The Department of Finance (DOF) said that the Philippines possesses all the elements of a tiger economy, making the country the most strategic safe haven for investors.
Finance Secretary Ralph G. Recto said the Philippines is booming, asserting itself as an economic superstar in Southeast Asia with a growth rate of 6.2 percent, one of the fastest in the region.
Recto added, “In less than a decade, the Philippines will join the club of trillion-dollar economies. And we will continue to outpace the growth of Asia’s economic powerhouses in the coming years.”
Looking ahead to 2075, Recto expects that the Philippines will surpass France to become the world's 14th-largest economy, bringing it one step closer to Japan.
“With our arsenal of growth-enhancing strategies, the Marcos, Jr. administration has the right policy tools and determination to take us there,” the finance chief said.
Recto also said that the government is effectively managing inflation risks arising from geopolitical tensions.
He said the Bangko Sentral ng Pilipinas and the government are closely aligned to ensure they address risks through proactive monetary policies and well-targeted non-monetary interventions.
The government expects inflation to average 3.4 percent this year, comfortably within the target range of two percent to four percent and significantly lower than the global average of 5.9 percent.
“As inflation eases, we anticipate a further acceleration in our already robust domestic demand, with household consumption accounting for about 75 percent of our economy,” Recto said.
“This is our sturdy shield against external factors contributing to slow global growth,” he added.
Recto added that the Philippines' progression towards reaching upper-middle-income status next year and becoming the world's 13th largest consumer market by 2030.
This should create ample opportunities for businesses to thrive in the local market, he said.
“The country’s strong labor force fuels the dynamism of our economy,” he said, citing the country’s unemployment rate, which has steadily declined to a historically low level and is even better than pre-pandemic.
“We boast a strong and growing middle class, with the largest portion of the Filipino workforce engaged in formal, stable work,” Recto said. “With a median age of only 25 years old, the Philippines enjoys a demographic sweet spot.”