The Philippine government vowed to sustain high economic growth, maintain low and stable inflation and strengthen fiscal foundations.
“Despite external and domestic challenges, the Philippine economy remained on a positive and robust growth trajectory,” National Economic and Development Authority (NEDA) Secretary Arsenio Balisacan said during the presentation of the 2024 Philippine Development Report (PDR 2024) at the NEDA Board, chaired by President Ferdinand Marcos Jr.
The Philippine economy grew by an average of 5.8 percent in the first three quarters of 2024, with all sectors having returned to their pre-pandemic levels on the expenditures side. Inflation averaged 3.2 percent in 2024, well within the government’s target band of 2.0 percent to 4.0 percent.
“While inflation has moderated, prices of some key commodities remain elevated,” Balisacan said.
“It is very crucial to make sure that food is affordable and accessible by enabling markets to function efficiently, as well as refining our targeting programs for low-income and vulnerable Filipinos,” he said.
The labor market showed significant gains, with the unemployment rate averaging 4.3 percent in 2024, surpassing the government’s target range of 4.4 percent to 4.7 percent. Poverty among Filipinos dropped to 15.5 percent in 2023 from 18.1 percent in 2021, which translates into approximately 2.4 million Filipinos lifted above the poverty line.
“With the robust labor market performance and inflation deceleration in 2024, we expect to see further poverty reduction when the new poverty data becomes available,” Balisacan said.
For 2025, the government aims to reduce poverty incidence to 13.2 percent or lower. The high growth trajectory of 6.0 percent to 8.0 percent will continue to be pursued, and proactive measures will keep headline and food inflation low and stable (2.0 percent to 4.0 percent).
“To achieve these targets, we will continue to drive socioeconomic transformation by diversifying and developing new growth drivers, enabling the adoption of new technologies, raising economic productivity, and establishing meaningful collaboration with various stakeholders,” Balisacan said.
With the budget adjustments for 2025 following President Marcos’ veto of several line items in the 2025 General Appropriations Act, the Marcos administration assures the public that critical health, education, and infrastructure projects and initiatives will continue to be well-funded and supported for rollout this year.
“The president’s marching order is clear: the government will continue to support the country’s most urgent development priorities, ensuring that public services are not only sustained but further enhanced to support economic growth and inclusion,” the NEDA chief said.