President Ferdinand R. Marcos Jr. has set an ambitious goal to accelerate the Philippines’ digital transformation, positioning technology as a cornerstone of governance to modernize systems, reduce inequality, and enhance the quality of life for millions of Filipinos. Speaking at the Manila Tech Summit 2025 on Tuesday, Marcos outlined a vision for a Truly Digital Philippines, highlighting significant strides already made while acknowledging the complex risks that accompany rapid technological advancement.
Digital Progress and Economic Impact
The Philippines has seen remarkable growth in its digital economy, which Marcos noted reached PHP2.25 trillion (~US$40.5 billion) in 2024, accounting for 8.5% of the nation’s GDP. This surge has also generated 11.3 million jobs, underscoring the sector’s role as a major economic driver. Over half of payment transactions last year were conducted digitally, a testament to advancements in financial technologies that have streamlined everyday processes for Filipinos.
“For Filipinos, digital technology means shorter queues [and] faster transactions. It means ease in paying bills, renewing licenses, and accessing government services” Marcos stated at the summit. He emphasized the broader societal benefits, pointing out that digital tools enable farmers to register products online, teachers to access educational resources, and entrepreneurs to reach larger markets. 
These achievements are supported by key government initiatives. The National Fiber Backbone (NFB) project aims to connect 17 million Filipinos with high-speed internet by 2028, while the full rollout of the Philippine Identification System seeks to improve access to financial services. Additionally, the expansion of the Free Wi-Fi for All Program targets students and teachers in remote areas, bridging the digital divide that persists across the archipelago.
Navigating the Risks of a Digital Era
Despite these advancements, Marcos cautioned against the darker side of technological progress. The rise of online scams, cybersecurity threats, and job displacement due to artificial intelligence (AI) poses significant challenges. “Fraudulent schemes and scams are becoming increasingly sophisticated every day with the aid of artificial intelligence, with digital currencies, and syndicates that know no frontiers” he warned during his address.
The increasing sophistication of cybercrime, often fueled by AI and borderless criminal networks, threatens to undermine public trust in digital systems. Job displacement caused by automation and AI is another pressing concern, particularly in a country where millions rely on traditional employment sectors. To counter these risks, the government has introduced several legislative measures, including the Anti-Financial Account Scamming Act, the Internet Transactions Act, and the SIM Registration Act, all aimed at bolstering digital security and accountability.
Marcos also stressed the need for proactive solutions to prepare the workforce for a tech-driven future. Reskilling and upskilling programs are being prioritized to equip Filipinos with expertise in emerging fields such as AI, cybersecurity, e-commerce, and creative industries. This focus on education and training is seen as critical to ensuring that technological progress does not leave significant portions of the population behind.
A Vision for Governance and Global Influence
Central to Marcos’ strategy is the integration of technology into the heart of governance. “All of these efforts place technological innovation at the center of our governance. We aim to provide a government where technology is optimized to improve service delivery, efficiency, and transparency” he said. This vision extends beyond domestic improvements, with Marcos urging industry leaders to position the Philippines as a FinTech innovation hub and a key player in shaping the global financial system.
The Manila Tech Summit 2025, now in its fifth year, provided a fitting backdrop for these announcements. Organized by FinTech Alliance.PH, the country’s largest digital industry association, the event drew over 1,300 delegates from more than 300 organizations. Under the theme Forging a New Global Order: Risks and Opportunities Redefined the summit facilitated discussions on the dual nature of technological advancement—its potential to transform societies and the inherent risks it brings.
Broader Implications for the Philippines
The push for digital transformation comes at a pivotal moment for the Philippines, a nation of over 110 million people spread across more than 7,000 islands. Connectivity and access to digital services remain uneven, with rural and remote areas often lacking the infrastructure needed to participate in the digital economy. Initiatives like the NFB and Free Wi-Fi for All Program are crucial steps toward addressing this disparity, but their success will depend on sustained investment and effective implementation.
Economically, the digital sector’s contribution to GDP signals a shift toward a more technology-driven economy, a trend mirrored across Southeast Asia. Neighboring countries like Singapore and Malaysia have already established themselves as regional tech hubs, with robust digital infrastructure and innovation ecosystems. For the Philippines to compete, it must not only expand access to technology but also foster an environment conducive to innovation and investment. Marcos’ call for the country to become a FinTech leader reflects an understanding of this competitive landscape, though achieving this goal will require overcoming significant structural challenges, including bureaucratic inefficiencies and regulatory hurdles.
Cybersecurity remains a critical area of concern. The region has seen a sharp rise in cybercrimes, with the Philippines often targeted due to its rapidly growing online population. According to local reports, scams involving digital currencies and AI-generated fraud have surged in recent years, exploiting gaps in digital literacy and regulatory oversight. While legislative measures are a start, experts argue that public awareness campaigns and international cooperation are equally important to combat transnational cyber threats.
Balancing Innovation with Inclusion
Marcos’ emphasis on reskilling highlights another dimension of the digital transition: ensuring that technological advancements do not exacerbate existing inequalities. The risk of job displacement due to AI and automation is particularly acute in sectors like manufacturing and services, which employ large numbers of low-skilled workers. Without adequate training programs, many Filipinos could find themselves excluded from the benefits of digitalization, widening the gap between urban and rural communities, and between the tech-savvy and those struggling to adapt.
The government’s focus on education is a promising sign, but scale and accessibility remain challenges. Programs must reach beyond urban centers like Manila and Cebu to include marginalized communities in Mindanao and the Visayas. Partnerships with private sector players, such as those represented at the Manila Tech Summit, could play a vital role in expanding the reach and impact of these initiatives. Industry leaders have the resources and expertise to complement government efforts, potentially accelerating the pace of digital inclusion.
Looking Ahead
As the Philippines embarks on this digital journey, the road ahead is fraught with both opportunity and uncertainty. Marcos’ vision of a Truly Digital Philippines is an ambitious one, promising to transform how Filipinos interact with their government, economy, and each other. Yet, the success of this transformation hinges on the government’s ability to address the multifaceted risks of technology while ensuring that its benefits are equitably shared.
The coming years will test the resilience of the country’s digital infrastructure and the effectiveness of its policies. With initiatives like the National Fiber Backbone and workforce reskilling programs underway, the Philippines has laid a foundation for progress. However, as cyber threats evolve and global competition intensifies, the question remains whether the nation can balance innovation with security and inclusion to truly emerge as a digital leader in the region.
