A report that tracks Southeast Asia’s digital economy is bullish on the growth of Philippine digital economy.” launched last November 23 projects that the Philippine digital economy could reach $20 billion Gross Merchandise Value by the end of the year, after growing at 22% over the past year.Among these are e-commerce, food delivery, video-on-demand that recorded an adoption rate of 88%, 69%, and 58% respectively among digital urban users.
This growth is noted despite the partial resumption of in-store shopping, e-commerce accounted for 70% of the overall Philippine digital economy. The report cited that the demand growth is normalizing as many people are eating out and some are returning to office while others are delving into traveling with the reopening of the country’s tourism.
The report said paying users in the Philippines are the highest in Southeast Asia at 37%. They are playing online games at least once a week. It is also the second fastest digital economy in the region next to Vietnam this year at 22% year-on-year and between 2022 to 2025 at 20% CAGR. “Web 3.0 has attracted sizable investor funding raising $90M in the first half of 2022 with investors bullish on cryptocurrency adoption in the Philippines which isWilly Chang, Associate Partner at Bain&Company said the Philippine digital economy “is one of the more attractive investment hubs in the region.”