Trade Secretary Alfredo Pascual signed a memorandum of understanding (MOU) with the United Arab Emirates (UAE) Ministry of Investment in Abu Dhabi to bolster economic alliances in digital infrastructure development.
The MOU aims to scale up Philippine digital economy through the development of high-capacity data center projects within the country.
“This MOU serves as a framework for a stronger alliance of both countries in strengthening bilateral ties, particularly in the digital infrastructure sector Through the development of these centers, the Philippines is poised to thrive further in the global digital economy as these will be critical for storing essential data and running applications aligned with the country’ vision of a robust growth in the digital ecosystem,” Pascual said.
The country’ data center projects under the MOU is expected to reach a total capacity of up to 500 megawatts. Another key aspect of the agreement is building relationships among public and private sector organizations in the UAE and the Philippines. The MOU will also facilitate knowledge sharing and provide incentives for relevant initiatives.
Pascual said the agreement is founded on the growing economic ties with the UAE. He cited a substantial increase in trade figures, reaching $506.1 million in the first half of 2023, showcasing a robust 19.4 percent growth compared to the previous year.
UAE Minister of Investments Mohamed Hassan Alsuwaidi recognized the Philippines’ rapid digital adoption, resilient infrastructure and strategic market proximity which is set to accelerate the ongoing digital expansion of UAE.
“This transformative alliance exemplifies the country’ unwavering commitment to embracing innovation and fostering sustainable economic growth to facilitate the integration of the Philippines’ digital infrastructure into the global digital economy,” Pascual said.