Philippines – At the ASEAN Business & Investment Summit held today at the Solaire Resort Grand Ballroom, H.E. DTI Secretary Cristina Roque announced that the ASEAN Digital Economy Framework Agreement (DEFA) had just been signed and will be presented to the President tomorrow
What is DEFA?
This agreement has lasting implications for the digital economy across the ASEAN, from ecommerce, cybersecurity, AI implementation, and more. DEFA has one goal, which is to accelerate regional digital integration and double the ASEAN digital economy’s value from USD 1 trillion to USD 2 trillion by 2030 This agreement has been in the pipeline since 2023 and has been signed today in Manila, with the Philippines as the host country for the 49th ASEAN.
Regional ecommerce reach for local MSMEs
The new agreement will allow small and medium enterprises to easily tap the regional market across ASEAN with less friction, without navigating the different local rules of trade. It essentially breaks down the walls of ecommerce platforms so that online shops can also sell easily across different countries through the usual channels like Shopee, Lazada, and TikTok Shop. It streamlines processes as well as regional payments.
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“Platforms no longer have to build separate legal, data privacy, and consumer protection workflows for every individual country. Shared regional rules on electronic contracts, intellectual property, and.”
Cybersecurity enhancement
With an enhanced trade agreement, this also brings about stronger cybersecurity measures and upgrades through transnational cooperation against scams and other cybersecurity threats. From a platforms standpoint, it promotes shared best practices to establish real standards so every country is on the same page when it comes to securing online platforms.
Cross-border digital payment ease
Imagine having lower fees when transacting online in Thailand or Vietnam? Imagine an OFW within ASEAN easily remitting money with less overhead costs? DEFA essentially makes digital payments more accessible across the entire ASEAN, treating each member country as a real neighbor with better benefits.
