The Intellectual Property Office of the Philippines (IPOPHL) is set to introduce a valuation system for all intellectual properties (IPs) in 2025 to help Filipino creators secure financing and commercialization opportunities.
IPOPHL director general Rowel Barba said valuing IP is the first step toward unlocking its full potential.
“Once we have the capacity to value intellectual property, we can approach banks to accept it as collateral. This would allow us to finance and commercialize IP, enabling creators to benefit from their work,” he said over the weekend.
Barba said that while the issue is not unique to the Philippines, banks are hesitant to accept IP as collateral because there are no established valuation metrics.
“Unlike real property, where market or zonal valuation is clear, intellectual property is intangible and its value is harder to measure,” he said.
Countries like Japan, Korea, and Canada have already made strides in IP financing, due to support from state-backed banks.
Barba called on Philippine state banks, such as the Development Bank of the Philippines and the Land Bank of the Philippines, to perform similar roles.
However, he stressed the need for IPOPHL to first build the expertise necessary to value IP properly before engaging with financial institutions.
The challenge of IP valuation is particularly evident in industries like game development, where creators often struggle to determine the market value of their products.
“Game developers often ask us how much their games are worth, but we can’t give them a clear answer because there is no standardized framework for valuation,” Barba said.
