Once known for its vibrant chaos dating back from the American occupation to the eventual independence of the country, Manila is now embracing digitalization as a way to move forward in an ever-changing world.

The local government — led by Mayor Honey Lacuna -- is already recognizing technology as one of the key factors in solving its challenges and propelling itself towards a brighter future — from AI-powered traffic management to fintech solutions for unbanked communities.

Last year, Manila was recognized as a “Super City” by the Tholons Global Business Innovation Sustainability (TBIS) Index, with the Philippines ranking 15th among the Top 50 Digital Nations.

It also includes Bacolod, Bacoor (Metro Cavite), Baguio, Cebu, Davao, Iloilo, Metro Clark, and Santa Rosa in Laguna.

Now, Manila’s tech scene is brimming with innovation and one step towards this transformation is utilizing technology to address traffic woes in the city as one will not question how Manila suffers from some of the worst traffic congestion in the world.

To combat this, the city is piloting a program using artificial intelligence (AI) to optimize traffic lights, with sensors gather real-time data on traffic flow, allowing the AI system to adjust light timings dynamically. Early results show a reduction in congestion, offering a much-needed reprieve to Manila’s commuters.

On the financial side, Manila is looking into fintech startups as a large portion of Filipinos remain unbanked, hindering their access to financial services

These startups are playing a crucial role, with mobile wallets gaining traction, allowing Filipinos to make cashless transactions and send money easily. Additionally, AI-powered microloan platforms offer financial inclusion to those previously excluded from traditional banking systems.

While Manila grapples with environmental challenges like waste management and flooding, technology offers solutions here too, as the city is exploring the use of “smart bins” equipped with sensors to monitor waste levels and optimize collection routes.

These bins can even use solar power to compact waste, reducing truck trips and emissions. Additionally, flood forecasting systems that combine data from sensors and weather models are being developed to provide early warnings and minimize risk.

Meantime, to nurture a robust tech ecosystem, Manila is seeing the rise of innovation hubs. Co-working spaces and tech incubators offer startups access to mentorship, funding, and collaborative work environments.

These hubs are attracting young talent and fostering a culture of entrepreneurship, crucial for sustained technological advancement in the city.