The Philippine government today announced major economic milestones, highlighting the country’s steady transformation into a more resilient, inclusive, and forward-looking economy. Over the past three years, the administration’s strategic reforms and sound economic stewardship have laid a solid foundation for long-term growth, positioning the Philippines to soon achieve upper-middle-income status.
The country has emerged as one of Asia’s fastest-growing economies, sustaining strong growth momentum from 2023 through the first quarter of 2025. This economic expansion has directly improved the lives of millions of Filipinos—unemployment has dropped below pre-pandemic levels, underemployment continues to decline, and the poverty rate fell to 15.5% in 2023, lifting approximately 2.4 million people out of poverty.
Inflation has significantly eased, falling from a high of 8.7% in January 2023 to just 1.4% in June 2025. In 2024, the Philippines’ Gross National Income (GNI) per capita came within $26 of the upper-middle-income threshold, underscoring the nation’s proximity to achieving this long-standing development milestone.
Driving Progress Through Strategic Reforms and Legislation
These achievements are the result of deliberate policy choices and effective implementation of the Philippine Development Plan. The government has advanced reforms in innovation, digital transformation, and water resource management to create enabling environments for sustainable development.
Legislative milestones—such as the passage of the Public-Private Partnership (PPP) Code and critical amendments to investment liberalization laws—have opened new avenues for economic activity and public service improvements. These reforms were made possible through strong collaboration between the Executive branch and the 19th Congress, which passed a record number of priority measures.
Addressing Challenges, Preparing for the Future
Despite the gains, the government remains mindful of remaining development gaps and ongoing global and domestic challenges. Delays in infrastructure and social projects caused by regulatory hurdles highlight the need for improved governance and institutional efficiency.
Nevertheless, these challenges have underscored the importance of a robust domestic economy that can withstand external shocks. Moving forward, the government will focus on ensuring food and energy security, promoting low and stable inflation, and diversifying the economic base to enhance competitiveness.
The recently concluded 2024 Official Development Assistance (ODA) Portfolio Review underscores continued support for infrastructure, social services, and climate resilience, with an active ODA portfolio totaling $39.61 billion as of end-2024.
A Call for Collective Action Toward Inclusive Growth
Echoing the message of the President’s 2025 State of the Nation Address, the administration is prioritizing the accelerated implementation of programs and projects that directly impact ordinary Filipinos. The Department of Economy, Planning, and Development (DEPDev) will play a central role in this effort, guided by a renewed commitment to evidence-based planning, rigorous monitoring, and maximizing the value of public investments.
The Marcos Administration remains committed to achieving rapid, inclusive, and sustainable economic growth, with a target to reduce poverty to single-digit levels by 2028.
DEPDev Secretary Arsenio Balicasan said: “Transformation for all requires transformation by all,” a government spokesperson emphasized. “We urge all sectors—government, business, and civil society—to work together in sustaining our progress and ensuring that every Filipino shares in the benefits of our nation’s development.”
As the Philippines moves forward, the government remains steadfast in its long-term vision: a prosperous, inclusive, and resilient nation where every Filipino can live a stable, comfortable, and secure life.
