The Philippines could unlock a P1.8-trillion economic boost through the adoption of artificial intelligence (AI), a new study revealed.

In its report Turbocharging Growth: The Philippines’ AI Opportunity, London-based public policy research agency Public First projected that AI could raise the country’s gross value added (GVA) by 7 percent — equivalent to about US$31 billion — if fully leveraged.

The study identified major opportunities in wholesale and retail trade (P410 billion, +9 percent GVA), finance and insurance (P300 billion, +12 percent GVA), and public administration and defense (P109 billion, +9 percent GVA).

Cybersecurity costs cut by half

AI is also seen to cut cybersecurity costs by half, or around P180 billion, and improve agriculture productivity by P120 billion through innovations such as precision farming and early pest detection.

Gabby Roxas, Google Philippines and Vietnam country marketing manager, explained that Public First’s methodology assessed the productivity impact by measuring the difference between overall productivity gains and cost reductions.

“You can free up three hours of time every week in terms of administrative tasks,” Roxas said in an exclusive interview with DAILY TRIBUNE.

“It’s not an uncommon story where we have employees saying, ‘I’m busy here and there, that’s why I’m not following up on leads.’ That added time you can spend on higher-value tasks is what helps lift up the economy as a whole.”

He added that the P1.8-trillion estimate covers multiple industries, from reducing fraud in finance and insurance to expanding market reach in retail and wholesale.

AI’s national impact

The report also found that AI could augment the productivity of 37 percent of the workforce, potentially leading to a 6 percent wage increase and an additional P110,000 in annual productivity per worker. Forty-six percent of Filipinos expressed optimism about AI’s national impact, while 50

Roxas noted that Google is investing in AI tools that directly enhance productivity.

“Through Google Workspace, there are Gemini tools already available. I can attest that it helps me with productivity. Gemini is also a standalone application – whether that helps you with planning or developing assets, it works as well. It’s multifaceted,” he said.