Manila: Finance Secretary Frederick Go on Friday expressed optimism about the overall gains of the Philippines from its inclusion in the US-led Pax Silica initiative. 'Obviously, to all of us, the technology of the future is AI (artificial intelligence) and anything tech. I think both sides are very excited to get this moving along because I really believe this could be a generational type of project,' he told journalists at a round table meeting.

According to Philippines News Agency, Pax Silica is a coalition of 14 states aimed at creating a secure supply chain for semiconductors and AI. Department of Trade and Industry (DTI) Undersecretary and Board of Investments (BOI) head Ceferino Rodolfo signed the declaration of the Philippines' inclusion on April 17. Under the plan, the first AI-native industrial acceleration hub under the initiative will be constructed within a 4,000-acre area in the industrial zone of the Luzon Economic Corridor.

Go said 'hundreds of thousands' of jobs will likely be opened once the AI acceleration hub materializes. He said hosting the AI hub is a good start for the Philippines in its bid to take advantage of AI and related innovation. 'If we want to be a player in the AI industry in the future, we need to start somewhere. This is really a great start because now, once you have the ecosystem, one thing leads to another,' he said.

Go said investors will be given incentives under the CREATE MORE (Corporate Recovery and Tax Incentives for Enterprises to Maximize Opportunities for Reinvigorating the Economy) Act, which includes lower corporate taxes.