State of the Economy

Major credit rating agency S&P Global raised the rating outlook for the Philippines from “stable” to “positive,” citing the Philippines’ improved institutional settings and ongoing economic reforms.Concretely, among the rationale mentioned by S&P include the enactment of the Public-Private Partnership Code and more recently, the signing of the CREATE MORE Law which were seen to …

A weak global economy with a strong local demand for capital goods and raw materials drove the trade deficit to a negative USD 5.09 billion this September 2024, analysts say. According to the national statistics, raw materials and intermediate goods topped the list of imports for the said month, while electronic products remained the country’s …

US President-elect Trump has signaled his intentions to impose tariffs on goods coming in to the US as part of his economic agenda, with a rumored 60 percent tariff to be imposed on China and a 10 to 20 percent tariff for the rest of the world.  For the Philippines, there is room to negotiate …

Amid shifts in global dynamics, manufacturers have been increasingly turning to Southeast Asia, generally attracted by their relatively young workforce, cost-effectiveness, and strategic location. Zooming into the Philippines, President Ferdinand “Bongbong” Marcos has been wearing his “salesman’s hat” in many Indo-Pacific engagements as he aims to gather investments to forward relevant and budding industries such …

On November 11, 2024, President Ferdinand “Bongbong” Marcos Jr. signed the CREATE MORE (Maximize Opportunities for Reinvigorating the Economy) Act into law. This new legislation builds upon the 2021 CREATE Act, aiming to resolve previous issues while further stimulating economic growth, supporting enterprises, and attracting foreign investments.  The CREATE MORE Act seeks to clarify ambiguities in …

The Philippines’ inflation rate slightly increased to 2.3 percent in October 2024, driven by higher prices in food, non-alcoholic beverages, and transport. Despite the uptick, economists note the rise in inflation as aligned with market expectations. Inflation also remains within ...

The Philippines’ inflation rate slightly increased to 2.3 percent in October 2024, driven by higher prices in food, non-alcoholic beverages, and transport. Despite the uptick, economists note the rise in inflation as aligned with market expectations. Inflation also remains within the national government’s projections, giving the Bangko Sentral ng Pilipinas (BSP) room to continue its …

As the value of imported goods exceed exports, the Philippines’ balance of trade in goods stood at deficit of negative USD 4.375 billion in August 2024, marking a 6.6 percent increase from the negative USD 4.105 billion deficit a year ago in August 2023. Month-on-month, the trade deficit fell by 10.25 percent from the negative …

The Bangko Sentral ng Pilipinas (BSP) announced a cut in its key policy rate by 0.25 percent to 6 percent effective October 17. The rate cut encourages economic activity but analysts and economists caution that the benefits might not be ...

The Bangko Sentral ng Pilipinas (BSP) announced a cut in its key policy rate by 0.25 percent to 6 percent effective October 17. The rate cut encourages economic activity but analysts and economists caution that the benefits might not be immediate.Some other observers argue that without strong fiscal policies to support it, the impact of …

The Philippines recorded net foreign direct investment (FDI) inflows of USD 820 million (PHP 47.38 billion) in July 2024, representing a 5.5 percent increase from the USD 778 million (PHP 44.96 billion) figure recorded in July of the previous year.  Read ...

The Philippines recorded net foreign direct investment (FDI) inflows of USD 820 million (PHP 47.38 billion) in July 2024, representing a 5.5 percent increase from the USD 778 million (PHP 44.96 billion) figure recorded in July of the previous year. Philippines’ Annual FDI InflowsTotal net FDI inflows for the first seven months of 2024 are now at …

PHP 60 billion (USD 1.04 billion) worth of infrastructure projects in the Philippines – the Samar Pacific Coastal Road II Project, Laguna Lakeshore Road Network Project, and the Panay-Guimaras-Negros Island Bridges Project – are set to be financed by the Export-Import Bank of Korea-Economic Development Cooperation Fund (KEXIM-EDCF). The exchange of agreements was done in …

The Philippines’ inflation rate settled at 1.9 percent as of September 2024, the lowest inflation figure recorded since May 2020, attributed largely to cheaper food and fuel prices. Economic analysts argue that stabilizing inflation may prompt the Bangko Sentral ng ...

The Philippines’ inflation rate settled at 1.9 percent as of September 2024, the lowest inflation figure recorded since May 2020, attributed largely to cheaper food and fuel prices. Economic analysts argue that stabilizing inflation may prompt the Bangko Sentral ng Pilipinas (BSP) to further reduce its policy rates. Nonetheless, further rate cuts will likely be …

The Philippine Senate ratified a free trade agreement (FTA) between South Korea and the Philippines last Monday, September 23. The free trade deal between the two countries was initially signed on September 7, 2023 during an Association of Southeast Asian ...

The Bangko Sentral ng Pilipinas (BSP) recently announced lower reserve requirements for banks and other financial institutions effective late October. Analysts and economists are welcoming the expected boost in liquidity and its potential growth-inducing effects on the local economy, but ...

The Philippine Senate ratified a free trade agreement (FTA) between South Korea and the Philippines last Monday, September 23. The free trade deal between the two countries was initially signed on September 7, 2023 during an Association of Southeast Asian Nations (ASEAN) Summit in Jakarta, Indonesia. The agreement was previously ratified by President Ferdinand R. …

The Bangko Sentral ng Pilipinas (BSP) projects the Philippines to sustain its positive balance of payments (BOP) position for the rest of 2024 as the country posts a BOP surplus for the second consecutive month this August. In the case of the Philippines, PSA notes a BOP surplus indicates sound financial management supporting macroeconomic stability, …

The Bangko Sentral ng Pilipinas (BSP) projects the Philippines to sustain its positive balance of payments (BOP) position for the rest of 2024 as the country posts a BOP surplus for the second consecutive month this August. In the case of the Philippines, PSA notes a BOP surplus indicates sound financial management supporting macroeconomic stability, …

According to initial reports from the Bangko Sentral ng Pilipinas (BSP), net foreign direct investment (FDI) in the Philippines saw a substantial reduction of 29 percent from June 2023 to June 2024. Despite this decline, the country’s average FDI performance ...

The Philippines’ trade deficit widened in the last year as the country’s exports failed to keep up with the rising costs of imports. Latest data from the Philippine Statistics Authority recorded a trade deficit of USD 4.87 billion (PHP 271.63 ...