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PHILIPPINES

N/A

Pillar Telecom infrastructure & competition  |  Indicator Functional/accounting separation for operators with significant market power
Lack of mandatory functional separation for dominant network operators
It is reported that the Philippines does not mandate functional separation for operators with significant market power (SMP) in the telecom market. However, there is an obligation of accounting separation.
Coverage Telecommunications sector

PHILIPPINES

Since March 1995
Since February 1987

Pillar Telecom infrastructure & competition  |  Indicator Licensing restrictions to operate in the telecom market
Republic Act No. 7925 - Public Telecommunications Policy Act of the Philippines

The Constitution of the Republic of the Philippines
According to Section 16 of the Public Telecommunications Policy Act of the Philippines, no person shall commence or conduct the business of being a public telecommunications entity without first obtaining a franchise. The National Telecommunications Commission, in granting a Certificate of Public Convenience and Necessity (CPCN), may impose such conditions as to duration and termination of the privilege, concession, or standard or technical aspects of the equipment, rates, or service, not contrary to the terms of the franchise.
As established in Article XII of the Philippine Constitution, franchises may only be granted to citizens of the Philippines or to corporations or associations organised under Philippine laws, and they may only be granted by Congress.
In addition to the requirements mentioned above, according to the National Telecommunications Commission, a radio operator is also subject to file 15 other documents, including an Issuance of Renewal/Modification/Duplicate of Radio Stations in the Fixed and Land Mobile Public Radio Communication Network (CP) an On-line Importation Process (For Customer Premises equipment with WDN/RFID Module) thru the National Single Window (NSW) System.
Coverage Telecommunications sector

PHILIPPINES

Since September 2021

Pillar Telecom infrastructure & competition  |  Indicator Licensing restrictions to operate in the telecom market
DICT Circular No. 02 s 2021
DICT Circular No. 02 s 2021 provides for the licensing and regulation of satellite systems providers and operators (SSPOs) for internet services. Under Sections 7 and 8, SSPOs desiring to provide satellite services by directly engaging with ISPs, value-added service providers, enfranchised telecommunications entities or public telecommunications entities, and broadcast service providers (authorised entities) shall have an adequate digital presence in the Philippines, such as having a readily accessing website with sufficient content and information; have an adequate local presence by setting up a branch or representative office, having an institutional agent or official distributor, or a combination of such modes; have the capacity, coverage and satellite footprint in the Philippines for the purposes of providing adequate satellite services to covered areas; be accredited by the Department of Information and Communications Technology; and be a national of a country that does not prohibit Philippine satellites to operate within its territories and does not prohibit its citizens or subjects to access Philippine satellite systems.
Coverage Satellite systems providers and operators

PHILIPPINES

N/A

Pillar Telecom infrastructure & competition  |  Indicator Signature of the WTO Telecom Reference Paper
Partial appendment of WTO Telecom Reference Paper to schedule of commitments
The Philippines has only partially appended the World Trade Organization (WTO) Telecom Reference Paper to its schedule of commitments.
Coverage Telecommunications sector

PHILIPPINES

N/A

Pillar Telecom infrastructure & competition  |  Indicator Presence of an independent telecom authority
Presence of an independent telecom authority
It is reported that the National Telecommunications Commission, the executive authority for the supervision and administration of services in the telecommunications sector, is independent from the government in the decision-making process.
Coverage Telecommunications sector

PHILIPPINES

Since August 2012, entry into force in September 2012
Since August 2016, entry into force in September 2016

Pillar Cross-border data policies  |  Indicator Conditional flow regime
Data Privacy Act of 2012 (Republic Act No. 10173)

Implementing Rules and Regulations of the Data Privacy Act of 2012
Section 21 of the Data Privacy Act and Section 50 of the Implementing Rules and Regulations impose responsibility on the controller to ensure the confidentiality, integrity, and accessibility of the personal information transferred. Controllers are required to use contractual or other means to ensure that the third-party entity to whom the personal information is to be transferred for processing provides a comparable level of protection as that of the Philippines. In addition, data transfers to third parties, including transfers to an affiliate or parent company, require the consent of the data subject.
Coverage Horizontal

PHILIPPINES

Since August 2012, entry into force in September 2012

Pillar Cross-border data policies  |  Indicator Conditional flow regime
Data Privacy Act of 2012 (Republic Act No. 10173)
Section 13 of the Data Privacy Act provides that the processing of sensitive data and privileged information is prohibited, except in some cases, including when data subjects have given their consent, existing laws and regulations provide for the processing of the same, the processing is necessary to protect the life and health of the data subject or another person, the processing is necessary to achieve the lawful and non-commercial objectives of public organisations and their associations, and the processing is necessary for purposes of medical treatment.
Coverage Horizontal

PHILIPPINES

Since January 2016

Pillar Cross-border data policies  |  Indicator Conditional flow regime
Bangko Sentral ng Pilipinas (BSP) Circular No. 899 - Amendments to the guidelines on outsourcing
According to Circular No. 899, offshore outsourcing of a bank's domestic operations is permitted only when the service provider operates in jurisdictions which uphold confidentiality. When the service provider is located in other countries, the bank should take into account and closely monitor, on a continuing basis, government policies and other conditions in the countries where the service provider is based during the risk assessment process.
The Bangko Sentral ng Pilipinas (the Central Bank of Philippines) examiners shall be given access to the service provider and those relating to the bank's outsourced domestic operations. Such access may be fulfilled by on-site examination through coordination with host authorities, if necessary.
Coverage Financial sector

PHILIPPINES

N/A

Pillar Cross-border data policies  |  Indicator Participation in trade agreements committing to open cross-border data flows
Lack of participation in agreements with binding commitments on data flows
The Philippines has not joined any agreement with binding commitments to open transfers of data across borders.
Coverage Horizontal
"SELECT DISTINCT(post_id) FROM prj_12_postmeta WHERE meta_key = 'score' AND\n\t\t\t\t\t\t\t\tpost_id IN (SELECT post_id FROM prj_12_postmeta WHERE meta_key = 'country' AND meta_value = 'PH')\n\t\t\t\t\t\t\t\tAND (\n\t\t\t\t\t\t\t\t\tpost_id IN (SELECT post_id FROM prj_12_postmeta WHERE meta_key = 'subchapter' AND meta_value = '1.1') OR\n\t\t\t\t\t\t\t\t\tpost_id IN (SELECT post_id FROM prj_12_postmeta WHERE meta_key = 'subchapter' AND meta_value = '1.2') OR\n\t\t\t\t\t\t\t\t\tpost_id IN (SELECT post_id FROM prj_12_postmeta WHERE meta_key = 'subchapter' AND meta_value = '1.3')\n\t\t\t\t\t\t\t\t)"
[{"post_id":"86445"},{"post_id":"86446"},{"post_id":"86447"}]
"SELECT meta_value FROM prj_12_postmeta WHERE meta_key = 'impact' AND\n\t\t\t\t\t\t\t\tpost_id IN (SELECT post_id FROM prj_12_postmeta WHERE meta_key = 'country' AND meta_value = 'PH')\n\t\t\t\t\t\t\t\tAND (\n\t\t\t\t\t\t\t\t\tpost_id IN (SELECT post_id FROM prj_12_postmeta WHERE meta_key = 'subchapter' AND meta_value = '1.1') OR\n\t\t\t\t\t\t\t\t\tpost_id IN (SELECT post_id FROM prj_12_postmeta WHERE meta_key = 'subchapter' AND meta_value = '1.2')\n\t\t\t\t\t\t\t\t)"
"SELECT meta_value FROM prj_12_postmeta WHERE meta_key = 'score' AND\n\t\t\t\t\t\t\t\tpost_id IN (SELECT post_id FROM prj_12_postmeta WHERE meta_key = 'country' AND meta_value = 'PH')\n\t\t\t\t\t\t\t\tAND (\n\t\t\t\t\t\t\t\t\tpost_id IN (SELECT post_id FROM prj_12_postmeta WHERE meta_key = 'subchapter' AND meta_value = '1.3')\n\t\t\t\t\t\t\t\t)"
ITA: [{"meta_value":"0.00"}]

PHILIPPINES

ITA signatory? I II

Pillar Tariffs and trade defence measures applied on ICT goods  |  Indicator Effective tariff rate on ICT goods (applied weighted average)
Effective tariff rate to ICT goods (applied weighted average)
0.51%
Coverage rate of zero-tariffs on ICT goods (%)
62.86%
Coverage: ICT goods

PHILIPPINES

Since April 1997
Since December 2015

Pillar Tariffs and trade defence measures applied on ICT goods  |  Indicator Participation in the WTO Information Technology Agreement (ITA) and 2015 expansion (ITA II)
Information Technology Agreement (ITA)

ITA Expansion Agreement (ITA II)
The Philippines is a signatory of the World Trade Organization (WTO) Information Technology Agreement (ITA) of 1996 and its 2015 expansion (ITA II).
Coverage ICT goods

PHILIPPINES

Reported in February 2018

Pillar Public procurement of ICT goods and online services  |  Indicator Exclusion from public procurement
Exclusion of foreign providers from public procurement
Foreign bidders are only eligible to participate when: (i) allowed under any treaty or international or executive agreement; (ii) the foreign bidder is a citizen, corporation or association of a country whose laws or regulations grant reciprocal rights to citizens, corporations, or associations of the Philippines; (iii) the goods sought to be procured are not available from local suppliers; or (iv) there is a need to prevent situations that defeat competition or restrain trade.
Coverage Horizontal

PHILIPPINES

Since October 2003, last amended in October 2016

Pillar Public procurement of ICT goods and online services  |  Indicator Other limitations on foreign participation in public procurement
Implementing Rules and Regulations of Republic Act No. 9184
Under Section 4.4 of Annex B the 2016 Implementing Rules and Regulations (IRR), foreign consultants must transfer their technology and knowledge to be eligible for public procurement contracts. This requirement mandates that "technology and knowledge transfer to the procuring entity shall be required in the provision of consulting services, where applicable." This provision has been in effect since the introduction of the first IRR in 2003 in Section 24.5.4.
Coverage Horizontal

PHILIPPINES

Since October 2003, last amended in October 2016

Pillar Public procurement of ICT goods and online services  |  Indicator Other limitations on foreign participation in public procurement
Implementing Rules and Regulations of Republic Act No. 9184
Sections 23.5.1.1 and 24.3.1 of the 2016 Implementing Rules and Regulations of Republic Act No. 9184 provide that partnerships, corporations, and joint ventures with at least 60% Filipino ownership are considered eligible bidders for public procurement of goods and services. However, the procurement of infrastructure projects is more restrictive, which can discourage foreign contractors from participating in digital infrastructure, such as cloud services. Foreign contractors (those with less than 75% Filipino ownership) are allowed only when provided for under any treaty or international or executive agreement or if they form a joint venture with local contractors (Subsection 23.4.2). These provisions have been in force since the first Implementing Rules and Regulations of 2003.
Coverage Horizontal

PHILIPPINES

Since January 2003
Since October 2003, as amended in 2009, last amended in October 2016

Pillar Public procurement of ICT goods and online services  |  Indicator Other limitations on foreign participation in public procurement
Government Procurement Reform Act - Republic Act No. 9184

Implementing Rules and Regulations of Republic Act No. 9184
The Government Procurement Reform Act acts as the enabling framework for preferential procurement by virtue of Art. XII, Section 43. In the interest of availability, efficiency and timely delivery of goods, the procuring entity may give preference to the purchase of domestically produced and manufactured goods, supplies and materials that meet the specified or desired quality. Rule XII of the Implementing Rules and Regulations outlines the implementation and process of preferential procurement, wherein the procurement award should be made to the lowest domestic bid, provided that it is not more than 15% in excess of the lowest foreign bid. The 2003 IRR only provided for a general preference.
Coverage Horizontal

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