The aging trend is irreversible in much of Asia and the Pacific, but governments could turn that into a silver dividend.

To further boost the productivity of the aging population in the Philippines and other economies in Asia and the Pacific region, governments are urged to adopt technology policies that improve elderly people’s health, extend skills and working lives, and facilitate job matching.

In its latest report “Asian Economic Integration Report 2019/2020 (AEIR): Demographic Change, Productivity, and the Role of Technology,” the Asian Development Bank (ADB) cited the roles and potentials of technology in boosting the productivity of aging economies.

“The aging trend is irreversible in much of Asia and the Pacific, but governments could turn that into a ‘silver dividend’,” ADB Chief Economist Mr. Yasuyuki Sawada was quoted as saying.

“Today’s elderly are better educated and healthier than in the past. The right policies on technologies could extend working lives, generating a substantial contribution to the overall economy,” Sawada added.

The report noted that countries that are fast aging and have above-median education levels would benefit from adopting automation and labor augmenting technology to supplement the low supply of labor for routine work.

Meanwhile, countries with slow aging and below-median education levels could prioritize technical applications in education to help a younger population access high-quality education.

But regardless of the aging and education profiles, the report called on governments to rethink their education and skills training “to include lifelong learning as well as the adoption of technologies and approaches to make work and workplaces more suitable for older employees.”

“The labor market, social security, and tax system reform would also encourage older people to continue working,” it underscored.

In addition, policies that ease the movement of capital, labor, and technology across borders would be advantageous to help countries at different stages of demographic transition and technological adoption to cope.

Further, the report underscored that regional economic cooperation remains strong in Asia and the Pacific, providing a buffer against the effects of global trade tensions.

Between 1990 and 2017, the average healthy life span for the economies in Asia and the Pacific increased by nearly 7 years from 57.2 to 63.8 years while the average years of education among 55 to 64-year-old people also increased from 4.6 in 1990 to 7.8 in 2015.