THE Philippines improved its ranking by three notches in the 2019 edition of an index that evaluates the initiatives undertaken by countries in protecting intellectual-property (IP) rights.
In the International Property Rights Index 2019, the Philippines obtained a score of 5.31, and placed 67th among 129 economies, from last year’s rating of 5.22 and ranking of 70th among 125 countries. In spite of this, the country failed to come near the global average score of 5.72.
The Philippines also remained at the lower quartile in the group of Southeast Asian economies, as its manufacturing rivals got ahead of the pack.
Leading the seven Southeast Asian countries included in the index is Singapore, placing fourth overall, to lead Malaysia at 32nd, Thailand at 64th and Indonesia at 65th. Vietnam and Brunei Darussalam completed the regional rankings at 83rd and 98th, respectively.
The Philippines made a big leap in both score and ranking in the IP rights component, securing a score of 5.7 to place 58th this year, from 5.4 at 62nd in last year’s cycle.
“The intellectual-property component evaluates the protection of this kind property. In addition to an opinion based measure, it assesses protection of two major forms of intellectual-property rights—patents and copyrights—from a de jure and a de facto perspective,” the report read.
Further, the Philippines sustained its rating of 6.5—its highest among the index’s three components—in personal property rights, improving its place to 60th, from 63rd, in the process.
Under this component, the confidence of the people in the state’s effectiveness to protect their private property rights is assessed. The index said a strong property rights regime provides for integrated transactions on the registry of property and permits access to the required credit to convert property into capital.
However, the country’s legal and political environment got a lower score of 3.7 this year, from 3.8 last year. This caused the Philippines to drop to 102nd, from 95th, in this component.
“The legal and political environment component grasps the ability of a nation to enforce a de jure system of property rights. It comprises of four elements: the independence of its judicial system, the strength of the rule of law, the control of corruption and the stability of its political system,” the report read.
The 2019 cycle of International Property Rights Index was released by Property Rights Alliance in partnership with the Foundation for Economic Freedom and Minimal Government Thinkers. The Philippines was selected for the first global launch due to the country’s rising importance, thanks to its expanding population and economy.
Manila’s property rights issues also reflect the situation in many emerging economies, such as proposals to weaken IP protections in the pharmaceutical sector, according to Property Rights Alliance. The group said improving property rights protection regime “can increase availability of new medicines, fight endemic corruption and transform the Philippines into a modern and dynamic availability.”
Finland topped the index to stay above Switzerland, New Zealand, Singapore, Australia, Japan, Sweden, Norway, Luxembourg and the Netherlands.
In a statement on Wednesday, Property Rights Alliance Executive Director Lorenzo Montanari stressed property rights are human rights, too. Without property rights, people are restrained in how they act, speak and participate in the economy, he said.
He said when people are confident their property is safe—that they can buy, sell and value their assets in a free marketplace—then this optimism invites entrepreneurship, reduces corruption, raises civic participation, and improves investment in research and development.