PH gov’t confident of upper-middle-income status despite global challenges

Despite ongoing global and domestic challenges, the government remains confident in its ability to achieve upper-middle-income status and reduce poverty within the term of President Ferdinand Marcos Jr.

During a Palace briefing on Wednesday, Presidential Communications Office Undersecretary and Press Officer Atty. Claire Castro announced that the World Bank is expected to determine by July 2026 whether the Philippines has reached the upper-middle-income status threshold.

This assessment will be based on the country's 2025 economic performance, according to data provided by Arsenio Balisacan, Secretary of the Department of Economy, Planning, and Development.

“Formal classification may require additional years of sustained results. We remain confident this will be achieved within the term of the Marcos administration,” Balisacan said in a statement read by Castro.

“Despite geopolitical tensions and heightened uncertainty, we will stay the course in stabilizing the economy and strengthening social protection to sustain poverty reduction,” the statement read.

Addressing concerns about slowing reform momentum and declining public investment, Balisacan noted that many Asian economies are expected to fall short of their growth targets this year.

This trend is largely attributed to ongoing supply chain disruptions and uncertainties stemming from tensions in the Middle East.

“Sa ngayon, kahit ano ang naranasan natin dulot ng gulo dito sa Middle East, pinagsusumikapan ng gobyerno na maibsan or maiwasan, mabawasan ang naranasan natin na hirap dulot ng krisis sa Middle East,” Castro said. “Patuloy pa rin po ang pagpapalago ng ekonomiya.”

The administration has rolled out several measures to cushion the impact of rising fuel prices. These actions follow the declaration of a national energy emergency through Executive Order No. 110.

The proposed measures include a P10-per-liter diesel discount for public utility vehicles and the suspension of excise taxes on liquefied petroleum gas (LPG) and kerosene.

The plan includes financial assistance for tricycle and transport network vehicle service (TNVS) drivers, along with toll discounts for jeepneys, buses, and trucks.

The government has implemented several initiatives to support various sectors.

The Tulong Panghanapbuhay sa Ating Disadvantaged/Displaced Workers (TUPAD) program has been launched for drivers, alongside expanded service contracting in the transport sector.

To strengthen food security, the P20 rice initiative has been broadened. Additionally, fuel and fertilizer subsidies are being distributed to farmers and fisherfolk to help mitigate the impact of rising oil prices.

-Paraluman News