Department of Finance (DOF) Secretary Ralph Recto said Wednesday former president Rodrigo Duterte’s arrest and trial at the Netherlands would likely have no impact on the Philippines’ economic prospects and investor confidence.
“I don’t think so, because that’s nothing to do with our macroeconomic fundamentals. To begin with, there was a slight reduction in the stock exchange, but very subdued, but the peso appreciated on the day that he was arrested,” Recto said in an interview with Bloomberg TV.
“So, it could also mean that the international community is looking at how important the rule of law is to us, and it’s a part of governance as well. With regard to our position, rule-based order, international rule-based order,” he said.
Authorities arrested Duterte on March 11, 2025, pursuant to an arrest warrant issued by the International Criminal Court’s (ICC) Pre-Trial Chamber. The ICC accuses him of “crimes against humanity” related to alleged extrajudicial killings during his administration’s anti-drug campaign.
Recto said that he does not anticipate political instability within the government, following the former president’s arrest.
“We have midterm elections this year. Having served in Congress, the House and the Senate, I’ve experienced many elections. I could see that the administration will win a majority of the local government positions, 80 percent I suppose.” Recto said.
Recto expressed optimism the government would achieve at least 6 percent economic growth this year.
The Interagency Development Budget Coordination Committee (DBCC) is projecting a gross domestic product (GDP) growth of 6 percent to 8 percent from 2025 to 2028.
Recto also asked global investors to consider the Philippines as their next investment destination. He said Samsung already expressed interest in investing in the country.
“There seems to be interest in investing in the Philippines. Samsung is talking to us for a possible investment of more than P50 billion. They’re applying under the incentives for CREATE and many more,” he said.