The Philippines has received backing from the World Bank Group (WBG) for the government's digitalization initiative aimed at improving tax administration and other critical sectors, a Cabinet official said.
Finance Secretary Ralph G. Recto said that the WBG has shown strong support for collaborating with the Department of Finance to digitalize the tax system, particularly in light of the growing number of Filipino consumers engaging in e-commerce.
Recto said that the WBG has recently established a specialized team dedicated to providing digital solutions for various development programs, with a particular focus on fiscal matters.
Furthermore, the WBG is exploring the extension of these digital service solutions to sectors such as education and healthcare, he said.
The finance chief also requested technical support for enhancing the digital capabilities of government entities, especially the Department of Information and Communications Technology (DICT).
In addition to digitalization efforts, he said the government is committed to accelerating the implementation of key infrastructure projects, including improvements in physical connectivity.
Meanwhile, the WBG pledged assistance to provide wider access to a reliable power supply in the country, especially in remote areas, as well as to harness renewable energy resources to accelerate the Philippines’ transition to clean energy.
Moreover, the WBG will help the country increase its investments in human capital by supporting early childhood and nutritional programs as well as the upskilling and re-skilling of the workers to boost its labor force.
In addition, it offered support for the country’s agriculture sector to improve productivity and profitability to address food security while reducing emissions through technological practices.
The bank said the above key priorities outlined by Recto during the meeting will be aligned and reflected in the new country partnership framework that it is crafting for the Philippines.
As of December 2023, the WB International Bank for Reconstruction and Development (IBRD) is the Philippines’ third largest official development assistance (ODA) partner, amounting to $8.20 billion.