1.2. Country context Megatrend 1: The Philippines is one of the eleven developing mid-tier countries, dubbed as the "Next Eleven," projected to collectively surpass the 27 European Union states in terms of global power by 2030.9 The country is an active participant in the growing South-South trade relations, investment ties, and economic diplomacy, with China leading this economic relationship. The proliferation of trade agreements and investment opportunities, particularly on mega infrastructure projects and the extraction of natural resources, have come at the expense of land and human rights of rural and urban communities. Megatrend 2: The Filipinos are the world's heaviest Internet users with 72% of the population have access to the Internet and a social media penetration rate of 71%, 26 points higher than the global average.10 As ICT is becoming an integral part of everyday life, Filipinos are at increased risk of exposure to misinformation campaigns and digital rights abuses. In the world of work, the International Labour Organization (ILO) estimated that at least 49% of Filipino workers are at high risk of job loss due to automation, with women being more vulnerable than men.11 According to the World Bank and the National Economic Development Authority (NEDA), digitalization is key to the country’s recovery from the impact of COVID-19 and achieve its vision of becoming a society free of poverty.12 Megatrend 3: The Philippine Statistics Authority projects that from 4.3% in 2010, the elderly population (65 years and above) will increase to 11.4% in 2045.13 The working-age population (15 to 64 years old) will rise to more than 67.5% by 2045 from 62% in 2010.14 As reported by the NEDA, population growth in the country is slowing down, but the population size is increasing due to the high fertility rate.15 Consequently, marriage and child-bearing are among the reasons for the low level of female labor force participation in the country, which has declined to about 49 to 50% in the last two decades.16 The continued increase in population size and unequal access to employment opportunities between women and men present serious challenges to inclusive, sustainable development. Megatrend 4: Rapid urbanization is also evident in the Philippines. The country has 33 highly urbanized cities, with the National Capital Region, Metro Cebu, Metro Davao, and Metro Cagayan de Oro having the highest populations.17 The World Bank reported in 2017 that half of the country's population lives in cities, and it is expected to reach 84% by 2050.18 In the same report, the number of informal settlers has increased from 4.1% in 2003 to 5.4% in 2012, or roughly 2.2 million people out of the total urban population.19 While rapid urbanization has contributed to reducing poverty through new employment opportunities, 25% of the informal settlers are income poor, and those above the poverty line live in poor conditions and often lack access to basic services.20 Megatrend 5: Based on the Global Climate Risk Index (CRI) 2020, the Philippines placed fourth out of 181 countries in the period of 1999-2018 with an average CRI score of 17.67.21 In 2018 alone, the Philippines ranked second among the most affected country.22 Successive and extreme weather events, e.g., Super Typhoon Yolanda in 2013, Typhoon Ompong in 2018, and Typhoon Ulysess in 2020, have disrupted business operations and placed workers' lives and safety at risk because of the business-as-usual attitude of some companies. 4