A new study, commissioned by Google and conducted by UK-based research agency Public First, projects a massive boost for the Philippine economy thanks to artificial intelligence.

The report, titled Turbocharging Growth: The Philippines’ AI Opportunity, suggests that AI could add up to P1.8 trillion — or roughly $31 billion — to the local economy, representing a significant 7% increase in gross value added. On top of all that, AI is set to give a major boost to key sectors like wholesale and retail, finance, and public administration. And it’s not just about the money, too. The study sees AI as a powerful way to tackle national challenges, like improving food security and strengthening cybersecurity.

Filipinos are already embracing AI

Turns out, Filipinos are already embracing AI at a pretty rapid pace. According to the study, about half of the population is using AI tools at least once a week. Let this thought simmer for a bit: The person sitting next to you could be a regular AI user. This widespread adoption comes with a hopeful outlook, too. Around 46% of Filipinos are optimistic about what AI can do for the country, and an even higher 50% are optimistic about its personal impact.

When you look at the workforce, specifically, the numbers are just as exciting. The report estimates that AI could make the average Filipino worker 37% more productive, freeing up to three hours a week that they currently spend on administrative work. That efficiency boost could translate to a nice raise — potentially over ₱110,000 a year.

When you look at the macro numbers, the study projects some major gains for key sectors. AI could lead to:

• a P410-billion increase in Wholesale and Retail (a 9% rise in GVA);
• a P300-billion increase in Finance and Insurance (a 12% rise in GVA); and
• a P109-billion increase in Public Administration and Defense (a 9% rise in GVA).

The report provides concrete examples of AI in action. One case study focuses on SM Supermalls, which faced a slow, manual, and paper-based process for filing the BIR Form 2307 tax certificate. This not only led to errors and extra costs but also required significant administrative effort. Google’s solution was to leverage its cloud-based finance portal with Document AI, a tool developed with Philippine-based AI company Senti AI. This system now digitizes the forms, extracts the data, and makes the whole validation process much faster and easier.

Another example is the eGovPH Super App, which you might already be familiar with. It was designed to solve the problem of fragmented and paper-heavy government services. The app centralizes a wide range of services, from ID applications to eTravel and payments. Since its launch, the app has gained 12 million users and processed over 130 million transactions, showcasing the huge potential of digital integration in the country.

Beyond business and case studies, the report shows that AI can also help solve some of the Philippines’ biggest national challenges. For example, AI could reduce the costs of cybersecurity threats by half, saving P180 billion. It could likewise increase the agricultural sector’s productivity by P120 billion by 2035 through things like precision farming, which is being supercharged by tools like Google DeepMind’s AlphaFold, an AI that predicts the 3D structure of proteins.

The call for upskilling (with Google)

As AI creates new jobs focused on managing these new tools and performing more complex work, it’s pretty clear that the need to upskill is more important than ever. The study found a staggering 90% of workers are interested in training to understand how AI models work.

Google is responding to this demand by committing to equip Filipinos with the necessary AI skills. The company is partnering with government agencies like the Department of Trade and Industry and the Department of Information and Communications Technology, along with organizations like the IT and Business Process Association of the Philippines. Through these collaborations, Google is making its Google Career Certificates — including the new AI Essentials course — widely available to help build in-demand digital skills for the future.

Google is also specifically partnering with Accenture, giving the company access to these certificates to train its supported communities and employees’ families. As a major employer in the country, Accenture is also doing its part, working with IBPAP and various academic institutions to build a strong talent pool for the new AI-driven economy.

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