Philippines Declared Economic Standout Amidst Global Uncertainty
Nation Exits Watchlist, Attracts Investment with Reforms
The Philippines is experiencing a surge in positive economic indicators, prompting **President Ferdinand “Bongbong” Marcos Jr.** to declare the nation an “economic standout” in the ASEAN region. Recent gains include strong GDP growth, reduced inflation, and removal from a key international financial monitoring list.
Strong Growth and Easing Inflation
**Marcos** highlighted a 5.4 percent economic expansion in the first quarter of 2025, positioning the Philippines among the fastest-growing economies in Southeast Asia despite ongoing global economic challenges. This growth spans key sectors including agriculture, forestry, fishing, industry, and services. He expressed confidence in achieving a 6 percent GDP growth target, fueled by fiscal stability, declining inflation, and successful trade negotiations.
The country’s inflation rate has fallen to 1.3 percent in May, the lowest level since November 2019. **Marcos** emphasized this development’s importance, stating it fosters a stable economic environment for businesses and boosts purchasing power, particularly for lower-income families. According to the World Bank, the Philippines’ poverty rate, while still significant, has shown a slight decrease in recent years, falling from 23.4% in 2018 to an estimated 22.2% in 2023, demonstrating a positive trend alongside economic growth. World Bank Philippines Overview
“I am pleased to note that the Philippine economy grew 5.4 percent in the first quarter of 2025 and is among the fastest in the ASEAN region despite rising global volatilities.”
—Ferdinand Marcos Jr., President of the Philippines
Off the Grey List and Streamlining Investment
A significant achievement for the Philippines is its removal from the Financial Action Task Force’s (FATF) grey list, a status reserved for countries under increased scrutiny for money laundering and terrorism financing. **Marcos** acknowledged the crucial support from international partners in securing this outcome, which is expected to further enhance investor confidence.
The government has also enacted several legislative reforms designed to attract both domestic and foreign investment. These include the Capital Markets Efficiency Promotion Act (Republic Act No. 12214), aimed at encouraging broader participation in the Philippine capital markets; revisions to the Corporate Recovery and Tax Incentives for Enterprises (CREATE) law, offering investors greater flexibility with tax incentives; and a joint memorandum circular to reduce bureaucratic hurdles and improve the ease of doing business.
UN Security Council Bid
**President Marcos** also reiterated the Philippines’ candidacy for a non-permanent seat on the United Nations Security Council for the 2027-2028 term. He emphasized the nation’s long-standing commitment to multilateralism and peaceful cooperation, appealing for support from other governments. The Philippines previously held a non-permanent seat in 1957, 1963, 1980-1981, and 2004-2005.
Concluding the Independence Day Vin d’Honneur, **Marcos** proposed a toast to the health and prosperity of all attendees, underscoring a positive outlook for the Philippines’ continued economic advancement.
