, and sparking innovation across multiple sectors in the Philippines. A recent policy note from NEDA’s Office of the Undersecretary for Legislative Affairs, authored by Krystal Lyn Tan Uy, delves into how AI can stimulate economic expansion, enhance job creation, and improve public services.
The document outlines the challenges to AI adoption, reviews current initiatives, and suggests key policy measures to ensure AI is integrated responsibly and effectively into the nation’s development strategy. It highlights AI’s pivotal role in the future of the business process and outsourcing (BPO) sector, noting that AI-driven services like learning processes, knowledge transfer, and data analytics are poised to become significant growth areas.
In the education sector, AI is seen as a solution to longstanding issues, particularly in remote and underserved regions. AI tools can evaluate performance data, offer real-time feedback on teaching methods, customize educational experiences, and boost student engagement through tailored learning environments.
The policy note also references a study by the Philippine Institute for Development Studies, which suggests that AI can enhance the capabilities of healthcare professionals by automating routine tasks, allowing them to concentrate on more complex duties.
Furthermore, the note discusses AI’s influence on the banking and finance sectors, where AI applications can analyze data to improve credit decisions, detect fraud, address financing gaps, and extend financial services to previously unserved individuals and businesses.
In agriculture, AI is expected to play a crucial role. AI-based surveillance systems can monitor crops efficiently, detect pests, diagnose soil issues, and predict weather patterns to assess crop health. Additionally, agricultural robots can undertake labor-intensive tasks.
To fully harness AI’s potential, NEDA’s policy note calls for a comprehensive national AI strategy to coordinate efforts, minimize inefficiencies, and maximize AI’s economic impact. It also stresses the importance of expanding digital infrastructure, enhancing data governance, and investing in human capital development.