ASEAN is preparing to sign its first region-wide digital-economy agreement in Metro Manila this November, after concluding negotiations earlier this year and beginning discussions on how businesses will use the new regional framework.
The ASEAN Digital Economy Framework Agreement, or DEFA, is scheduled for signing during meetings around the 28th ASEAN Economic Community Council and the 49th ASEAN Summit. ASEAN’s current public calendar lists the AEC Council meeting for November 12 and the summit for November 13 to 15 in Metro Manila.
Trade Undersecretary Allan Gepty said DEFA will establish common regional rules covering cross-border e-commerce, paperless trade, electronic payments, trade facilitation, online consumer protection, data protection and privacy, and cooperation on artificial intelligence and emerging technologies.
For Philippine businesses, the agreement is intended to reduce some of the regulatory friction involved in operating across Southeast Asian markets. Gepty said DEFA could “help create a more predictable and trusted environment for selling, transacting, and expanding across ASEAN,” particularly for micro, small, and medium enterprises.
The agreement also creates a basis for closer ASEAN cooperation on AI, but the details are not yet settled. Gepty said programs could include workforce upskilling and reskilling, although member states would still have to negotiate specific initiatives after DEFA takes effect. “The specific programs and projects, of course, will follow,” he said.
ASEAN has already started discussing implementation with the private sector. On September 22, ASEAN Secretary-General Kao Kim Hourn and the EU-ASEAN Business Council discussed how businesses could use DEFA and support its implementation after signing.