Pax Silica could bring global tech jobs home. Will Filipinos benefit?

Economist says success depends on building Filipino talent and firms, not just factories.

Pax Silica’s biggest opportunity lies beyond attracting foreign capital and building factories. The initiative’s true economic value will come from creating high-value jobs, stronger Filipino businesses, and opportunities for local talent.

Success of Pax Silica should be measured by the opportunities it creates for Filipinos, from engineers who can pursue global careers without leaving the country to entrepreneurs that become part of international supply chains, according to UnionBank chief economist Ruben Carlo Asuncion.

In his Local Economy Watch newsletter, Asuncion said the initiative aims to position the Philippines as a trusted hub for industries expected to drive the global economy, including semiconductor manufacturing, advanced electronics, artificial intelligence, and research-intensive sectors.

The Philippines, under the US-led Pax Silica Initiative, has committed 1,618 hectares in New Clark City where an AI-native industrial hub is planned to support the development of technology-driven supply chains.

But Asuncion said attracting investments is only the starting point. The bigger challenge is ensuring Filipino workers, startups, researchers, and local companies can capture more value from these industries.

“The objective should never be to host world-class industries alone. It should be to develop world-class Filipinos and world-class Filipino firms,” he said.

He said this will require investments in reliable energy, modern infrastructure, technical education, digital connectivity, research and development, and a more business-friendly environment.

The initiative comes as the Philippines continues to export skilled talent to global markets, from engineers and software developers to researchers and technicians supporting advanced industries overseas.

Asuncion said Pax Silica offers a chance to create more opportunities at home instead of relying on other countries to provide career paths for Filipino talent.

Meanwhile, Maharlika Investment Corp. president and CEO Rafael Consing Jr. said the sovereign wealth fund is looking at becoming an investment aggregator for investors interested in participating in Pax Silica’s growth.

Consing said Maharlika’s role would be to help bring together capital for the initiative, while funding is expected to come primarily from foreign direct investments.

The initiative is also facing scrutiny, with lawmakers seeking a review of its implications on national security, data governance, environmental protection, and foreign participation in critical industries.

With 24 signatories and the Philippines as the 13th member of the Pax Silica Initiative, the next challenge is turning investment interest into industries that create lasting value inside the country.

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