Monday, September 16, 2024

World Bank to PH: Hike investment in internet infrastructure

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The World Bank called on the Philippines to increase its investment in broadband infrastructure as the country continues to lag behind other Asian countries when it comes to internet speed, reach, and affordability.

In its 2024 report, “Better Internet for All Filipinos: Reforms Promoting Competition and Increasing Investment for Broadband Infrastructure,” the World Bank said that the Philippines has the slowest and most expensive internet in Southeast Asia.

The Department of Information and Communications Technology (DICT) said that there are only 12,000 independent common towers, compared to Vietnam’s 90,000 and Bangladesh’s 30,000.

The World Bank urged policymakers to focus on reforms and invest more in internet infrastructure. It warned that failing to act would lead to lost growth opportunities, an unprepared workforce for future jobs, and a widening digital divide, which the Philippines cannot afford.

“Policymakers can build on immediate reforms through the open access bill as an entry point to broader and medium-to longer-term digital connectivity agenda,” it said.

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“The country’s poor broadband infrastructure is rooted in outdated policy frameworks that stifle investment in rural areas and foster a market with weak competition, both of which hinder broadband expansion,” the World Bank said in a statement posted on its website.

According to Statista, internet access in the Philippines rose from 48 million in 2018 to 69 million in 2023, with Filipinos spending an average of nine hours online daily.

This growing demand is driving initiatives to enhance reliable and accessible internet connectivity, which is crucial in advancing the nation’s digital economy, said Statista.

The Private Sector Advisory Council and other stakeholders urged the government to increase its spending on digital infrastructure and give the DICT a P60 billion annual budget to increase the number of cell sites and improve digital infrastructure.

The Asian Development Bank estimates an additional 60,000 cell sites will be needed by 2031 to serve isolated areas.

Makati Second District Rep. Luis Campos Jr. expressed concern as the country’s rank dropped to 83rd place in Ookla’s May 2024 Global Speedtest Index.

Campos is pushing for the passage of House Bill 10215, which seeks to designate high-speed internet as a fundamental telecommunication service accessible to all Filipinos.

“We want to accelerate mobile internet speeds to improve public access to online resources, government services, education, and new opportunities,” Campos said.

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