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PHILIPPINES

N/A

Pillar Telecom infrastructure and competition  |  Sub-pillar Passive infrastructure sharing obligation
Lack of obligation to share passive infrastructure
It is reported that there is no obligation for passive infrastructure sharing in the Philippines to deliver telecom services to end users, and it is not practiced in the mobile sector and in the fixed sector based on commercial agreements.
Coverage Telecommunications sector

PHILIPPINES

Since July 2002, entry into force in October 2002

Pillar Intellectual Property Rights (IPRs)  |  Sub-pillar Signature of the WIPO Copyright Treaty
WIPO Copyright Treaty
The Philippines has ratified the World Intellectual Property Organization (WIPO) Copyright Treaty.
Coverage Horizontal

PHILIPPINES

Since July 2002, entry into force in October 2002

Pillar Intellectual Property Rights (IPRs)  |  Sub-pillar Signature of the WIPO Performances and Phonogram Treaty
WIPO Performances and Phonograms Treaty
The Philippines has ratified the World Intellectual Property Organization (WIPO) Performances and Phonograms Treaty.
Coverage Horizontal

PHILIPPINES

Reported in 2018

Pillar Intellectual Property Rights (IPRs)  |  Sub-pillar Enforcement of copyright online
Lack of adequate enforcement of copyright online
Copyright is not adequately enforced online in the Philippines. It is reported that the rate of unlicensed software installation in the country was 66% in 2017 (above the 57% rate of the Asian Pacific countries), for an estimated commercial value of USD 388 million.
Coverage Horizontal

PHILIPPINES

Since May 2001, entry into force in August 2001

Pillar Intellectual Property Rights (IPRs)  |  Sub-pillar Participation in the Patent Cooperation Treaty
Patent Cooperation Treaty
Philippines is a party to the Patent Cooperation Treaty (PCT).
Coverage Horizontal

PHILIPPINES

Since June 1997

Pillar Intellectual Property Rights (IPRs)  |  Sub-pillar Copyright law with clear exceptions
Republic Act No. 8293, prescribing the intellectual property code and establishing the intellectual property office, providing for its powers and functions, and for other purposes
The Philippines has a clear regime of copyright exceptions that follows the fair use, which enables the lawful use of copyrighted work by others without obtaining permission (Republic Act No. 8293). Sections 184-190 list the exceptions which include: the recitation or performance of a work, once it has been lawfully made accessible to the public, if done privately and free of charge or if made strictly for a charitable or religious institution or society; the making of quotations from a published work if they are compatible with fair use and only to the extent justified for the purpose, including quotations from newspaper articles and periodicals in the form of press summaries; the reproduction or communication to the public by mass media of articles on current political, social, economic, scientific or religious topic, lectures, addresses and other works of the same nature; among others.
Coverage Horizontal

PHILIPPINES

Since June 1997

Pillar Intellectual Property Rights (IPRs)  |  Sub-pillar Practical or legal restrictions related to the application process for patents
Republic Act No. 8293, prescribing the intellectual property code and establishing the intellectual property office, providing for its powers and functions, and for other purposes
According to Section 33 of the Republic Act No. 8293, an applicant who is not a resident of the Philippines must appoint and maintain a resident agent or representative in the Philippines upon whom notice or process for judicial or administrative procedure relating to the application for patent or the patent may be served.
Coverage Horizontal

PHILIPPINES

Since March 1995

Pillar Foreign Direct Investment (FDI) in sectors relevant to digital trade  |  Sub-pillar Screening of investment and acquisitions
Republic Act No. 7925 - Public Telecommunications Policy Act of the Philippines
A screening of FDI exists in the telecommunications sector, primarily through the necessity of acquiring licenses and even a legislative franchise from Congress. For instance, telecommunications service providers need to secure a Certificate of Public Convenience and Necessity from the National Telecommunications Commission as well as a legislative franchise from Congress (see the "Other Information" sheet for an extended discussion of this measure).
Coverage Telecommunications Sector

PHILIPPINES

Since February 2019

Pillar Foreign Direct Investment (FDI) in sectors relevant to digital trade  |  Sub-pillar Commercial presence requirement for digital services providers
Corporations Act No. 11232
Section 142 of the Corporations Act establishes that a foreign corporation applying for a license to transact business in the Philippines shall submit to the Commission the address, including the street number, of the principal office of the corporation in the country or State of incorporation; the name and address of its resident agent authorized to accept summons and process in all legal proceedings and all notices affecting the corporation, pending the establishment of a local office; and the place in the Philippines where the corporation intends to operate.
Coverage Horizontal

PHILIPPINES

Since February 2019

Pillar Foreign Direct Investment (FDI) in sectors relevant to digital trade  |  Sub-pillar Nationality/residency requirement for directors or managers
Republic Act No. 11232, Sec. 4 (Revised Corporation Code of the Philippines)
Section 4 of the Revised Corporation Code of the Philippines (RA 11232) mandates a residency requirement for select corporate officers, namely: the treasurer and the secretary.
Coverage Horizontal

PHILIPPINES

Since June 1991, last amended in March 2022
Since June 2022

Pillar Foreign Direct Investment (FDI) in sectors relevant to digital trade  |  Sub-pillar Maximum foreign equity share
Foreign Investment Act of 1991 - Republic Act No. 7042

Executive Order No. 175 Promulgating the Twelfth Regular Foreign Investment Negative List
The Foreign Investment Act requires the publishing every two years of the Foreign Investment Negative List (FINL), which outlines sectors in which foreign investment is restricted. According to List A of the 2022 FINL, advertising is limited to 30% foreign equity.
Coverage Advertising sector

PHILIPPINES

Since June 1991, last amended in March 2022
Since June 2022

Pillar Foreign Direct Investment (FDI) in sectors relevant to digital trade  |  Sub-pillar Maximum foreign equity share
Foreign Investment Act of 1991 - Republic Act No. 7042

Executive Order No. 175 Promulgating the Twelfth Regular Foreign Investment Negative List
The Foreign Investment Act requires the publishing every two years of the Foreign Investment Negative List (FINL), which outlines sectors in which foreign investment is restricted. According to List B of the 2022 FINL, up to 40% foreign equity are allowed in: micro and small domestic market enterprises with paid in equity capital of less than the equivalent of USD 200,000; and micro and small domestic market enterprises that involve advance technology or are endorsed as startup or startup enablers by state agencies; or those whose majority of direct employees are Filipinos, provided that their Filipino employees should not be less than 15, and with a paid-in equity capital of less than the equivalent of USD 100,000.
Coverage Horizontal

PHILIPPINES

Since June 1991, last amended in March 2022
Since June 2022

Pillar Foreign Direct Investment (FDI) in sectors relevant to digital trade  |  Sub-pillar Maximum foreign equity share
Foreign Investment Act of 1991 - Republic Act No. 7042

Executive Order No. 175 Promulgating the Twelfth Regular Foreign Investment Negative List
The Foreign Investment Act requires the publishing every two years of the Foreign Investment Negative List (FINL), which outlines sectors in which foreign investment is restricted. List A of the 2022 FINL bans foreign ownership/participation in mass media, except for recording and internet businesses. Internet business refers to internet access providers that merely serve as carriers for transmitting messages and not creators of messages/information.
Coverage Mass media

PHILIPPINES

Since June 1991, last amended in March 2022
Since June 2022

Pillar Foreign Direct Investment (FDI) in sectors relevant to digital trade  |  Sub-pillar Maximum foreign equity share
Foreign Investment Act of 1991 - Republic Act No. 7042

Executive Order No. 175 Promulgating the Twelfth Regular Foreign Investment Negative List
The Foreign Investment Act requires the publishing every two years of the Foreign Investment Negative List (FINL), which outlines sectors in which foreign investment is restricted. List A of the 2022 FINL bans foreign ownership/participation in retail trade enterprises with paid-up capital of less than PHP 25 million (approx. USD 440,000), among others.
Coverage Retail trade enterprises

PHILIPPINES

N/A

Pillar Public procurement of ICT goods and online services  |  Sub-pillar Signatory of the WTO Agreement on Government Procurement (GPA)
Lack of participation in the WTO Agreement on Government Procurement (GPA)
Philippines is not a party to the World Trade Organization (WTO) Agreement on Government Procurement (GPA). However, the country has been an observer of the WTO GPA since 2019.
Coverage Horizontal