The Department of Finance (DOF) lauded thrift banks as “anchors of resilience” in the Philippine financial system during the 2025 Annual Convention of the Chamber of Thrift Banks (CTB). DOF undersecretary Domini S. D. Velasquez praised the sector’s role in supporting grassroots communities and sustaining financial momentum during economic shifts.
Presenting the country’s economic outlook, Velasquez highlighted the strength of the thrift banking system amid broader macroeconomic challenges. “The resilience we speak of is not built by the government alone. It lives in your institutions,” she said, urging thrift banks to scale their impact further.
She also highlighted key drivers of the country’s economic strength, including a favorable demographic profile—with a median age of 25.3 and a labor force of over 51 million—and robust GDP growth of 5.4 percent in 1Q 2025, led by services, public construction, and household consumption.
Velasquez likewise detailed the government’s fiscal strategy under the Medium-Term Fiscal Program, targeting a reduction in debt-to-GDP ratio from 60.1 percent in 2023 to 56.3 percent by 2028, and cutting the fiscal deficit to 4.3 percent. She cited tax reform milestones such as the CREATE MORE Act and the Ease of Paying Taxes (EOPT) Act, along with major non-tax revenue initiatives like five approved PPP airport projects and intensified tax enforcement campaigns.
Despite external uncertainties, Velasquez reaffirmed the country’s structural resilience and called on thrift banks to continue serving as crucial enablers of inclusive growth across communities.
