Philippine Creative Economy Grows to 7.8% of GDP Amid Calls for Stronger IP Commercialization

The Philippines’ creative sector accounted for 7.8% of the country’s gross domestic product (GDP) and 17.8% of total employment in 2025, according to a new report released on June 9. The study, titled “The Creative Ecosystem of the Philippines: National Diagnostic Report,” was jointly launched by the World Intellectual Property Organization (WIPO), the Department of Trade and Industry (DTI), the Intellectual Property Office of the Philippines (IPOPHL), and the Philippine Statistics Authority (PSA).

The report provides a detailed assessment of the country’s creative ecosystem, examining intellectual property (IP) protection, governance, talent development, financing, infrastructure, and market demand. It recognizes the Philippines’ growing role as a competitive player in the global creative economy.

"The Philippines is well positioned to move from a global service provider to a higher-value partner in the creative economy. Overall, the sector is advancing institutionally and is economically significant," the report states.

Despite these positive developments, the study emphasizes that the nation’s long-term competitiveness hinges on its ability to generate, own, and commercialize more Filipino intellectual property. Currently, the country remains predominantly a provider of creative services to foreign clients rather than a creator of scalable, IP-owned creative businesses.

The report highlights notable improvements in the IP ecosystem, crediting IPOPHL’s modernization efforts, including digitalization of registration systems and enhanced online enforcement mechanisms. The Philippines has maintained a clean record by staying off the United States Trade Representative’s piracy watch list for 12 consecutive years and has not appeared on the European Union’s intellectual property rights watch list since 2019.

In 2025, copyright registrations surged to a record 6,552 filings, marking an increase of nearly 75% compared to 2022. Trademark and other IP filings also showed consistent growth, reflecting heightened awareness and utilization of IP protections.

However, commercialization of intellectual property remains a critical weakness. The Philippines continues to be a net importer of IP services, with payments for foreign-owned IP exceeding revenues from Filipino-owned IP. This imbalance indicates limited monetization of local creative assets.

The report also identifies a disconnect between high digital consumption and low levels of legal purchases of creative content. Many consumers reportedly access creative works through informal or unauthorized channels, undermining potential revenue streams for Filipino creators.

"Converting strong export participation into Filipino-owned IP and scalable business models will be critical to enhancing competitiveness and building sustainable creative industries. Future policy should therefore be focused on the transition from fee-for-service production to ownership-based, creative business models," the report advises.

Another challenge is the underutilization of creative talent. A survey conducted by the Technical Education and Skills Development Authority (TESDA) found that 41% of workers in selected creative industries possess the capacity to undertake more complex roles, indicating significant untapped human capital.

Stakeholders consulted during the study pointed to gaps in training, particularly in areas such as monetization strategies, business development, and original content creation. Addressing these gaps is essential to foster a more robust creative workforce.

Access to financing remains a persistent obstacle. The report notes that the use of intellectual property assets as collateral for loans and investments is limited in the Philippines compared to other countries, constraining the growth potential of creative enterprises.

Overall, the report calls for targeted policy interventions to support the transition from service-based creative production toward ownership and commercialization of Filipino intellectual property. Strengthening these areas is deemed vital for the Philippines to realize its ambition of becoming a leading creative hub in Asia by 2030.